Free Republic

The duped investors now say Hsu gained their confidence in his business acumen by bragging that Hillary Clinton "carefully screened" her fund-raisers to ensure their integrity and credibility, the suit says. However, they say Hsu further exploited that trust starting in 2006, when he "imposed a condition" that future investors had to donate cash to specific campaigns, including Clinton's presidential run. "He would say, 'You had a great investment with me before. If you want another, I want you to contribute the maximum under federal election law to Hillary Clinton,' " said lawyer William Bollard, who represents the investors. One...

A Laguna Beach investment firm filed a lawsuit against Democratic fundraiser Norman Hsu on Friday, claiming he defrauded investors out of at least $23 million and required them to donate to Democratic candidates. According to the lawsuit filed by Briar Wood Investments, Hsu persuaded the company's operator to do business with him by taking him to star-studded Democratic Party events. There, the 56-year-old Hong Kong native was praised by New York Sen. Hillary Rodham Clinton, California Atty. Gen. Jerry Brown and others, the lawsuit said. As a condition of doing business with the fundraiser, Hsu directed investors to make contributions...