Four Years of Presidential misdoings, missteps and mistakes
Complete Clinton Scandals Chronology
Day by day, scandal by scandal, flip-flop by flip-flop ...
why three years seems like a lifetime
The Clintons' association with the McDougals begins when Bill Clinton and Jim McDougal work together on the staff of then-U.S. Senator J. William Fulbright (D-Ark.) Before going to work for Fulbright, McDougal also had previously worked during the early 1960's for Senator John L. McClellan, on the Rackets Committee
Bill Clinton is recruited to serve on the special staff being assembled by John Doar and attached to the House Judiciary Committee (not the regular committee staff) to handle the Nixon impeachment inquiry. He declines, and tells them to hire his girlfriend, Hillary Rodham, instead. Or at least that is the most logical deduction.
On the staff Hillary engages in some unethical behavior, lying to the permanent committee staff. Hillary tells everybody close to her that she expects Bill Clinton to be President one day and promises Bernard Nussbaum that when that happens, he will be named White House counsel. He does not the offer seriously. Hillary is very close to John Doar and one weekend, while visiting Arkansas, gets called back to come to Washington, (possibly in order to make a false transcript of one of the tapes? It may be that she writes the words "I want you all to stonewall it. My thoughts. The tapes are never publicly aired so no one notices this, although they can be listened to without stopping)
Bill Clinton's kindergarten friend, Thomas F. "Mack" McLarty, becomes the chairman of the Arkansas Democratic Party.
Bill Clinton runs for Congress, but, although he uses Watergate as an issue, and raises more money than the four-term incumbent, John Paul Hammerschmidt, he narrowly loses. Also, his mentor, Senator Fulbright loses a primary to Arkansas Governor Dale Bumpers ruining his hopes of going to the Senate eventually.
With Bill stuck in Arkansas, Hillary is forced to move to Arkansas.
Bill Clinton and Hillary Rodham marry (October 11) because it is awkward for Bill Clinton to explain that they are living together without being married.
Bill Clinton became Arkansas attorney general
Hillary Rodham is hired as a lawyer by the Rose Law Firm.
Whitewater Created, Clintons Get Stake on "Little Money"
Clinton becomes Governor and appoints friend James McDougal economic-development adviser. Later that year, Bill and Hillary joined with McDougal and his wife Susan to form a real estate partnership, Whitewater Development. Clintons took out an unsecured $20,000 loan from McDougal's S&L for their share of the down payment on the land purchase of $203,000.
+ Through Whitewater Development Corp., 230 acres of Ozark Mountain vacation property was purchased for $203,000 in borrowed money with plans to subdivide and sell the acreage in lots. "During this period," reported the New York Times (3-8-92), "the Clintons appear to have invested little money, so stood to lose little if the venture failed, but might have cashed in on their 50 percent interest if it had done well."
+ The Washington Post reported on November 29, 1993, that the $20,000 down payment that the Clintons apparently paid in for Whitewater came from an unsecured loan at a Little Rock bank, whose board of directors included Clinton's top campaign finance official that year, Walter DeRoeck.
6-19-78: Bill Clinton and Jim McDougal sign $20,000 loan >from Union National Bank.
7-27-78: Letter from Whitewater Real Estate Agent Chris Wade to the Clintons and McDougals providing them with a copy of the closing statement on their land purchase.
8-2-78: The Clintons and McDougals sign $182,611 mortgage loan from Citizens Bank of Flippin.
9-7-78: Letter from Whitewater Real Estate Agent Chris Wade to the Clintons and McDougals enclosing a survey and another copy of the closing statement on their land purchase.
1979-80: Clinton Becomes Governor; McDougal Buys a Bank
+ Bill Clinton took office in January 1979 . James McDougal joined his administration as an economic development aide. He soon left and bought the Bank of Kingston in northern Arkansas (New York Times, 11/2/93).
+ David Hale (who served as an Arkansas municipal judge from March 1979 until September 1993) formed Capital-Management Services, Inc., licensed with the Small Business Administration as a Specialized Small Business Investment Corporation to make taxpayer-guaranteed loans to socially disadvantaged men and women to start their own business.
+ James McDougal bought Madison Guaranty Savings and Loan Association. Whitewater Development kept its accounts at Madison (Minneapolis Star Tribune, 3/13/94).
The $100,000 commodities trading profits are made.
Clinton Becomes Governor' McDougal Buys a Bank. Hillary is made a partner in the Rose Law Firm (1979 actually)
Jim McDougal employed as an economic development aid to Governor Clinton.
2-15-79: Meeting at Governor's Mansion attended by Governor Clinton and Jim McDougal.
2-19-79: Jim McDougal issues memorandum to Susan McDougal detailing Gov. Clinton's daily schedule for the month of April 1979 .
3-10-79: Susan McDougal provides Gov. Clinton with details about function at which he is to make an appearance.
3-29-79: Gov. Clinton and Jim McDougal attend ceremony at Governor's Mansion.
4-2-79: Gov. Clinton and Jim McDougal attend luncheon.
4-11-79: Gov. Clinton and Jim McDougal attend luncheon.
4-18-79: Gov. Clinton and Jim McDougal attend press conference, fly to Paragould, Ark., and attend meeting.
5-2-79: Gov. Clinton and Jim McDougal attend meeting.
5-3-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
5-23-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
5-24-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
5-25-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
5-29-79: Gov. Clinton and Jim McDougal attend luncheon.
6-5-79: Meeting at Governor's Mansion attended by Governor Clinton and Jim McDougal.
6-18-79: Jim McDougal signs stock certificate to Hillary Rodham representing 150 shares of Whitewater stock.
6-19-79: Bill Clinton and Jim McDougal sign $20,000 loan renewal from Union National Bank.
6-27-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
7-3-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
7-24-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
7-31-79: Two meetings at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
8-3-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
8-12-79: Jim McDougal accompanies Gov. Clinton on trip to Fayetteville, Arkansas.
8-13-79: Jim McDougal accompanies Gov. Clinton on "road trip."
8-14-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
8-23-79: Meeting at Governor's Mansion attended by Governor Clinton and Jim McDougal.
9-4-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
9-17-79: Bill Clinton and Jim McDougal sign $20,000 loan renewal from Union National Bank.
9-30-79: The Clintons and McDougals sign warranty deed associated with Whitewater property.
10-1-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal. That evening, Jim and Susan McDougal accompany Gov. and Mrs. Clinton on flight to New Orleans, La.
10-7-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
10-9-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
10-15-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
10-16-79: Two meetings at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
10-23-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
10-29-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
11-9-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal. Gov. Clinton and Jim McDougal sign $182,611 mortgage loan renewal from Citizens Bank of Flippin.
11-20-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
12-7-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
12-14-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
12-17-79: Bill Clinton and Jim McDougal sign $20,000 loan renewal from Union National Bank.
12-18-79: Meeting at Governor's Mansion attended by Gov. Clinton and Jim McDougal.
8-5-80: Bill Clinton and Jim McDougal sign $182,611 mortgage loan renewal from Citizens Bank of Flippin.
12-16-80: Hillary Clinton obtains a $30,000 loan from Jim McDougal's Madison Bank and Trust.
The purpose of this loan was to place a prefab house on Lot 13, which was positioned near the entrance to the development in an attempt to spur lot sales. Consequently, the Clintons must have known as early as December 1980 that Whitewater was experiencing slow lot sales.
12-28-80: Jim McDougal signs Warranty Deed transferring ownership of Whitewater Lot 13 to Hillary Clinton.
8-5-81: The Clintons and McDougals sign $129,241 mortgage loan renewal from Citizens Bank of Flippin.
10-12-81: Letter from Hillary Rodham to Jim McDougal stating, "If Reaganomics works at all, Whitewater could become the western hemisphere's Mecca."
This letter shows that Mrs. Clinton is interested in Whitewater being a financial success and apparently is monitoring its progress.
11-10-81: Letter from Ozarks Realty Co. to the Clintons providing a closing statement on sale of Lot 13 to Hilman Logan.
The Clintons possibly were aware of the adverse economics related to Whitewater as of this date. Not only was an immediate loss realized with respect to the sale of this lot, but additional losses over time would result because of the high interest rate on bank debt (20 percent) compared to the statutory interest rate cap on the underlying installment contract (10 percent).
12-9-81: The Clintons enter into escrow contract associated with sale of Lot 13 to Hilman Logan.
12-14-81: The Clintons sign warranty deed to be placed in escrow transferring title of Lot 13 to Hilman Logan.
12-22-81: Memorandum to Bill Clinton noting that Jim and Susan McDougal are out of town and that he will have to complete his financial statement on his own.
Whitewater books show nearly $300,000 in revenues from plot sales. Hillary borrows another $30,000 unsecured loan from McDougals S&L to pay for a model home on the development.
3-1-82: Letter from Jim McDougal to Bill Clinton stating, "I have paid from Whitewater Development Corporation the note you owed Citizens Bank of Jonesboro. You are correct in your believe that the sum of money borrowed was part of your investment in Whitewater."
A handwritten note on the bottom of the letter reads, "Response to Hillary," indicating that Mrs. Clinton apparently inquired about the matter and requested the above statement from Jim McDougal, possibly for tax purposes.
3-25-82: Memorandum from Citizens Bank of Jonesboro to Bill Clinton about additional interest due on his loan because it was repaid after the due date, and that she had discussed the matter with someone at his headquarters' office, but had not heard back from him.
3-31-82: Memorandum from Citizens Bank to file noting that the writer had spoken with Susan McDougal
8-00-82: Photographs of Candidate for governor Clinton and candidate for Congress McDougal appear on the front page of Young Democrats of Arkansas publication In Action.
8-3-82: Memorandum to Bill Clinton stressing the importance of his attendance at an upcoming Democratic rally with Jim McDougal.
8-5-82: Letter from Theresa Pockrus of Madison Bank and Trust to Hillary Clinton reminding her that her loan is past due.
8-9-82: Memorandum to Bill Clinton advising him that the public perceives him and Jim McDougal as a team.
8-11-82: Letter from Hillary Rodham to Theresa Pockrus of Madison Bank and Trust stating, "I ask that you speak with either Mr. or Mrs. McDougal who have made all the arrangements for this loan."
8-27-82: Candidate for governor Clinton and candidate for Congress McDougal speak at Democratic State Committee meeting.
9-11-82: Candidate for governor Clinton and Candidate for congress McDougal speak at Logan County Democratic Barbecue-Rally.
9-16-82: Candidate for governor Clinton and candidate for Congress McDougal appear at 1982 Democratic Convention.
9-24-82: Democratic press release that Mrs. Bill Clinton and Jim McDougal will be featured speakers at an upcoming rally.
9-30-82: Candidate for governor Clinton and candidate for Congress McDougal appear at reception.
10-30-82: Whitewater Development Company, Inc. board meeting to authorize renewal of Citizens Bank of Flippin mortgage loan and establish an escrow account.
11-1-82: The Clintons and McDougals sign $20,000 interest funding loan from Citizens Bank of Flippin.
The purpose of this loan was to pay accrued interest due on the land mortgage because Whitewater was not generating sufficient income to service bank debt. Consequently, the Clintons must have known at this point that the land venture could not pay its bills.
11-1-82: The Clintons and McDougals sign $129,241 mortgage loan renewal from Citizens Bank of Flippin.
The Clintons should have questioned how Whitewater would be able to retire the debt in just six months, especially since they just signed an additional $20,000 loan to pay delinquent interest.
McDougal rapidly expanded Madison Guaranty S&L, prompting the Arkansas banking commissioner, Marlin Jackson to stop making imprudent loans. The banking regulator told Clinton about McDougal's shoddy practices, but Clinton took no action.
McDougal Bank Investigated; Madison Assets Grow
+ The Kingston Bank, which James McDougal purchased in 1979, came under investigation. Governor Clinton's banking commissioner informed the Governor that McDougal was engaging in questionable banking practices (New York Times, 11-2-93).
From assets of $6 million, Madison had now grown to over $100 million (Ibid.).
3-28-83: Letter from Mrs. Clinton (on Governor's Mansion letterhead) to "Dear Gaines" which reads, in part, "Here are my records. I've tried to list all categories of income and deductions on the enclosed typed pages. . . .I do not as yet have the tax info from McDougal's accountant about White River. I will try to get it but may want you also to contact him. After you've had a bank to review these, I'd be glad to meet with you."
This letter shows that Mrs. Clinton was actively involved in the handling of Whitewater's financial records.
9-3-83: Letter from Mrs. Clinton (on Governor's Mansion letterhead) to Jim McDougal stating, "I just received the enclosed. What needs to be done about this, and have you closed out our interest? Could you have someone call me?"
This letter shows that Mrs. Clinton was seeking answers, apparently about financial matters associated with Whitewater. A handwritten note on the bottom of the letter reads, "Done 10-18-83 ."
9-30-83: Governor Clinton signs a $20,80 0 loan from Security Bank of Paragould, the proceeds of which are remitted directly to Madison Bank and Trust and applied to Hillary Clinton's loan.
10-10-83: Letter from Rose Law Firm Managing Partner C.J. Giroir, Jr. to Jim McDougal referencing Mr. McDougal's discussion with Hillary Rodham Clinton about legal services rendered.
10-14-83: The Clintons and McDougals sign $128,075 mortgage loan renewal from Citizens Bank of Flippin.
The last renewal, on November 1, 1982, required the shareholders to obtain a $20,000 loan to pay delinquent interest. Approximately one year later, just one lot had been sold and only a small $1,166 principal reduction had been made. The Clintons must have observed that the economics of the project continued to be problematic, and should have questioned how the loan, for which they were personally obligated, would be repaid.
Hundreds of thousands of dollars in mysterious checks began moving through Whitewater's account at Madison Guaranty, according to a later probe by the RTC. The investigators suspect Whitewater was operating a check-kiting scheme to drain money from the S&L.
Whitewater Posts Losses; Madison Hires Hillary
+ According to check ledgers, Whitewater posted losses beginning in 1984 and had frequent and large negative balances in its account at Madison (New York Times, 11-2-93). The Resolution Trust Corporation later alleged that beginning in 1984 , Whitewater was used by the McDougals in a check-kiting scheme involving funds from Madison (Washington Post, 11-11-93).
+ The Los Angeles Times (11-7-93) reported McDougal said Clinton "stopped by after a morning jog" to tell him that family finances were tight and ask if he could please throw some of Madison Guaranty Savings' legal business to his attorney wife, Hillary Rodham Clinton. When asked how much they needed, Clinton said "$2,000 a month," according to McDougal.
+ Hillary Clinton, then with the Rose Law Firm, began accepting a $2,000-a-month retainer from Madison Guaranty. Mr. McDougal said he hired Hillary at the urging of her husband, Governor Clinton (Los Angeles Times, 11-12-93). She remained on retainer for 15 months.
1-19-84 Letter from Jim McDougal to the Canadian Department of Tourism listing Gov. Clinton as a business and character reference.
9-6-84: Memorandum to Gov. Clinton about phone call from Susan McDougal requesting that Gov. Clinton attend a party for her husband. Gov. Clinton responds that he would like to attend and give Jim McDougal an "FDR bust."
9-30-84: The Clintons sign $18,80 0 loan renewal from Security Bank of Paragould.
Whitewater paid $4,811.19 on the loan for accrued interest and a $2,000 principal reduction. The Clintons improperly deducted the $2,81 1.19 interest payment paid by Whitewater on their personal tax returns.
10-1-84: Letter from Hillary Clinton to Jim McDougal regarding past due notice received from Security Bank of Paragould and requesting a tax receipt for her records.
10-4-84: Letter from Jim McDougal to Hillary Clinton regarding a Whitewater check to pay interest and make a principal reduction on Security Bank of Paragould loan and advising that he will forward a tax receipt to her when received.
10-22-84: Letter from Hillary Clinton to Jim McDougal about Security Bank of Paragould loan renewal, stating, "Will you ask someone to take of this for us?"
10-29-84: Letter from Gov. Clinton to Jim McDougal apparently responding to a letter from Jim McDougal about state laws that apply to the operation of vending machines.
11-21-84: Letter from Jim McDougal to Hillary Clinton stating, "I urgently need your personal financial statement to renew the Whitewater note at Flippin."
11-21-84: Letter from Jim McDougal to Ron Proctor of Citizens Bank of Flippin enclosing a Whitewater check for $6,000, along with personal and corporate financial statements, and noting that Governor Clinton will mail his statement directly.
11-26-84: The Clintons and McDougals sign $100,121 mortgage loan renewal from Citizens Bank of Flippin.
The Clintons should have questioned how a $27,954 principal reduction was made in light of past chronic cash shortfalls and minimal lot sales activity since the last renewal. Related correspondence indicates that the loan renewal was not actually signed on this date.
12-3-84: Letter from Ron Proctor of Citizens Bank of Flippin to Jim McDougal enclosing a renewal note that needs to be signed by the Clintons and McDougals, as well as by the corporation. The letter also requests that Jim McDougal "Please tell Mr. Clinton that the renewal will not go into effect until we receive his current personal financial statement. This means that the loan will remain past due until we receive the statement."
12-12-84: Letter from Jim McDougal to Betsy Wright of the Governor's Office stating, "Governor Clinton has made a commitment concerning this bill which I need to discuss with you at your convenience."
12-12-84: Letter from Jim McDougal to Ron Proctor of Citizens Bank referencing that he has forwarded the note renewal to the Clintons for them to sign and return directly to him.
12-12-84: Memorandum from Jim McDougal to Hillary Rodham Clinton requesting that she sign her name and Bill's name to the enclosed financial statement and note renewal. The memorandum further states that he will be glad to visit with her at any time, and to please let him know when it will be convenient for her.
This letter indicates that Mrs. Clinton apparently is again seeking information about Whitewater's finances.
Clinton appoints friend, Beverly Bassett Schaffer, as head of the State Securities Department (which oversees the banking commission and supervises S&Ls). Schaffer had represented Madison Guaranty at her law firm. (In that role, federal regulators now say, she knew how badly Madison violated regulations.)
1-2-85: Madison Financial issues $400 check to Inaugural Committee per Susan McDougal.
2-7-85: Memorandum from Jim McDougal to Gov. Clinton recommending John Latham and Dr. Jerry Kendall for the State Savings and Loan Board, wherein he notes that, "I am about the only one around who has any interest in this board."
3-26-85: Memorandum from staff to Gov. Clinton about attending Jim McDougal's fund raiser on April 4 around 4:00 or 4:30. Governor Clinton responds with a handwritten note on the bottom of the memorandum stating, "really needs at least and hour."
1985 - APRIL
Bill Clinton asked McDougal to host a fund-raiser to pay off a $50,000 personal loan that Clinton had borrowed to help finance his 1984 campaign. The event raised $35,000. ( An article in the USA today states that most of this money came in the form of cashier checks from Madison Guaranty under the names of prominent depositors. Those named on the checks have been contacted and have stated that they never contributed money to Clinton. This has investigators examining the possibility the money from Madison was illegally diverted to Clinton campaign. If true - that Madison gave money in the name of a depositor without that person's knowledge - that would be improper diversion of depositor funds, a felony.)
+ Days before McDougal held a fund-raiser on April 4, 1985, that raised at least $35,000 to help Clinton pay off his debt to his 1984 reelection campaign, McDougal learned that Madison was being scrutinized by federal regulators (New York Times, 11-2-93).
+ "At least one person listed as having donated money at the 1985 event has denied he contributed to Clinton" (Arkansas Democrat Gazette, 1-15-94).
+ It is widely speculated that McDougal illegally diverted Madison funds to Clinton's campaign (Time, 1-17-94).
+ It was during this time that Whitewater allegedly was used by the McDougals in a check kiting scheme to drain funds from Madison. Details of the alleged scheme were published by the Washington Post (11-11-93):
+ "Whitewater issued 10 checks for more than $70,000. Several were written to the Bank of Cherry Valley, where Clinton had a campaign account. . . other alleged shell corporations, or from Madison Financial Corp., the S&L's wholly owned subsidiary.
+ "One $30,000 check was issued on Whitewater's account to McDougal with the notation `loan repayment,' though sources said the RTC found no records of any loan from McDougal.
+ "That check resulted in an overdraft that was covered by a deposit of $30,000 from Madison Financial Corp. (MFC). In April 1985, according to S&L documents, MFC deposited $30,000 directly into Whitewater's account as a `prepayment' on a 1985 bonus to McDougal, MFC's president."
4-3-85: Stephens Security Bank (Stephens, Arkansas) loans $135,000 to James and Susan McDougal for their Flowerwood Farms real estate development in Pulaski County, 100 miles north of Stephens. Stephens Security was known to have ties to the Arkansas elite, and many corporate matters were handled by C. Joseph Giroir Jr - chairman of the Rose Law firm. Hillary Clinton used her name to secure the $135,000 loan. Don Denton, a former VP at Madison S&L, has given an affidavit to Kenneth Starr stating he was in the room when Hillary signed for the loan.
The April 3 note was secured by 11 lots in Flowerwood Farms, and the proceeds went into the Flowerwood Farms account at Madison.
One check for $24,599.90 went to Whitewater Development to cover an overdraft. As the Clintons were 50-50 partners, they directly benefited from this payment. Two more checks for $140,000 paid off personal loans of Jim McDougal. By April 19, Flowerwood Farms account was overdrawn by $50,000.
Another check from the Flowerwood Farms money for $3,000 was given to former Senator William Fullbright.
4-4-85: Gov. Clinton's daily schedule reflecting his attendance at Jim McDougal's fund raiser from 4:15 to 5:30. The event was held at Madison Guaranty and its purpose was to help the governor retire his personal 1984 campaign debt. At least $32,000 is raised from Madison Guaranty employees, borrowers and other insiders.
4-4-85: Madison Guaranty cashier's check #Q2496 for $3,000 issued to Bill Clinton Campaign Fund.
4-4-85: Madison Guaranty cashier's check #Q2497 for $3,000 issued to Bill Clinton.
4-4-85: Madison Guaranty cashier's check #Q2498 for $3,000 issued to Bill Clinton.
4-4-85: Jim and Susan McDougal contribute $3,000 to Gov. Clinton's gubernatorial campaign fund.
4-4-85: Senator William Fullbright gives a $3,000 contribution - money he just received from McDougal - to Bill Clinton at a fund raiser at Madison's Little Rock HQ. This event was used to retire a $30,000 debt Clinton had from a loan taken out during his '84 campaign. So Hillary had signed a loan where a portion of the money had been diverted to others and then given to Bill to retire his loan. As the Flowerwood account was overdrawn by 4-19, this is an example of diverting S&L money to Bill while contributing to the default of Madison.
4-9-85: Memorandum to Gov. Clinton relaying message from Jim McDougal about the importance of the governor attending an April 15 event with him.
4-24-85: Letter from Madison Guaranty employee Sue Strayhorn to the Governor's Office providing addresses for contributors at the April 4, 1985 fund raiser.
4-30-85: Letter from Jim McDougal to Gov. Clinton recommending Skip Emmett for the County Agent job in Newton County.
4-30-85: Hillary Clinton, who represents Madison, proposes an unusual stock sale to shore up the troubled S&L. This was described as a "precedent-setting" stock reissue plan to state regulators to save Madison (Washington Post, 1-24-94). Madison's attorneys included a Frost & Co. audit of Madison to demonstrate its solvency as part of their petition to state regulators (Los Angeles Times, 1-16-94).
Schaffer approves the deal over the objections of the banking commission ( and Federal regulators). (Madison was represented before Schaffer by Hillary Clinton, on retainer by McDougal at $2,000 a month. McDougal says he hired Hillary because Bill Clinton begged him to. Schaffer, in a "Dear Hillary" letter, approved the Stock sale. Federal regulators complained to Schaffer about McDougals business practices, but she did nothing.)
5-14-85: In a "Dear Hillary" letter, Arkansas State Securities Commissioner Beverly Bassett Schaffer approved the stock reissue plan advanced by Madison's attorneys, including Hillary Rodham Clinton, but the plan was never carried out (New York Times, 11-2-93; Washington Post, 1-24-94). Clinton appointed Schaffer to this post of regulating the state's S&Ls, and her brother helped manage Clinton's 1984 campaign.
5-23-85: Letter from Jim McDougal to Hillary Clinton indicating that he would like to meet with Rose Law Firm Managing Partner Joe Giroir, "to discuss a couple of banking matters with him which might be mutually beneficial."
7-9-85: McDougals use the same 11 mortgaged Flowerwood Farms lots to secure a second loan from Madison for $99,113. The McDougals have just committed fraud on a federally insured institution as there is no evidence that the Madison board or Hillary Clinton were informed of the double pledging of the lots.
7-11-85: Internal Madison Guaranty memorandum from Jim McDougal to John Latham stating, "I need to know everything you have pending before the Securities Commission as I intend to get with Hillary Clinton within the next few days."
8-4-85: Memorandum to Gov. Clinton about a problem concerning the Savings and Loan Board to which Gov. Clinton responds by advising staff to call Jim McDougal.
8-8-85: Internal Madison Guaranty memorandum from Pat Jones to John Latham about preference to use Hillary Clinton on Madison Guaranty's application to move its home office.
8-9-85: Internal Madison Guaranty memorandum from Pat Jones to Sarah Hawkins referencing that John Latham will talk to Hillary Clinton about Madison Guaranty's application to move its home office.
9-4-85: Internal Arkansas Department of Finance and Administration document noting that Mrs. Lorene McDougal (Jim McDougal's mother) is a personal friend of Gov. Bill Clinton.
10-11-85: Bill Clinton signs $13,80 0 loan renewal from Security Bank of Paragould.
11-1-85: Letter from Marlin D. Jackson, Arkansas Bank Commissioner, to Charles D. Campbell, Security Bank of Paragould vice president, stating, "It is my understanding that Jim McDougal, a close friend as well as business associate of Governor Clinton, is to forward to you a check for $2,322.42 representing the interest due on the note."
11-8-85: Letter from Jim McDougal to Charles D. Campbell, Security Bank of Paragould Vice President, with a cc to Bill, enclosing a $7,322.42 Whitewater check to be applied to Bill Clinton's loan.
Whitewater paid $7,322.42 on the loan for accrued interest and a $5,000 principal reduction. The Clintons improperly deducted the $2,322.42 interest payment paid by Whitewater on their personal tax returns.
11-20-85: Internal Madison Guaranty memorandum from Jim McDougal to Seth Ward stating that, "I have spoken with the Governor on this matter, and expect it will be approved."
11-21-85: Telephone call from Governor's Office to Jim McDougal.
Late 1985 - the FSLIC, noting irregularities, tells McDougal that they will audit Madison in early 1986.
12-9-85: Richard Smith from Stephens Securities calls McDougal. S&L examiners are after Stephens to reduce its questionable "out of region" loans, and Smith wants the Flowerwood Farms note paid off.
12-10-85: Gov. Clinton names Jim McDougal to the Martin Luther King Holiday Commission.
12-17-85: Internal Madison Guaranty memorandum from Sue Strayhorn to Davis Fitzhugh referencing that Margaret Carter, a prospective tenant, was referred to Jim McDougal by Bill Clinton.
12-19-85: Telephone call from Governor's Office to Jim McDougal.
12-19-85: Governor Clinton's daily schedule reflecting a dinner engagement at the Governor's Mansion with Jim McDougal and J.W. Fulbright.
December '85 -January '86 - needing capital to correct the books for the double pledging (as well as other deals), McDougal gets in bed with David Hale, Jim Guy Tucker, and Bill Clinton. They plan a scheme where money from Hale's Capital Management Services Inc. will flow to McDougal, Jim Guy Tucker, and Stephen Smith (once Clinton's chief of staff). By January the money begins flowing to these people. Hale is later placed under indictment for fraudulently getting federal backing for Capital Management Services Inc..
Whitewater Gets Funds From SBA-Backed Loan to Start New Development; McDougal Removed as Madison Head
+ David Hale, owner of Capital-Management Seto Whitewater partner Susan McDougal, to help "clean up" some personal financial and legal problems. Capital-Management Services issued a check for $300,000 made out to "Susan H. McDougal d/b/a Master Marketing" on April 3, 1986 (Washington Times, 11-4-93).
+ Whitewater may have used $110,000 of the $300,000 loan to Susan McDougal by Capital-Management Services to purchase a new development southwest of Little Rock, known as Lorance Heights, which also failed. Despite the fact that Capital- Management Services, Inc., was supposed to lend funds only to disadvantaged businesses, the McDougals had recently filed a financial statement showing a net worth of $2.2 million (Washington Post, 11-6-93; Washington Times, 3-24-94).
+ Madison owner James McDougal was removed from Madison's affairs by Federal and state regulators for financial mismanagement (Chicago Tribune, 11-10-93).
1-3-86: Richard Smith from Stephens Securities calls McDougal. He asks again that Flowerwood Farms note be moved out of Stephens Securities.
1-13-86 Letter from Gov. Clinton to Jim McDougal providing him with a print entitled "Summer at Campobello" for his development company's use.
1-15-86 Telephone call from Governor's Office to Jim McDougal.
1-15-86: - McDougal meets with Clinton and pays $40,000 to Stephens Securities for the Flowerwood Farms note. He still owes them almost $100,000.
1-18-86 Gov. Clinton's daily schedule reflecting appointment with Jim McDougal at the Governor's Mansion.
1-28-86 Telephone call from Governor's Office to Jim McDougal.
1-30-86 Rose Law Firm fee bill referencing services performed by Hillary Rodham Clinton for Madison Guaranty.
1-30-86 Memorandum from staff to Gov. Clinton about phone call with Jim McDougal regarding some complaints Jim McDougal had about the Health Department. The memorandum reads, in part, "He told me to look for the memo he gave you that had the complaints outlined and that I could find that memo in your coat pocket of the jacket you had on when he saw you.. . . . He insisted that I find that coat and I would have the memo, but if, by chance, I couldn't find it and was unable to talk to you about the problems, to call him back. I called him back on Tuesday of this week. He was out, but his secretary said that he had spoken to you that very day long . . . so she felt like the issue was resolved. I did speak to Jerry Hill at the Health Dept. and they have copious letters from McDougal and would be glad to respond to any and all of the complaints outlined in the memo that is in the coat pocket."
1986 - FEBRUARY
David Hale, a local judge ( appointed by Clinton ) and a federally sponsored tending-company operator, was asked by Clinton and McDougal to arrange a loan of $300,000 to clean up dubious loans at Madison S&L. Hale approves the loan for that amount to McDougal's wife, claiming one of her companies qualified as a disadvantaged small business ( minority owned firm.) ( Also, Hale is later indicted on charges of defrauding the Small Business Administration.)
2-3-86 Telephone call from Governor Clinton to Jim McDougal telling McDougal to be in his office in an hour.
This call was placed at 9:23 A.M. David Hale and Arkansas State Trooper L.D. Brown have stated that during the first week of February 1986, Hale encountered Gov. Clinton returning from his morning jog on the steps of the State Capitol, and that Gov. Clinton pressured Hale to make a loan during that encounter, asking if he was going to "help him and Jim out."
2-3-86 Letter from Security Bank to Bill Clinton enclosing an interest statement and noting that the original notice had been sent to Jim McDougal.
2-5-86 Memorandum from staff to Gov. Clinton attaching information provided by Tom Butler (Health Department deputy director) regarding "McDougal issues."
2-20-86 McDougal, concerned about the fraud of his double pledge of the Flowerwood Farms lots, retires his note with Madison. But Bill Clinton is still concerned that Hillary's name is associated with the note at Stephens.
2-25-86 Memorandum from staff to Governor Clinton about the Health Department and Jim McDougal advising him that Tom Butler is still trying to get a handle on the McDougal memorandum and that the Health Department had alerted its people to respond to calls with caution and diplomacy. The memorandum further notes that Jim McDougal has not fulfilled written commitments he made to the Health Department in April 1984 .
2-28-86: David Hale meets with Bill Clinton at Castle Grande. Bill applies pressure for Hale to make an illegal loan to McDougal to bail out the Flowerwood Farms note at Stephens. They decide to loan money to Susan McDougal's advertising company and then divert it to other places, including Stephens Security.
3-4-86 Bill Clinton listed as a tentative "insider" in FHLBB examiner's work papers regarding Madison Guaranty. This is the effective date of the examination.
3-4-86 Gov. Clinton's daily schedule reflecting meeting at the Governor's Mansion with Jim McDougal and Tom Butler about sewage disposal problems at Maple Creek Farms.
3-4-86 Memorandum from staff to Gov. Clinton about meeting that day with Jim McDougal stating, "I have met with Health Dept. people in regard to the memo you received from McDougal.. . . Bill Teer did relate that back in 4/84 McDougal was disconcerted at being requested to sign the Memorandum of Understanding (attached). He did refer to Teer and Bruce Kirsch as incompetent bureaucrats, SOBs, and told them the memorandum was worthless and that the Governor was his good friend, etc."
3-5-86 Memorandum from staff to Gov. Clinton about March 4 meeting with Jim McDougal stating that attendees "kept silent yesterday out of respect for you, but their silence was not tacit approval of Jim's accusations. Frankly, they were taken aback at some of what he said and felt a great deal of frustration at not responding. . . . I believe they took their cue from you when you told them that Jim was your friend of 20 years who had never asked for a favor."
3-21-86 Handwritten note to Tom Butler apparently from his staff relating a conversation in which Jim McDougal said, "Don't want to act political but if we have had another Gov he'd fire Lex Dobbins - this kind of man can defeat Bill Clinton." The note further states, "Remember Jim said that Lex Dobbins wasn't going to defeat BC - he hadn't spent $60,000 on him since he was 18 to sit back & watch a crazy, psychotic person like Lex Dobbins defeat BC."
3-25-86 Health Department Deputy Director Tom Butler writes Jim McDougal apologizing for the delay in getting back with him and advising him that the transfer of all documents and responsibilities regarding Maple Creek Farms, Brittany Point and Eden Park have been completed. The letter states, "I can assure you that any future decisions and subsequent actions concerning this matter will first be discussed and approved by upper management of the Health Department."
4-1-86 David Hale gets a call from Richard Smith saying they will try to close out the Flowerwood Farms note on Wednesday.
4-3-86 Capital-Management Services, Inc. funds a $300,000 loan to "Susan McDougal dba Master Marketing," partial proceeds of which were diverted for the benefit of Whitewater Development Company, Inc.
4-3-86 - The Flowerwood Farms note at Stephens comes due. David Hale gives $300,000 to Susan McDougal's Master Marketer advertising company. Stephens Security marks the note as paid even though they have no money as of yet.
4-6-86 - McDougal gives Stephens Security a check for $111,524.21. But the cashiers check does not clear until September. Fraudulent entries as to the date the check was written are suspected.
Two additional checks from the 300K totaling $36,000 went to International Paper Realty Co for another land deal. At the same time, Gov. Clinton gives International Paper Realty Co a large tax break.
Another $42,000 went to two individuals. The remaining $110,000 is missing as are the microfilm records from Madison which would have shown where the money went.
4-16-86 Telephone call from Gov. Clinton to Jim McDougal.
4-29-86 Memorandum from Jerry Hill of the Arkansas Health Department to the Governor's Office providing a status report since the meeting with Jim McDougal which reads, in part, "Keep in mind that Mr. McDougal's agreements concerning public sewer have not been met and that the Covenants and Restrictions of Maple Creek Farms possibly contradict Act 402 of 1977."
6-23-86 Handwritten note from "Carolyn" to Mrs. Clinton confirming that she had forwarded a bill to Jim (McDougal).
6-26-86 Memorandum from staff to Gov. Clinton about Maple Creek Farms which reads, in part, "Tom Butler called and they are in the process of getting a complete report over to us on all that has been going on re Maple Creek here of late. . . . Tom feels that they have made every effort to work with the Maple Creek people. No matter who is assigned to work at these lots out there the conclusion is going to be the same - all of the soil is not suitable for septic tanks. Tom did say that they will take no action until you see the full report and he heard back from us."
1986 - OCTOBER
SBA loan diverted to Whitewater to buy 81 0 acres from International Paper.
[July, 1986 - At this point, we know that the Flowerwood Farms note has not been paid because the check won't be cashed for 2 more months. Thus, Hillary is still on the hook for the Flowerwood note (as well as the possibility that she was a willing participant in the fraudulent double pledge of the lots). The paper trail still points to Hillary. Clinton runs into Hale in Little Rock's University Plaza Mall and says "Have you heard what that fucking whore Susan has done?" Hale claimed he did not, and Clinton rushed off without explaining. Bill is agitated about the paper trail on Flowerwood as well as the possible sweetheart deal given International Paper Realty Co and the fact that both he and Hillary could be in big trouble.]
10-22-86 Letter from Carolyn Huber to Mrs. Clinton about tax issues relating to the property Mrs. Clinton owned at Whitewater Estates. The letter relays phone conversations Ms. Huber had with Susan McDougal, Jim McDougal's office, Madison Bank, and the Marion County Tax Collector.
11-14-86 Letter from Jim McDougal to the Clintons about the status of Whitewater stating, "The company to date has experienced losses totaling approximately $90,000. . . . Susan and I have in large measure contributed to the company the funds necessary to cover these losses."
12-16-86 Letter from Jim McDougal to the Clintons about buyers of Whitewater lots that have defaulted, "thereby creating a shortfall of about $1,000.00 a month for our monthly payment to Citizens Bank of Flippin."
1986 (late in the year)
Banking regulators (federal) remove McDougal as chief of Madison S&L, issuing a scathing report about faulty record keeping and the diversion of funds to friends and family.
Whitewater Records to Hillary?
+ James McDougal claimed that in late 1987, he sent all Whitewater records and files to Hillary Rodham Clinton at her request (Washington Times, 11-4-93). The Clintons said many of them have disappeared (New York Times, 3-8-92).
4-14-87 Memorandum from staff to Gov. Clinton about a visit from R.D. Randolph which reads, "Mr. Randolph dropped by to see you this morning to talk to you about the Water Bill you vetoed. He said that he talked to you on Sunday morning. He wants to know if the veto is going to stand. He would like you to call Jim Guy Tucker about it. He said that he has a difficult time getting an answer from you (He mentioned a meeting between you, Tucker and Jim McDougal a couple of years ago which involved $33,000. This was pretty cryptic). He seemed angry. Someone, I think he prefers you, needs to call Tucker."
Approximately two years from this date, on 4-4-85 , Jim McDougal hosted a fund raiser for Governor Clinton at Madison Guaranty which raised approximately $33,000.
11-28-88: Hillary Clinton sent a letter to James McDougal requesting that he sign an enclosed power-of-attorney request for Whitewater Development, including giving her the power to endorse, sign and execute "checks, notes, deeds, agreements, certificates, receipts or any other instruments in writing of all matters related to Whitewater Development Corp." The Clintons' spokesman in 1992 claimed they were only "passive shareholders" in Whitewater (Washington Times, 11-4-93).
12-7-88: Capital-Management Services, Inc., filed a complaint with the Circuit Court of Pulaski County, Arkansas, alleging default of its $300,000 loan to Susan H. McDougal. The Court judgment against Susan McDougal occurred on February 6, 1989.
Federal regulators liquidated Madison S&L at an estimated cost of $47- $60 million to taxpayers.
Madison's Failure Costs Taxpayers $47 Million; Rose Firm Hired
+ The Washington Post on November 3, 1993, reported:
"The thrift, Madison Guaranty Savings and Loan, failed in 1989, costing taxpayers an estimated $47 million. In an effort to recoup some of that money, the Federal Deposit Insurance Corp. hired the influential Rose law firm of Little Rock to sue the S&L's accountants, paying it $400,000 in fees and expenses.
"Through a Justice Department spokesman, (Associate Attorney General Webster) Hubbell said he told the FDIC that lawyers at his firm, including senior partner Hillary Rodham Clinton, had represented Madison in the mid-1980s.
"FDIC officials said their attorneys ice, wrote to the FDIC earlier in 1989 soliciting work for his firm.
"`The firm does not represent any savings and loan association in state or federal regulatory matters,' Foster wrote, using the present tense. Conflict- of-interest rules generally bar lawyers from representing the government in S&L cases if they have done significant work for the thrift."
+ While the Rose Law Firm was seeking the FDIC's business, FDIC attorney April Breslaw, "known for her toughness on conflict of interest, intervened on behalf" of Rose partner Webb Hubbell as he sought to represent the FDIC in a $10 million suit against Frost & Co., Madison S&L's auditors. The suit challenged the accuracy of the audit that Rose had relied upon in previously representing Madison in 1985 . Breslaw "brushed aside repeated internal challenges to Hubbell's loyalty to [the] FDIC"; she "vouched in writing for the Rose firm's performance" in another FDIC case; and she "inexplicably approved a $1 million settlement with Frost, although it had $3 million in liability" (Washington Times, 2-15-94).
Whitewater filed no income tax return in 1990, 1991, and 1992.
Clinton's gubernatorial campaign workers gave cash to black ministers to get them to encourage their congregations to vote for Clinton. (US News & World Report)
+ James McDougal was acquitted of charges that he illegally profited from real estate deals involving the development subsidiary of Madison Guaranty, Madison Financial Corporation.
Nearly all of Whitewater's land had been sold. Later (after 1992) tax returns files by Clinton attorney Vincent Foster show strong assets of $160,000.
Rose Settles Madison Suit for $1 Million, Keeps 40 Percent
+ The government sought $60 million in its suit against Madison Guaranty's accountants, Frost & Co. The Rose firm settled the case on the FDIC's behalf with little publicity in 1991 for $1 million (Washington Post, 11-3-93). "`I felt they [the Rose firm] had switched sides they turned around and worked the other side of the street,' said one of the accountants, who asked not to be named because he continues to have dealings with the Rose law firm" (Washington Post, 11-3-93). The Rose Firm billed the FDIC $400,87 9 , "40 percent of the money recovered in the settlement" (Washington Times, 3-5-94). In a letter to the FDIC inspector general, U. S. Rep. Jim Leach said "Mr. Hubbell settled the suit for a fraction of the firm's insurance coverage, and then had the gall to demand $400,000 in fees" (Ibid.).
1986 - 1991 - The Madison default case is swept under the rug.
Whitewater Becomes Campaign Issue;
Whitewater Documents Allegedly Destroyed;
Clintons Sell, Named in Criminal Referral;
Tax Returns Not Filed
+ After the New York Times originally broke the Whitewater story on March 8, Clinton, on March 12, asked Denver lawyer and personal friend James Lyons to prepare a "full financial review" of the land deal.
Lyons's review, based on a report prepared by Patten, McCarthy and Associates, a Denver-based forensic accounting firm that specializes in "financial reconstruction's," was completed and made public on March 23, 1992, ed, loaned or otherwise advanced" to the development company $68,900 since the venture began in 1978. It further claimed that Whitewater had an outstanding mortgage of $10,400 plus accrued interest for which the Clintons are joint guarantors (Associated Press, 3-23-92).
However, "there is evidence aplenty that the Lyons report omitted or glossed over some pertinent facts," the Wall Street Journal reported on January 4, 1994. Three year's worth of unfilled tax returns were never mentioned. It also failed to mention an airplane-for-land swap involving Chris Wade, the real estate agent for the development, and James McDougal. Wade sold the plane to Whitewater, but McDougal took possession and sold it to Seth Ward a Madison subsidiary employee and Webster Hubbell's father-in-law.
Additionally, the Lyons report failed to report Whitewater's largest transaction an October 1986 , $550,000 purchase of land owned by International Paper Company's realty unit (IPC eventually foreclosed on the property after Whitewater didn't make payments). In 1985 , Governor Clinton had negotiated major tax concessions to keep International Paper from moving two of its plants out of Arkansas.
+ Further, Patten, McCarthy & Associates, the accounting firm which prepared the 1992 report, refused to vouch for the accuracy of its findings, according to the Wall Street Journal on January 12, 1994. In addition, the Wall Street Journal on April 1, 1994, reported that a draft analysis of Whitewater finances prepared for the Clinton presidential campaign "suggests that Bill and Hillary Clinton may have taken improper tax deductions in 1979 and 1980 ." The draft report was never made public.
+ The Washington Times reported on March 7, 1994, that three current or former Rose Law Firm attorneys "were summoned" to the Arkansas governor's mansion during the 1992 campaign by Hillary Rodham Clinton, "who personally handed over records to be shredded at the firm's downtown office." The shredding began after a 3-8-92 New York Times report on the Clintons' involvement with Whitewater, and continued through the November 3 election.
+ James McDougal made accusations about Governor Clinton in at least one tape-recorded conversation with Arkansas GOP Co-Chairman and former gubernatorial candidate Sheffield Nelson. McDougal accused Clinton of not being truthful about Whitewater losses (Newsweek, 2-7-94).
+ The Washington Post reported on November 11, 1993, that the RTC named the Clintons' business partners, the McDougals, as targets in an October 1992 referral to the Justice Department. According to a number of press reports, Bill and Hillary Clinton were also named in the referral as potential beneficiaries of a check-kiting scheme conducted by the McDougals, but there was no evidence they had any direct knowledge of the scheme.
Madison case is re-opened as part of the Whitewater investigation. US Attorney Charles Banks rushed the referral out of his office without even reading the entire case. He admits later that he did so because it was politically charged (involving the president elect and his wife) and that he did not want to make waves as he was a candidate for a federal judgeship.
David Hale uses a fraudulent maneuver to recapitalize his Capital Mgmt Services. Auditors in the Small Business Admin. begin to pry into Hale's books. The Clinton's anxiety rises as they are afraid this investigation might uncover the paper trail stemming from the $300,000 loan given to Susan McDougal.
Clinton aide George Stephanopoulos calls the SBA on several occasions, schmoozing them for their handling of matters in Arkansas and asking pointed questions about how the agency was being run. At the time, Hale's firm was the only SBIC in the state of Arkansas, so George was directly attempting to find out what the SBA had uncovered.
1992 - MARCH
To answer questions about their involvement in Whitewater, the Clintons ask friend James Lyons to audit their investment. He reports they received no return on their $69,000 investment.
1992 - NOVEMBER
The RTC notified the Justice Department that Whitewater benefited from the check-kiting scheme at Madison S&L. Justice did not pursue the case.
1992 - DECEMBER
The Clintons sold their half-interest in Whitewater to McDougal for $1000.
1993: FBI Raids an Office;
Foster Found Dead;
U.S. Attorney Finally Recuses Self;
White House, President Given Heads Up;
Calls for Investigations Begin
1-20-93: Bill Clinton inaugurated president--celebration costs approximately $25 million. At least $154,000 worth of radios, computers, televisions, VCRs, walkie-talkies and pagers are stolen by Clinton inauguration employees and volunteers.
1/21/93: Clinton breaks his first promise: to introduce his legislative program by the day after his inauguration.
1-22-93: Clinton lifts ban on fetal tissue research.
1/22/93: Clinton abolishes the Competitiveness Council even though its regulatory reform promised to save taxpayers $20 billion annually and create 200,000 jobs.
Attorney General nominee Zoe Baird withdraws after admitting she hired illegal aliens and neglected to pay their Social Security taxes.
1-25-93: Hillary Clinton is named to run Clinton's health care reform task force, which the White House says will cost taxpayers $100,000.
1-29-93: Clinton announces his plan to fully integrate gays into all branches of the military. (See 7-19-93.)
February: The SBA are cracking down on Hale. Clinton replaces the SBA administrator with Erskine Bowles - a friend from North Carolina. Bowles keeps whitehouse chief of staff Mack McLarty informed on the Hale case. So now Bill has an insider at SBA he can use to do damage control over anything implicating him or Hillary that might come out of the Hale investigation.
2-5-93: Kimba Wood withdraws her name for nomination as attorney general after its disclosed she employed an undocumented worker as a nanny.
2-9-93: Clinton eliminates 83 percent of the staff at the White House Office of National Drug Control Policy.
2-17-93: Clinton announces budget proposal, widely recognized as a government-growth package with $359 billion in increased taxes and fees--breaking his campaign promise to lower taxes for the middle class. (See 8-5-93.)
3-9-93: In a letter to Clinton, Mochtar Riady--an Indonesian billionaire whose family owns the Indonesia-based cnonglomerate the Lippo Group and who owned a bank in Arkansas in the 1980s--proposes normalizing relations with Vietnam and maintaining China's most-favored-nation trade status; both occur during Clinton's term. (See 12-2-96.)
3-15-93: Clinton's economic stimulus package is introduced in the Senate. It includes, among other things, tax money for "midnight basketball."
4-21-93: Republicans in the Senate kill Clinton's stimulus package.
4-29-93: Clinton nominates "Quotacrat" Lani Guinier as assistant attorney general for civil rights. (See 6-3-93.)