CQ TODAY ONLINE NEWS
– POLITICS
Feb. 1, 2008 – 4:25 p.m.
Rangel’s PAC Received Contributions, Bundled Funds From Hsu
By Richard Rubin, CQ Staff
Add another name to the list of Democrats linked to disgraced fundraiser Norman Hsu: Ways and Means Chairman Charles B. Rangel of New York.
In a report filed Jan. 31, Rangel’s National Leadership PAC reported receiving $1,000 from Hsu on Aug. 18. That was less than a month before the businessman, a former fugitive who was recently sentenced to three years in prison on charges stemming from previous business ventures, became anathema in Democratic circles. The U.S. attorney’s office for the Southern District of New York filed a criminal complaint against Hsu on Sept. 20, 2007, that included charges related to his campaign contributions. He faced additional charges in a federal indictment made public Dec. 4.
Hsu also bundled more than $10,000 for Rangel’s PAC, which the chairman uses to distribute money to vulnerable House incumbents and Democratic challengers around the country. Until today, Rangel’s name had stayed out of the Hsu scandal, which centered on Hsu’s bundled donations for Rangel’s favorite presidential candidate, Sen. Hillary Rodham Clinton , D-N.Y. Last year, Clinton returned more than $800,000 in Hsu-related donations.
The fund-raising occurred in connection with Rangel’s 77th birthday party at Tavern on the Green in August, said Walter Swett, executive director for Rangel’s campaign and for the PAC. Clinton attended the party, as did singer Aretha Franklin and actress Ruby Dee. Swett said Hsu’s name was not checked off on the list at the door, but he could not say for sure that Hsu did not attend.
Hsu turned himself in to authorities in August, then fled again. Democrats rushed to return the money he and others connected with him had given.
Swett tallied $10,325 in donations that came from Hsu and 12 people from whom he solicited money.
“We decided to disgorge not only the contributions from Norman, but anything he raised,” Swett said Friday.
On Sept. 14, Rangel’s PAC contributed $10,325 to the Boys Choir of Harlem. Those donations represented all of the Hsu-related contributions, Swett said, adding that providing refunds didn’t seem viable.
Swett said he did not have any information on how Hsu became a bundler for Rangel.
“We cast a very wide net for the birthday party,” he said.




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