Clinton Returns The Favor

- July 12, 2013


Last Night, Terry McAuliffe Was Raising Money in New York City With Bill Clinton. “Bill Clinton is the headliner at a small fundraiser for Virginia Democratic gubernatorial candidate Terry McAuliffe at the home of billionaire philanthropist Jon Stryker on Thursday night, sources told POLITICO.” (Maggie Haberman, “Bill Clinton To Raise Cash For McAuliffe,” Politico, 7/11/13)


McAuliffe Openly Bragged About Selling Access To The President “Thousands Of Times”

McAuliffe: “‘I’m A Salesman Who Sells Something. And The Product Happens To Be The President.’”  (Ed Vulliamy, “Alligator Wrestling: $15,000 Your Lunch With Bill: $50,000,” The Observer, 8/24/97)

McAuliffe: “‘Did I Ever Ring Anyone And Say That For $ 50,000 You Can Have Lunch With The President? Or, For Whatever, You Can Fly On Air Force One? Yes, I Did - Thousands Of Times! And So What?’” "‘I’m a salesman who sells something. And the product happens to be the President. Did I ever ring anyone and say that for $ 50,000 you can have lunch with the President? Or, for whatever, you can fly on Air Force One? Yes, I did - thousands of times! And so what?’” (Ed Vulliamy, “Alligator Wrestling: $15,000 Your Lunch With Bill: $50,000,” The Observer, 8/24/97)

“When It Comes To Political Money, This Is A Period When Rome Is Burning And Mcauliffe Is The Fiddler,” Says Fred Wertheimer Of Democracy 21, A Nonprofit Group Dedicated To Tracking The Influence Of Money On Politics. (Michael Weisskopf, “The Kingmaker,” Time, 5/30/00)

  • Wertheimer: “Terry McAuliffe Is A Classic Example Of What’s Wrong With This Political System…He Thinks He’s Doing Something Great For Democracy. What He Is Is A Middleman Buying And Selling Influence Over Government Policies.” (Elizabeth Shogren, “Democratic Fund-Raising King Has 26 Million Reasons to Gloat,” Los Angeles Times, 5/23/00)

McAuliffe Was The “Booking Agent Of The Lincoln Bedroom”

McAuliffe Devised The Strategy To Woo Clinton Donors By Offering Perks Like Overnight Stays In The White House’s Lincoln Bedroom. “This is far from the first time McAuliffe has come to the aid of the Clintons. He headed fund-raising for the president’s 1996 reelection campaign, devising the strategy that included wooing big donors with such benefits as overnight stays in the Lincoln Bedroom.” (Ruth Marcus, “Clinton’s Home Loan Deal Raises Questions,” The Washington Post, 9/4/99)

So Many Democratic Donors Stayed Overnight Under McAuliffe’s Program That One Democratic Fundraiser Likened The White House To A “Motel 6.” “Anybody who wants to know how the Democratic Party raked in a record $ 180 million in the last election might check the guest registry of 1600 Pennsylvania Ave. for July 27, 1995.  As Wall Street deal-maker Steven Rattner and his wife checked out of the White House that day, fresh from a night in the Lincoln Bedroom, Philadelphia lawyer Leonard Barrack and his wife were arriving with their suitcases. Directly across the hall in the Queens’ Bedroom, Boston developer Alan M. Levanthal and his wife were penned in for one night. That evening, all three families went to the East Room for a state dinner with the president and Hillary Rodham Clinton.  Together, the men and their firms contributed about $ 350,000 to the Democratic Party over the last two years and raised even more money from others. Their visit to the executive mansion was part of the inducement and the reward. Nor were they alone: So many big-money donors have slept at the White House in recent years that one Clinton fund-raiser likens the executive mansion to a Motel 6." (Michael Weisskopf And Charles R Babcock, “Donors Pay And Stay At White House,” The Washington Post, 12/15/96)

And FBI Agent Who Investigated The Scheme Said 178 Individual Who Contributed Over $5 Million To The DNC Stayed Overnight At The White House Under McAuliffe And Clinton. FBI SPECIAL AGENT JEROME CAMPANE: "Of the remaining 178 individuals, FEC records revealed that these individuals contributed a total of over $5 million to the DNC during the ‘96 election cycle. These 178 people can be divided into 114 families. And if you analyze it from that perspective, it results in an average contribution, at least per family, of over $44,000.” (Special Agent Jerome Campane, Governmental Affairs Committee, United States Senate, Testimony, 9/18/97)

The Campaign Of Fellow 2009 Virginia Gubernatorial Candidate Brian Moran Called McAuliffe “The Booking Agent Of The Lincoln Bedroom.” “Former Virginia Del. Brian Moran’s campaign slammed fellow Democratic governor hopeful Terry McAuliffe on Thursday, deriding him as ‘the booking agent of the Lincoln Bedroom.’ Responding to a mailer sent out by McAuliffe’s campaign, Moran campaign manager Andrew Roos said in a statement that ‘the last place we would go for a public service lesson is a Wall Street insider.’ ‘For decades, Mr. McAuliffe traded access for money, ensuring that big companies — not people — were in control, all the while pocketing millions through his proximity to power,’ Roos said. ‘Brian Moran will take no lectures on ethics from the booking agent of the Lincoln Bedroom and the architect of the Business Leadership Forum.’” (Andy Barr, “Brian Moran: Terry McAuliffe Was W.H. ‘Booking Agent’,” Politico, 5/28/09)

McAuliffe Led A DNC Effort Raise Money From Lobbyists By Trading Access For Contributions

McAuliffe Chaired The DNC’s “Business Leadership Forum.” “‘The people we’re bringing in could care less about going to a dinner or lunch, or going into the White House to have their picture taken,’ said Terry McAuliffe, a lobbyist who chairs the Democratic Party’s Business Leadership Forum, a club that costs members $ 15,000 a year.” (Jim Drinkard, “Lobbyists Swap Campaign Cash For ‘Exclusive, Personal’ Briefings,” The Associated Press, 6/2/93)

The DNC Hosted Lobbyists For Exclusive Breakfast Meetings With Clinton Administration Officials; In Return The Lobbyists Sold Fundraising Tickets. “The Democratic National Committee hosts lobbyists for breakfast briefings each Wednesday in a downtown law firm. The lobbyists sell tickets to a major fund-raiser, the President’s Dinner, at $ 1,500 apiece, and hear from top aides to Clinton Cabinet members.  Recent appearances have been made by Matt Gorman, Treasury Secretary Lloyd Bentsen’s director of business liaison; Tom Nides, top aide to Special Trade Representative Mickey Kantor; and White House aide Amy Zisook.” (Jim Drinkard, “Lobbyists Swap Campaign Cash For ‘Exclusive, Personal’ Briefings,” The Associated Press, 6/2/93)

McAuliffe Organized A Three Day Retreat In Florida For Business Leadership Forum Members To Meet With Clinton Administration Officials And Members Of Congress. “The Business Leadership Forum, a group that raises money in the business community for the Democratic National Committee (DNC), has raked in about $ 6 million from 400 members this year and is planning a big shindig for its donors late next month. The forum has scheduled a three-day conference and retreat at the Orlando (Fla.) Hyatt Regency Grand Cypress, at which donors will have an opportunity to meet high-level Administration officials -- possibly including President Clinton -- and Members of Congress. The schedule includes morning meetings and afternoons left free for golf, tennis and other recreation.  The forum, a reinvigorated version of an organization known previously as the Business Council, has been headed since early this year by Terry McAuliffe, a well-known Democratic fund raiser who is the managing partner of McAuliffe, Kelly & Raffaelli, a Washington lobbying firm.” (“Washington Update,” The National Journal, 10/16/93)

McAuliffe Misled Senate Investigators About His Role In An Illegal Contribution Swap Scheme For Bill Clinton’s Re-Election Campaign

In 1997, The Senate Investigated Whether The Clinton Re-Election Campaign Had Illegally Engineered A Contribution Swap With The Teamsters. “The Senate committee investigating allegations of campaign fund-raising abuses turned its attention for the first time yesterday to the possibility that funds from the International Brotherhood of Teamsters were improperly directed into the Clinton-Gore reelection effort last year. The panel’s chairman, Sen. Fred D. Thompson (R-Tenn.), suggested early yesterday that President Clinton knew about an alleged conspiracy to swap Teamsters contributions in exchange for Democratic fund-raisers directing big donors to contribute to the reelection effort of Teamsters President Ron Carey.” (Susan Schmidt, “Teamsters Contributions To Clinton Effort Probed,” The Washington Post, 10/9/97)

McAuliffe Gave Sworn Testimony That He Had No Part In The Alleged Scheme. “The report also cited sworn Senate testimony by Terence McAuliffe, who was treasurer of the Clinton-Gore ‘96 campaign, in which he said he had no active part in discussions about a contribution swap scheme that triggered a federal grand jury investigation of the 1996 Teamsters election.” (Kevin Galvin, “Fund-Raising Report Says Gore, Others Misstated Campaign ‘96 Roles,” The Associated Press, 2/10/98)

  • But The Executive Director Of The Democratic Congressional Campaign Committee Testified That McAuliffe Did Participate. “But Matthew Angle, executive director of the Democratic Congressional Campaign Committee, told Senate investigators that McAuliffe asked did we know anybody that could or would write a check to (Teamsters President) Ron Carey and that if we could help Carey, then we would perhaps get contributions back to the DCCC.” (Kevin Galvin, “Fund-Raising Report Says Gore, Others Misstated Campaign ‘96 Roles,” The Associated Press, 2/10/98)

Senate Investigators Concluded That “Terry McAuliffe And Or Other Officials Of The DNC Participated In Efforts To Engage In A Contribution Swap Scheme.” “The Senate investigators, working for the GOP-controlled Senate Governmental Affairs Committee, reached this conclusion: ‘In sum, the committee concludes that Terry McAuliffe and or other officials of the DNC participated in efforts to engage in a contribution swap scheme. Such efforts included soliciting an illegal contribution for Carey’s campaign.’” (Chris Mondics, “McAuliffe Knew About Teamsters Plan To Swap Funds, Officials Say,” The Philadelphia Inquirer, 2/20/01)

The DNC’s Former Finance Director Testified In Federal Court That McAuliffe Had Played “A Major Role” In The Scheme. “A former Democratic official has testified that Terence McAuliffe, President Clinton’s friend and chief fund-raiser, played a major role in promoting an illegal scheme in which Democratic donors were to contribute to the Teamster president’s re-election campaign, and in exchange the Teamsters were to donate large sums to the Democrats. The official, Richard Sullivan, the Democratic National Committee’s former finance director, testified in Manhattan at the trial of William Hamilton, the Teamsters former political director, that Mr. McAuliffe urged him and other fund-raisers to find a rich Democrat to donate at least $50,000 to the 1996 re-election campaign of Ron Carey, the former Teamsters president.” (Steven Greenhouse, “Witness Says Clinton Friend Had Part In Teamster Money Scheme,” The New York Times, 11/18/99)

McAuliffe Acknowledged Discussing A Potential Swap Of Campaign Funds, Saying “You Help Me, I’ll Help You. That’s Politics.” “This year, Mr. McAuliffe’s role in a questionable plan to swap contributions in 1996 by the Teamsters union and the Democratic Party surfaced during the federal trial in New York of the former political director of the union, who was convicted of fraud and conspiracy. Mr. McAuliffe, in an interview, acknowledged discussing a potential swap. ‘You help me, I’ll help you. That’s politics,’ he said. But he denied doing anything wrong, saying he had not known that the plan - which was never implemented - was meant to aid the 1996 re-election campaign of Ron Carey, the former Teamsters president.” (Jeff Gerth, “Friendship Counts: Clinton’s Top Fund-Raiser Made Lots For Himself, Too,” The New York Times, 12/12/99)

McAuliffe Put Up $1.35 Million So Bill Clinton Could Buy A House

In 1999, Terry McAuliffe Deposited $1.35 Million To Secure A Home Mortgage For The Clintons. “When former White House chief of staff Erskine B. Bowles at the last minute balked at guaranteeing a $1.35 million mortgage for the Clintons’ new house in Chappaqua, N.Y., McAuliffe rode to the president’s rescue.  In a move that enables the Clintons to buy the house – and Hillary Rodham Clinton to have a base for her New York Senate run – the 42-year-old real estate developer and dealmaker pledged to put up $1.35 million in cash to secure a mortgage for the Clintons. Otherwise, swamped by more than $5 million in legal debts, the Clintons might have had difficulty obtaining the loan for the five-bedroom, century-old house.” (Ruth Marcus, “Clinton’s Home Loan Deal Raises Questions,” The Washington Post, 9/4/99)

McAuliffe’s Backing Allowed The Clintons To Obtain A Far Better Deal Than They Would Have Received On Their Own. “Some mortgage bankers said McAuliffe’s intervention either allowed the Clintons to obtain what might appear to be an otherwise risky loan or to secure a lower interest rate because the mortgage is fully backed by collateral. 'They would definitely be in a better position to get a better rate with that deal,' said Crestar Mortgage Corp. senior vice president Patrick Casey, incoming president of the Mortgage Bankers Association of Metropolitan Washington.” (Ruth Marcus, “Clinton’s Home Loan Deal Raises Questions,” The Washington Post, 9/4/99)

Good Government Advocated Criticized The Move As “Dangerous” And “Plain Wrong.” "'It’s just plain wrong. It’s dangerous. It’s inappropriate,' said Fred Wertheimer of Democracy 21. “This is a financial favor worth over a million dollars to the president.” (Ruth Marcus, “Clinton’s Home Loan Deal Raises Questions,” The Washington Post, 9/4/99)

Clinton Insisted McAuliffe’s Collateral Was Not A Gift In Order To Avoid Listing It On Government Disclosure Forms. “But next year, there will be no mention on Mr. Clinton’s disclosure form of perhaps the most important financial favor done for him during his Presidency: the $1.35 million cash deposit made by Terry McAuliffe, one of Mr. Clinton’s closest friends, to guarantee the Clintons’ mortgage for the 110-year-old Dutch Colonial house they have agreed to buy for $1.7 million in Chappaqua, N.Y… Both the White House Counsel’s Office and the independent Office of Government Ethics concluded that the deposit by Mr. McAuliffe is not a gift because the Clintons have not received any 'tangible benefit' from it. Thus, they concluded it does not have to be listed in the gift section of Mr. Clinton’s financial disclosure form.” (Don Van Natta Jr, “The Nation; Looking a Gift House in the Mouth,” The New York Times, 9/19/99)


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