Democratic fundraiser indicted

Candidates who had clamored for his support distanced themselves and gave away his contributions.

The Clinton campaign went further, refunding more than $800,000 in donations raised by Hsu.

Howard Wolfson, a spokesman for Clinton's campaign, declined to comment on Hsu's indictment.

Beyond indicating the scope of investors' losses, the indictment added little new information to allegations previously made in a criminal complaint that federal authorities filed against Hsu in September, or in civil lawsuits filed against him by investment companies in New York and Orange County.

In the criminal complaint, authorities said Hsu had confessed to FBI agents that the short-term financing deals were "phony," and that he had pushed investors to make campaign contributions.

Hsu's lawyer has said the confession should be thrown out because federal investigators obtained it when Hsu was recovering from an apparent suicide attempt and was unrepresented by counsel.

If convicted, Hsu faces a maximum of 20 years in prison on each fraud count and five years in prison for each campaign finance violation, as well as substantial fines.

Prosecutors have requested that Hsu be compelled to forfeit the proceeds of his alleged fraud, as well as his extensive wine collection and a saxophone signed by former President Clinton.

chuck.neubauer@latimes.com

robin.fields@latimes.com