Last year, to celebrate New York Sen. Hillary Rodham Clinton's reelection victory, Norman Hsu capped an amazingly successful year as a Democratic fundraiser by treating members of her campaign staff to several days at the glitzy Mandalay Bay hotel and casino in Las Vegas, complete with free show tickets and dinners at posh restaurants.
Among Hsu's guests was Patti Solis Doyle, who now heads Clinton's presidential campaign and has long been one of Clinton's most trusted advisors.
It was all legal and, Clinton campaign officials say, was typical of Hsu, the kind of thoughtful gesture for which they considered Hsu a treasure.
First and foremost, he always came through when contributions were needed, an eye-popping $850,000 -- all of which Clinton's presidential campaign is now returning. The money was bundled together from roughly 260 individual donors, whom Hsu brought into the Clinton fold.
Clinton's campaign spokesman, Howard Wolfson, emphasized that Hsu never asked for any legislative favors from the senator in return.
It was only recently that serious doubts began to emerge. "Now we realize that this was all part of his persona," a senior campaign aide said, requesting anonymity because he was not authorized to discuss details of the case.
Hsu's business activity "was reinforced by his efforts in politics and philanthropy," the aide said. "He seemed like a generous guy, but only later did you realize what he was up to."
The Clinton campaign was not alone. Dozens of politicians -- along with clusters of private investors from Orange County and the Bay Area to New York -- tell much the same story about the man who now sits in a Colorado jail, facing new investigations by local and federal authorities.
For all who did business with Hsu, the pattern is remarkably consistent: an initial attraction to a likable individual who offered the moon, followed by disillusionment and feelings of betrayal -- sometimes tinged with embarrassment at having been gullible.
Many questions remain about Hsu's often murky career. How could he rise to such heights, given that he had been a fugitive on a felony grand-theft charge since 1992? Why did no one ever dig into the background of a benefactor who seemed to emerge from nowhere? Exactly where did the hundreds of thousands of dollars that he showered on politicians come from?
