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Hillary Stonewalls AP's Questions on Peter Paul Lawsuit
NewsMax.com ^ | 10/25/03 | Carl Limbacher and NewsMax.com Staff

Posted on 10/25/2003 11:33:19 AM PDT by kattracks

While reporters usually pretend that Bill and Hillary Clinton's legal problems are behind them, Mrs. Clinton seems to know better. That is, at least judging by the way she's handling the latest lawsuit filed against her.

Sen. Clinton's office spent a significant part of this week dodging media questions about Stan Lee Media co-founder Peter Paul, who claimed in court documents filed in Los Angeles last week that she and her husband accepted $2 million from him and reported only a tiny fraction to the Federal Election Commission.

"Clinton's Senate staff did not respond to the Associated Press' repeated requests for comment over two days," the AP said Thursday.

In fact, the Paul lawsuit seems to have prompted a wave of stonewalling from Democratic officials, who are suddenly behaving like they have something to worry about. Here's what the AP reported about Pennsylvania Gov. Ed Rendell, who had his own dealings with the Hollywood mogul in 2000 when Rendell was Democratic National Committee chairman.

"[Paul] says he agreed to Rendell's request to donate $150,000 in Stan Lee Media Inc. stock to a June 2000 fund-raiser supporting the presidential campaign of then-Vice President Al Gore, and another $150,000 in stock to co-host a fund-raiser for Clinton's Senate campaign a day later. Rendell's press secretary, Kate Philips, said the governor won't comment."

Mr. Paul's complaint was off the radar screen for two years after he fled to Brazil to escape his own legal problems connected to the collapse of SLM. But after a harrowing sojourn in Brazilian jail, the Clinton accuser has returned to the U.S. - with a little help from the Bush Justice Department.

What may worry Democrats like Sen. Clinton and Gov. Rendell is the prospect that federal prosecutors might be moving his case to the front burner.

Judicial Watch President Tom Fitton told the AP that his client was repeatedly interviewed by federal investigators while in Brazil, and is "eager" to cooperate with federal and state authorities.

And while prosecutors won't reveal what they're up too, another witness emerged from the shadows earlier this year hinting publicly that he has some damaging information on the former first family that might corroborate Paul's claims.

"I'm a star witness against President and Mrs. Clinton," Hollywood fundraiser Aaron Tonken told lawyers, in court documents uncovered by Vanity Fair magazine over the summer.

"I'm a star witness in New York in the grand jury regarding the Marc Rich pardon and regarding the fundraising activities that I've done on behalf of the Clintons," he explained.

Tonken worked on the same gala fundraiser for Sen. Clinton that Paul helped bankroll with $2 million in cash and in-kind contributions.

No wonder Sen. Clinton is so uncharacteristically silent.



TOPICS: Crime/Corruption; Front Page News; News/Current Events; Politics/Elections
KEYWORDS: 2000election; algore; billclinton; campaignfinance; clinton; clintoneconomy; clintonscandal; comicbooks; comics; dotcom; dotcomcollapse; dotcoms; election2000; fundraising; hillary; internet; peterpaul; stanlee; stanleemedia; stonewall

1 posted on 10/25/2003 11:33:19 AM PDT by kattracks
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To: kattracks
"What may worry Democrats like Sen. Clinton and Gov. Rendell is the prospect that federal prosecutors might be moving his case to the front burner."

Incoming.....fast low flying ash trays....

2 posted on 10/25/2003 11:38:54 AM PDT by spokeshave (Cancel the San Jose Merc and the one way truck to Nevada)
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To: kattracks
While reporters usually pretend that Bill and Hillary Clinton's legal problems are behind them

I always thought that reporters, at least those that are subsidiaries of the DNC, pretended that Bill's and Hillary's legal problems didn't exist in the first place.

3 posted on 10/25/2003 11:43:06 AM PDT by Paul Atreides (Bringing you quality, non-unnecessarily-excerpted threads since 2002)
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To: kattracks
"I'm a star witness against President and Mrs. Clinton" Hollywood fundraiser Aaron Tonken told lawyers

How would you like to be his life insurance provider?

4 posted on 10/25/2003 11:49:47 AM PDT by anklebyter
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To: kattracks
"I'm sorry, I don't recall"

"my brain's in a blender, it jello"

5 posted on 10/25/2003 11:50:33 AM PDT by ChadGore (Kakkate Koi!)
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To: spokeshave
I have to wonder how hard the AP is going after this story since so little has been reported by them.

If it were the GOP who was stonewalling answering questions, the AP would be writing articles daily that made the GOP seem guilty just by the fact that they were stonewalling!
6 posted on 10/25/2003 11:54:02 AM PDT by Peach (The Clintons have pardoned more terrorists than they ever captured or killed.)
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To: spokeshave
make that:....... fast and furious low flying ash trays....
7 posted on 10/25/2003 12:00:32 PM PDT by spokeshave (Cancel the San Jose Merc and the one way truck to Nevada)
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To: kattracks
Peter Paul PING!
8 posted on 10/25/2003 12:01:52 PM PDT by jmstein7
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To: kattracks
Ugggggh. The Clinton's are never more popular than when they can play the "victims" of the mean old media and VRWC.
9 posted on 10/25/2003 12:02:05 PM PDT by Southack (Media bias means that Castro won't be punished for Cuban war crimes against Black Angolans in Africa)
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To: Peach
New lawsuit filed by Clinton donor over Los Angeles fund-raiser

The Associated Press October 23, 2003

A campaign fund run by then-candidate Hillary Clinton failed to report nearly $2 million in in-kind contributions from a Hollywood fund-raising event coinciding with the 2000 Democratic National Convention, alleges a lawsuit filed in Los Angeles County.

Peter F. Paul, co-founder of the online company Stan Lee Media Inc., claims then-President Bill Clinton agreed to work for him after leaving office. To seal the deal, Paul says he made $1.9 million in campaign contributions, most going to a star-studded tribute to the president.

Paul, who once was the manager of romance novel cover model Fabio, sued when his attempts to buy influence brought him no appreciable gain. Clinton's Senate staff did not respond to The Associated Press' repeated requests for comment over two days.

Though Paul says his contributions were improperly reported, federal campaign reports list $466,625.88 in connection with his fund-raiser, and a $2,000 contribution Hillary Clinton returned after media reports surfaced shortly after the event showing Paul was a convicted felon.

The Federal Election Commission declined to act on a complaint filed in July 2001 by Paul and the public interest law firm Judicial Watch. In August, a federal judge in Washington, D.C., dismissed their lawsuit seeking to force the commission to act.

Judicial Watch has dogged the Clintons during and since the president's term, and also filed the new lawsuit on Paul's behalf.

A previous similar California suit was dismissed in December 2001 after he was indicted on charges related to the failed Stan Lee Media business venture.

Paul was extradited from Brazil in September to face those New York securities fraud charges, which allowed him to refile the Clinton lawsuit last week in Los Angeles Superior Court. He is incarcerated in a federal facility in Brooklyn, N.Y.

Paul also is offering to cooperate with the California attorney general's investigation of $1.7 million allegedly diverted from charities, including one sponsored by Gov.-elect Arnold Schwarzenegger, said Judicial Watch President Tom Fitton.

An attorney general's lawsuit alleges the $1.7 million was diverted by Hollywood fund-raiser Aaron Tonken and associates. Tonken, who once worked for Paul, is now a defendant in Paul's Clinton lawsuit.

Tonken organized the celebrity-heavy Clinton event that Paul says he underwrote with $2 million as part of a hazy $15 million deal to employ the president after he left office.

"He gave the money. Checks don't lie," said Fitton, pointing to the dozens of checks and bank records included with Paul's FEC complaint.

Paul wanted Clinton to promote Stan Lee Media. Host of the event was Stan Lee, creator of the Spider-Man, X-Men and Incredible Hulk Marvel Comics characters, whom Paul hoped to turn into a universally recognized figure like Walt Disney.

The company subsequently collapsed in the dot-com meltdown; two of Paul's associates were sentenced in August for their role in a scheme to manipulate the company's stock prices. Paul says he borrowed against the company's stock margin account in part to pay for the Clinton tribute.

Paul and his wife co-hosted the event, with honorary hosts Gov. Gray Davis and his wife, Sharon. It raised more than $1 million toward Hillary Clinton's Senate bid.

Fitton said Paul was repeatedly interviewed by federal investigators while in Brazil, and is "eager" to cooperate with federal and state authorities. Neither the state nor federal Departments of Justice would comment. Tonken has said he, too, is cooperating in various investigations into the Hollywood fund-raisers.

Paul's suit alleges Tonken approached him in December 1999 about contributing to a Feb. 17, 2000, Democratic National Committee fund-raiser hosted by Davis at the Cafe Des Artistes in Hollywood.

During the event, he says he broached the idea of hiring Clinton to Tonken and another Democratic fund-raiser, and to Edward G. Rendell, then chairman of Democratic National Committee and now governor of Pennsylvania. He alleges all three urged him to contribute more money to increase his chances of employing Clinton after he left office.

He says he agreed to Rendell's request to donate $150,000 in Stan Lee Media Inc. stock to a June 2000 fund-raiser supporting the presidential campaign of then-Vice President Al Gore, and another $150,000 in stock to co-host a fund-raiser for Clinton's Senate campaign a day later. Rendell's press secretary, Kate Philips, said the governor won't comment.

Paul says further conversations with Clinton intermediaries persuaded him to underwrite the August 2000 Hollywood tribute. The in-kind contributions were never properly reported, he contends, after The Washington Post days later reported that Paul had served three years in prison in the 1970s.

Paul additionally alleges he was convinced by a Clinton fund-raiser to contribute $55,000 in Stan Lee Media stock to a New York political party to benefit her Senate campaign. Documents appear to show the transaction even as the Clinton campaign was disavowing Paul's contributions, but Dan Cantor, executive director of the Working Families Party, said no such contribution is reflected in the party's records.

Paul also alleges Clinton's Senate campaign illegally accepted a $27,000 contribution from one of his business partners, a Japanese citizen who attended the Hollywood event and also wanted to eventually employ Clinton.


He also is suing a controversial joint fund-raising committee, New York Senate 2000, set up by Clinton's campaign and the Democratic Senatorial Campaign Committee as a legal means to collect hard and soft campaign contributions far in excess of the usual federal limits.

DSCC spokesman Brad Woodhouse said he couldn't comment. FEC spokesman George Smaragdis said the disclosure requirements were the same for joint committees as for any other committee or candidate.
10 posted on 10/25/2003 12:03:55 PM PDT by jimbo123
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To: kattracks
Well. To think that Billy and Hillary have been laundering money and stashing away millions?

It will be interesting to learn exactly how the money was laundered and where it went, what political activities were funded by it, who was involved.

That is a story that, I think, will lead to many interesting questions.

11 posted on 10/25/2003 12:05:21 PM PDT by Reactionary
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To: Peach
Posted on Tue, Sep. 30, 2003

JUSTICE
Lawyer extradited back to U.S.
Peter Paul, a fugitive from Miami, is being held in New York after having avoided capture in Brazil for two years.
BY JOHN DORSCHNER
Miami Herald

Peter Paul, a one-time attorney who participated in one of the biggest cons in Miami history, has been extradited to the United States from Brazil.

Paul, 54, had been in Brazil for more than two years, having fled there after being accused of a $25 million stock fraud concerning a California online firm called Stan Lee Media, which Paul started with the famed creator of Marvel Comics, home of Spider-Man and other superheroes.

Lee has never been accused of wrongdoing.

Acting on a request from U.S. prosecutors, Brazilian police arrested Paul in August 2001 and held him in a Sao Paulo facility while he fought extradition. This month, his legal defenses finally failed and he was moved to the Brooklyn, N.Y., Metropolitan Detention Center.

''He's happy to be back in the United States, and he wants to get this behind him,'' said Tom Fitton, head of Judicial Watch, a legal watchdog group that has been asking prosecutors to listen to Paul, who claims to have information potentially damaging to U.S. Sen. Hillary Clinton, D-N.Y., and California Gov. Gray Davis, also a Democrat.

NewsMax.com, an online magazine, reports that, shortly before leaving Brazil, Paul told Epoca, a local magazine, that Clinton had hidden campaign contributions.

''I can prove everything,'' he said. ``It was the biggest Senate campaign contribution in history, and she didn't declare it.''

Paul had organized a Hollywood fundraiser for her senate campaign. Clinton has said repeatedly that she will not respond to allegations made by Paul or Judicial Watch.

In the 1970s, before even turning 30, Paul was a prominent civic leader in Miami, having become president of the city's World Trade Center. But in the late 1970s, he became involved with drug dealing and a complicated con that saw a group rip off the Castro government for $8.75 million for a boatload of coffee that did not exist.

Paul was sentenced to eight years on cocaine-related charges, with three years concurrent for the coffee caper.

In an interview with The Herald two years ago, speaking from a Brazilian prison cell, he claimed to be innocent of all charges and a victim of scheming politicians.

''Politics has always been my undoing,'' he said.

He told elaborate scenarios to back up his claims.

Fitton told The Herald on Monday that Paul has talked to U.S. prosecutors about alleged Clinton misdeeds.

''There's a lot of stuff out there he can he talk about,'' Fitton said. ``Hopefully, we can work something out.''

Judicial Watch has been a longtime critic of Bill and Hillary Clinton.

At a New York court hearing last week, The New York Post reported, Paul's wife, Andrea, showed up with their fourth child, who was conceived during a conjugal visit in a Brazilian facility that Paul has described as ``a dungeon.''

Paul asked to be freed from federal jail in Brooklyn, but the judge sided with prosecutors, who called him a flight risk.

12 posted on 10/25/2003 12:07:41 PM PDT by jimbo123
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To: Reactionary
SEC PROBING COMICS COMPANY

By PAUL THARP

NY Post

October 3, 2003 -- The comics factory of legendary "Incredible Hulk" creator Stan Lee is getting dragged deeper into a federal probe that's worthy of any wacky comic-book plot.

It's got bankruptcy, shady characters fleeing to Brazil, con men, check-kiting, White House influence-peddling and even G-men from different agencies jumping on their trail.

But there are no superheroes to fight dark forces, like those conjured up by legendary cartoonist Lee, creator of Marvel Comics' stable of characters, including X-men and Spider-Man.

In real life, investigators say an unsavory bunch surrounded the 80-year-old cartoonist and drove his name and company, Stan Lee Media, into the ground.

It was forced to file for bankruptcy and dissolve two years ago, and the Justice Department and Postal Service nailed one of Lee's top executives, Stephen Gordon, for fraud.

The probe expanded into a check-kiting scheme in which the company's Merrill Lynch margin accounts were illegally emptied of $5 million to foot the bill for a 2000 fundraiser for President Bill Clinton and for Senator Hillary Clinton's run for office.

The Securities and Exchange Commission is said to have now joined the probe in search of broader wrongdoing at the defunct firm. Sen. Clinton's office says it has no knowledge of any wrongdoing in connection with the 2000 fund-raising event.

Another of Stan Lee Media's executives, Peter Paul, was charged with fraud in connection with other activities at the company but fled to Brazil. He was extradited here last month and is being held in the Brooklyn House of Detention.

Another individual who produced the Clinton fund-raiser, celebrity broker Aaron Tonken, has been sued by California authorities for charities fraud and also accused of mail fraud by the Justice Department.

He is said to be cooperating with the widening federal probe of a network of celebrities and political figures involved with Stan Lee Media and its executives.

The cartoonist himself wasn't accused of any wrongdoing.
13 posted on 10/25/2003 12:10:25 PM PDT by jimbo123
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To: jimbo123
Very gentle articles by the AP. They certainly don't seem to be trying very hard to get answers from Hillary or they'd be pestering her every time she had a press conference or appeared in conference.

Instead, they let her stay on point. She gave a press conference the other day saying Pataki is holding on to federal 9/11 relief funds, a fact that Pataki 100% denies.

Didn't hear any shouted questions to Hillary about this illegal contribution matter. My take is they aren't trying to pursue it too hard.
14 posted on 10/25/2003 12:12:09 PM PDT by Peach (The Clintons have pardoned more terrorists than they ever captured or killed.)
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To: ChadGore
"There isn't a shred of evidence - "
"I do not recall - "
"There is no controlling legal authority - "
"My finances are off-limits - "
15 posted on 10/25/2003 12:12:34 PM PDT by Twinkie
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To: kattracks
"To the, ya know, best of my, uh, knowledge, I can't, ya know, recall."

In the name of scientific research (Lord knows I wouldn't be doing this otherwise :), I've noticed that the more the exaulted Hildabeaste lies, the more she stammers with "ya know," "uh," "um" and "ah."

Check out this snipet of an interview conducted by Sam Donaldson of ABC News on 9/16/01, right after 9/11:

Donaldson: And your daughter Chelsea was what, 12 block away when it happened?

Hildebeast: Yeah, she was in, uh, the area staying with friends, uh, and both, uh, Chuck Schummer and I were spending the early moments of, uh, this disaster trying to make sure our daughters were ok, uh, we were lucky, they, they were, uh, but a lot of people haven't been as fortunate, uh, and, ya know, when I was at the armory yesterday visiting with families who are still hoping that, uh, their loved one will be rescued they have their pictures in hand and their stories that they wannna tell, um, I, I just couldn't, ah, help but feel both grateful for the fact that my daughter was all right but having a redoubled commitment to doing everything I could to help those families that are going to have to face the reality of having lost a, child or a husband or a father or a mother.

OK class, you homework assignment for tonight is to diagram the Sinator's sentence. LOL
16 posted on 10/25/2003 12:13:39 PM PDT by upchuck (Encourage HAMAS to pre-test their explosive devices. A dud always spoils everything.)
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To: jimbo123
http://www.ninthart.com/display.php?article=296

Further investigation revealed that Paul - in his official capacity as SLM's co-founder - had apparently contributed $2 million to Hilary Clinton's Senate campaign fund. The event he produced with this money, 'A Hollywood tribute to Bill Clinton' was packed to the rafters with movie stars willing to support Mr and Mrs Clinton. Paul claims this effort was intended to coax Mr Clinton onto the board of SLM, and had the support of Chelsea Clinton. It has also been suggested that Mr Clinton wanted the money to come from SLM rather than Paul himself, to avoid directly connecting himself with a known felon.

Nothing Paul did was ever truly altruistic. He alleged that, in exchange for his support for the party, then chairman of the Democratic Party Ed Rendell had promised to arrange a pardon for $150,000. When he didn't get his pardon, he took the matter to the courts. "Did you see him on 60 Minutes?" asks Baker. "The reporters were flabbergasted; 'You're suing because your bribe didn't work?'"

17 posted on 10/25/2003 12:13:46 PM PDT by jimbo123
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To: Reactionary
That is a story that, I think, will lead to many interesting questions.

Unanswered questions are hitlery's trademark.

18 posted on 10/25/2003 12:15:13 PM PDT by JoeSixPack1 (POW/MIA Bring 'em Home, Or Send us Back!! Semper Fi)
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To: spokeshave
Wouldn't surprise me either to find out the Toons are somehow involved in the PA mess. Can't see any Dems getting away with graft without giving the Toons a cut.
19 posted on 10/25/2003 12:16:02 PM PDT by mewzilla
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To: anklebyter; All
.."IS it SAFE?" = HILLARY on Senate Armed Services Committee..

http://www.TheAlamoFILM.com/forum/viewtopic.php?t=629




.."IS it SAFE?" = President HILLARY

http://www.TheAlamoFILM.com/forum/viewtopic.php?t=1556
20 posted on 10/25/2003 12:16:40 PM PDT by ALOHA RONNIE (Vet-Battle of IA DRANG-1965 www.LZXRAY.)
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To: jimbo123
I bet a $20 donation to Free Republic that nothing comes of this --- like so many problems in the past.
21 posted on 10/25/2003 12:16:45 PM PDT by Erik Latranyi
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To: jimbo123
http://archive.salon.com/politics/red/2001/06/22/blue/print.html

Peter Paul and Chelsea

The Stan Lee fraud case gets weirder: Litigation-happy Larry Klayman now wants to depose ... Chelsea?

By Anthony York

June 22, 2001

Big buzz

With Washington's growing obsession with the Chandra Levy-Gary Condit noir thriller, the folks at Judicial Watch are trying to stoke the fires of a good ol'-fashioned Clinton scandal.

The story features two of the last decade's most experienced scandal figures: Judicial Watch's Larry Klayman and Sen. Hillary Rodham Clinton, D-N.Y. The subplots involve comic books, $25 million in stock fraud, fugitives hiding out in Brazil battling extradition, Brad Pitt, Barbra Streisand, and for good measure, a few allegations of political cash in exchange for a presidential pardon. All of which could result in the deposing of Chelsea Clinton.

The story begins with a Hollywood promoter named Peter Paul, who has been indicted in a New York court for his role in a $25 million stock manipulation scam involving Stan Lee Media, the company of Spider Man creator Stan Lee. Paul, co-founder of the Stan Lee Media Group, is currently hiding out in Brazil, battling extradition and desperate to cut a deal with prosecutors to avoid spending time in the slammer.

Enter Larry Klayman, chairman of Judicial Watch, the conservative group that made a name for itself waging war on the Clinton White House. Klayman says that Paul made over $2 million in direct and in-kind campaign contributions to stage a star-studded "Hollywood Tribute to Bill Clinton" last year, which was a soft money fundraiser for Hillary Clinton's Senate campaign. The money was reported as coming from the Stan Lee Media Group.

Paul, who has a past record including convictions for cocaine possession and a multimillion-dollar fraud scheme involving the Cuban government, says those donations were personal contributions, but that Clinton wanted to hide Paul's involvement because of his felony record. In August, Washington Post columnist Lloyd Grove reported "convicted felon Peter Paul -- who served three years in prison two decades ago after pleading guilty to cocaine possession and trying to swindle $ 8.7 million out of the Cuban government -- helped organize Saturday's star-glutted $ 1 million fundraising gala for Clinton's Senate race at businessman Ken Roberts's Brentwood estate. Paul, co-founder of Stan Lee Media, told us in a statement ... that he only produced the gala and hasn't given or raised money for the first lady's New York campaign."

Now, Paul has changed his story. He claims the contribution was part of an effort to lure Bill Clinton to join the board of the Stan Lee Media Company. In addition to the $2 million worth of cash and services, which Paul now says came from him personally, Bill Clinton was reportedly promised an additional $15 million in Stan Lee stock to join the board.

"So eventually Peter Paul said, 'In order to get Bill Clinton I'm willing to help get Hillary Rodham Clinton elected U.S. senator. And I'll put up money to help elect her,'" Judicial Watch southwest regional director Russ Verney told WABC radio.

When asked about the case, Hillary Clinton's spokeswoman Karen Dunn said, "we tend not to comment on the activities of Judicial Watch."

But the folks at Judicial Watch are undoubtedly thrilled with the prospect of another media blockbuster. The headline on their press release boasts "Major Hollywood Stars Such As Brad Pitt and Barbra Streisand As Witnesses."

And if that weren't enough enticement for the media pack, Verney, the former Ross Perot henchman, added the prospect of deposing the former president and Chelsea Clinton in the case.

"According to a note Chelsea wrote," Verney told WABC radio, "she and Bill Clinton stayed up all night one night playing Scrabble and they were talking about him joining Peter Paul's company after he left the presidency and the fact that Peter Paul was putting on this big gala out in California."

"I can't see how they can avoid the depositions," Verney said.

Records at the Center for Responsive Politics show Lee donated personally to Clinton's campaign, and to the Democratic Party. They also show the Stan Lee Media Group had contributed $100,000 in soft money as of Sept. 9, 2000.

Paul also says then-DNC Chairman Ed Rendell said it would be "nice" if Paul gave $150,000 to the DNC after Paul sought a presidential pardon for his two prior convictions. "He is willing to return to the U.S. to testify in exchange for a deal with prosecutors," Klayman told the New York Daily News.

Calls to Judicial Watch were not immediately returned.

22 posted on 10/25/2003 12:16:56 PM PDT by jimbo123
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To: kattracks
Who called Paul Fray a F---ing Jew Bastard? Something about the name Paul.
23 posted on 10/25/2003 12:25:17 PM PDT by BIGZ
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To: All
In no particular order, some of my links:

http://www.freerepublic.com/focus/f-news/991222/posts
Peter Paul Promises Blockbuster Hillary Revelations (Bye, bye Hillary Clinton!)
NewsMax.com ^ | Monday, Sept. 29, 2003 | John O. Edwards
 
 
http://www.freerepublic.com/focus/f-news/991539/posts
Hillary Donor, Terrorist Sympathizer, Arrested
Newsmax ^ | 9/29/03 | staff
 
 
It seems that this is WHY the left and their willing accomplices are so motivated to go on the attack... to protect hillary's impending and staged DRAFT to run for presidentress
 
 
 
 

24 posted on 10/25/2003 12:26:23 PM PDT by backhoe (Just an old Keyboard Cowboy, ridin' the trakball into the Sunset...)
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To: Erik Latranyi
SEC Joins Probe of Stan Lee Media

October 2, 2003

LA Times

Sources say investigators in Los Angeles are conducting interviews and reviewing records.

By Michael Cieply and James Bates, Times Staff Writers

The Securities and Exchange Commission has joined a growing federal investigation of events connected with the 2001 collapse of Web firm Stan Lee Media, according to people familiar with the probe.

-snip-

The SEC's involvement comes as Justice Department investigators continue to examine a high-profile political event sponsored by Stan Lee Media principals for former President Clinton and the U.S. Senate campaign of Hillary Rodham Clinton in August 2000. That investigation was being led by officials from the Justice Department's Washington-based Public Integrity Section, a person familiar with the situation said.

-snip-

Those convictions involved check-kiting charges that stemmed from about $5 million in losses sustained by Merrill Lynch & Co. when the value of Stan Lee stock held in margin accounts at the brokerage firm collapsed. Many of the checks written on the Merrill Lynch accounts were used to underwrite the Clinton fund-raiser.

-snip-

"The SEC is investigating areas that were neglected or deliberately avoided by the U.S. attorney," Gordon's attorney, Harland Braun, said Wednesday. Braun declined to discuss details of the inquiry.

-snip-

In a previous interview with The Times, Gordon said about 40% of the money lost by Merrill Lynch went to the Clinton fund-raiser.

-snip-

Aaron Tonken, a celebrity broker who worked closely with Paul, produced the Clinton fund-raiser. Tonken was subsequently sued by California officials for charity fraud and then accused of mail fraud by the U.S.

Federal proceedings against him have been on hold pending a government review of his connection to various political and entertainment figures, people familiar with his status have said.

-snip-

Representatives of Hillary Rodham Clinton's Senate office have said that they were unaware of any wrongdoing connected with the 2000 event.
25 posted on 10/25/2003 12:26:43 PM PDT by jimbo123
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To: jimbo123
http://www.icv2.com/articles/news/3149.html

Political Fundraiser Sank Stan Lee Media
According to LA Times

July 23, 2003

An in-depth article in Sunday's Los Angeles Times examined the relationship between the gala political fundraiser held at Stan Lee's home for Hillary Clinton's 2000 Senate campaign and the collapse of Stan Lee Media shortly thereafter. According to the article, the fundraiser, which cost approximately $2 million to stage but raised only $1 million for the campaign, figured prominently in both the collapse and the subsequent legal problems of Stan Lee Media executives. That's because the money for the fundraiser came largely from Merrill Lynch margin accounts secured by Stan Lee Media co-founder Peter Paul's stock in the company. The borrowing was in excess of the limit placed on borrowing against the stock, and when Merrill froze activity in the accounts in November of 2000, checks started bouncing, rumors that Stan Lee Media was out of cash began to spread, the stock price began to spiral downward, and a $40 million financing deal for the company collapsed, leading to the company's demise (see "Stan Lee Media Tanks").

Among those facing legal problems related to the events are former Stan Lee Media executive Stephen Gordon, who was convicted in what was termed a "check-kiting" scheme and faces sentencing August 4th (he plans to appeal); two others convicted with Gordon; Peter Paul, who awaits extradition in a Brazilian jail; and fundraiser Aaron Tonken, charged with mail fraud for charitable promotions unrelated to the event but now being investigated for his political fundraising, according to the article.


26 posted on 10/25/2003 12:30:26 PM PDT by jimbo123
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To: spokeshave
>> Incoming.....fast low flying ash trays...

Any REAL man would tell the hot headed b*tch "One ashtray comes flying my way and tomorrow you'll be picking your molars out of your bowel movements!"

27 posted on 10/25/2003 12:36:40 PM PDT by Wondervixen (Ask for her by name--Accept no substitutes!)
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To: jimbo123
Far Right Threatens Chelsea Deposition
http://www.villagevoice.com/issues/0125/ridgeway.php

Clinton haters got a whiff of red meat Monday, when the crazed right-wing whistleblowers at Judicial Watch told Newsmax.com they will probably call former first daughter Chelsea Clinton as a material witness in yet another Pardongate scandal. Russell Verney, southwest regional director of Judicial Watch and a former top official in Ross Perot's Reform Party, said he wants to depose the 21-year-old Chelsea in a civil suit filed by Peter Paul against Bill and Hillary Clinton and onetime Democratic National Committee boss Ed Rendell.

Paul, a cofounder of Stan Lee Media and a big-time Democratic contributor, claims a party leader solicited $150,000 in exchange for pardoning fraud and drug convictions. Paul says he has the checks to prove it. But why they would need to depose Chelsea isn't entirely clear.

Verney says Chelsea's testimony is a must because she wrote a thank-you note to Paul for the $2 million he coughed up to stage the "Hollywood Tribute to Bill Clinton," a gala fundraiser last August. Paul says he and associate Stan Lee wanted Bill to join their corporation's board. "According to a note Chelsea wrote," Verney told the conservative site, "she and Bill Clinton stayed up all night one night playing Scrabble and they were talking about him joining Peter Paul's company after he left the presidency and the fact that Peter Paul was putting on this big gala out in California."

28 posted on 10/25/2003 12:37:48 PM PDT by jimbo123
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To: Mrs Zip; BOBWADE
ping
29 posted on 10/25/2003 12:40:48 PM PDT by zip
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To: jimbo123


The Clintons have tried to distance themselves from Paul, third from left, but this picture at a fund-raiser suggests Bill and Hillary appreciated his political gift-giving.
30 posted on 10/25/2003 12:41:13 PM PDT by jimbo123
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To: jimbo123


Evidence of Stan Lee Media/Clinton Senate Campaign Connection Connection
31 posted on 10/25/2003 12:44:30 PM PDT by jimbo123
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To: kattracks
Today's headliner:

"I'm a star witness against President and Mrs. Clinton," Hollywood fundraiser Aaron Tonken told lawyers...

Tomorow's headliner:

"We don't know how Tonken's body ended up in Fort Marcy Park", Montgomery County Police Chief Moose told the Washington Post...

32 posted on 10/25/2003 12:46:55 PM PDT by Mad_Tom_Rackham ("...the right of THE PEOPLE to keep and bear Arms, shall not be infringed.")
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To: jimbo123

33 posted on 10/25/2003 12:49:55 PM PDT by jimbo123
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To: jimbo123
[Paul, who once was the manager of romance novel cover model Fabio, sued when his attempts to buy influence brought him no appreciable gain.]

He didn't even get a pardon. Guess $2M doesn't get you very far with the First Grifters.

34 posted on 10/25/2003 12:51:19 PM PDT by Mad_Tom_Rackham ("...the right of THE PEOPLE to keep and bear Arms, shall not be infringed.")
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To: kattracks
Not a problem. He'll have a "heart attack" before he can testify.
35 posted on 10/25/2003 12:53:37 PM PDT by pabianice
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To: Mad_Tom_Rackham
Clinton's Fall Guy May Turn the Table - Peter Paul et al

Tonken was indicted earlier this year on unrelated charges of bilking mostly rich-and-famous types through mail fraud tied to charity events he led as a result of having worked closely with the Clintons and top Democrats in earlier political battles. He claims he has dirt to dish about a number of related high-fliers, including Hillary Clinton and financial supporters of her campaign. Prosecutors are reported to be listening.
36 posted on 10/25/2003 12:53:56 PM PDT by jimbo123
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To: jimbo123
What's the Vegas line on his life expectancy?
37 posted on 10/25/2003 1:03:55 PM PDT by Mad_Tom_Rackham ("...the right of THE PEOPLE to keep and bear Arms, shall not be infringed.")
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To: jimbo123
PS: A new scandal! Just when you thought they were through. Would be great to see Hitlery go down in flames. I mean, at some point, they have to reap what they have sown.
38 posted on 10/25/2003 1:17:39 PM PDT by Mad_Tom_Rackham ("...the right of THE PEOPLE to keep and bear Arms, shall not be infringed.")
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To: Mad_Tom_Rackham
LARRY KLAYMAN plans on doing a Full-Court Press on HILLARY in the U.S. Senate =

http://www.KlaymanSenate.com
39 posted on 10/25/2003 2:19:33 PM PDT by ALOHA RONNIE (Vet-Battle of IA DRANG-1965 www.LZXRAY.)
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To: kattracks
It sure would be nice to see Hitlery and Billy Boy in jail where they belong.
40 posted on 10/25/2003 4:38:46 PM PDT by freekitty
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To: Reactionary
Probably goes to their Arkancide account...stashed away for use in case someone gets in their way or spits in thier general direction.
41 posted on 10/25/2003 4:52:32 PM PDT by I'm ALL Right! (He is no fool who would give what he cannot keep to gain what he can never lose. - Jim Elliot)
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To: kattracks
"prosecutors won't reveal what they're up too"

I LOVE THAT LINE .. The Bush Admin knows when to keep their cards close to the chest. Bush has taught them well. Hillary is sqirming and scheming to get out of this .. and I'm hoping and believing that Hillary's spies will not find out what the feds have on her.
42 posted on 10/25/2003 8:03:46 PM PDT by CyberAnt
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To: jimbo123

BTTT


43 posted on 07/09/2007 6:25:23 PM PDT by A CA Guy (God Bless America, God bless and keep safe our fighting men and women.)
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