Skip to comments.Hsu Linked to Past Clinton Scandal Donor
Posted on 09/15/2007 12:59:07 AM PDT by CutePuppy
Hsu Linked to Past Clinton Scandal Donor
By Fred Lucas
September 14, 2007
(CNSNews.com) - Norman Hsu's donations to Hillary Clinton's presidential campaign have brought comparisons but no direct connections to the 1990s "Chinagate" scandal.
But before Hsu made headlines as a fugitive fundraiser late last month (he's now in custody in California for a 1991 grand theft conviction), he served on a board with another key figure in the earlier fundraising scandal.
For more than a year, Hsu was a member of the board for the New School University in New York, where he worked with Bernard L. Schwartz. The latter, a major Clinton donor, was chief executive officer of a major defense contractor involved in technology transfers to the People's Republic of China, according to a congressional report released in 1999.
Hsu was named to the New School's board of governors in May 2006, New School spokesman Brian Krapf told Cybercast News Service. He was named to the board of trustees in July 2007.
Schwartz has served on the board of trustees since October 2004, according to a press release from the New School.
Schwartz, former chief of Loral Space and Communications, was very close to both Bill and Hillary Clinton, spent his 71st birthday with them in the White House in 1997, and is credited with giving $1.5 million to Democrats during the Clinton years, according to news reports. He reportedly has given $256,000 to the Democratic Party since 2004.
According to the congressional report, Loral and Hughes Electronics, another defense firm, provided Chinese space engineers with technical rocketry data that could assist the communist country's weapons programs. The firms allegedly pushed to get export licensing authority transferred from the U.S. State Department to the U.S. Department of Commerce, thus making it easier to transfer U.S. missile and satellite technology to the Chinese.
Schwartz could not be reached for comment.
The congressional report also said Chinese Col. Liu Chaoying helped to funnel $300,000 to Johnny Chung, a key figure in the 1996 Clinton fundraising scandal. "Col. Liu's payment to Johnny Chung was an attempt to better position her in the United States to acquire computer, missile and satellite technologies," according to the report.
"Schwartz did business with communist China, so any connection Hsu has with him is intriguing," Judicial Watch President Tom Fitton told Cybercast News Service. "The Chinese government obtained many benefits from their access to U.S. technology."
In a 1998 news release after the scandal made headlines, Loral officials stated, "No sensitive information -- no significant technology -- was conveyed to the Chinese. No 'secret' or 'classified' information was ever discussed with the Chinese."
The statement further said that Bernard Schwartz "was not personally involved in any aspect of this matter. No political favors or benefits of any kind were requested or extended."
By 2003, both Loral and Hughes agreed to pay a combined fine of $32 million to the federal government for passing missile technology to the Chinese.
Schwartz retired as CEO of Loral in 2006, and now heads his own investment firm, BLS Investments.
Copyright 1998-2006 Cybercast News Service
Hsu + Schwartz connection = New School, some more details you were interested in.
Oh so this is the school where Bob Kerrey is the President..... so very very very interesting.
BUMP IN THE NIGHT
India China Institute (ICI), based at The New School, fosters study, research and connections among India, China and the United States, countries that increasingly share interests and challenges.
I know there are many out there who just can’t accept that the beast will ever get in trouble she can not get out of, but I believe this Hsu thing PLUS the Paul suit will bring her to her knees. This scandal is bigger than she is and it is NOT going away. For the first and only time she will face tough questions she will be forced to answer or look stupid. THIS IS NOT GOING AWAY.
The New School was given a $10 Million grant to create its India China Institute from the Starr Foundation (Mr. Starr was a pioneer of globalization and founded the American International Companies AIG). Below there is a link to a press release from the New School dated November 4th 2004. The title of that press release is New School University Receives Major Gifts to Fund Projects Related to Globalization. So what is the other gift they are referencing ? Well, at exactly the same time that the New School receives $10 Million for its India China Institute, Bernard Schwartz also donates a $3.7 Million Grant to the Center for Economic Policy Analysis and Endowed Professorship. Now that is odd. A man accused of giving advanced missile technology to the Chinese, gives a $3.7 million grant to a school at the same time the school recieves a $10 Million Grant to establish the India China Institute. An Institute established to do the following - "..The ICI will be supported by the latest in communications technology, and will create a circulation of people and information that will yield a variety of products,.."
So are these little coincidences or are these big coincidences ?
...wanna bet? The media is burying this story as fast as possible. The Hildabeast will skate. Anyway, her supporters will not care. They will elect her POTUS.
New School sounds like the Chinese version of the FSU Muslim criminals school. RATS NEST!!!! The Clintons are up to the necks in ILLEGALITIES!!
I have a question. Was Schwartz involved with a company called L-3 Communications? Isn’t L-3 a spin-off of Loral?
Loral Corporation was a small Bronx defense contractor on the verge of bankruptcy when in 1972 it was acquired by Bernard Schwartz, who over the course of the next two decades built it into a major player in the global aerospace and defense industry, acquiring sixteen other defense and aerospace companies. In 1995, Loral had $5.5 billion in revenue. In 1996 Loral sold its defense electronics and system integration businesses to Lockheed Martin; its remaining units became Loral Space & Communications. The following year, several of those former Loral units were spun off by Lockheed Martin to become the core of L-3 Communications.
So L-3 Comunications was spun off from Lockheed Martin after acquisition from Loral Corporation. It originally was one of Loral's defense electronics and system integration businesses.
The Chinese are not here to terrorize us just yet. My initial take is that the India China Institute may be an 'information' conduit. Sensitive material to China. New Hsu's for the Rats.
It’s a good question. L-3 and Loral history is a little complicated. We can start with the fact that Loral Space & Communications (NASD:LORL) and L-3 Communications Holdings (NYSE:LLL) currently share the same address:
Loral Space & Communications Inc.
600 3rd Ave.
New York, NY 10016 -— Phone: 212-697-1105
L-3 Communications Holdings, Inc.
600 3rd Ave.
New York, NY 10016 -— Phone: 212-697-1111
In charge were two of the L’s in the L-3 name: 20-year Loral executives Lanza (chairman and CEO, by then old enough to retire) and Robert LaPenta (president and CFO). The third L stands for major backer Lehman Brothers. The company embarked on an acquisition binge (just as Loral had originally done) in 1997. L-3 targeted strapped independent companies and the potential noncore operations of large corporate mergers.
Much as he had at Loral, Lanza remained a hands-off executive, a surprising approach in a red tape-wrapped industry. As a result, L-3’s divisions developed an entrepreneurial freedom. In 1998 L-3 went public.
CEO Frank Lanza died suddenly in June 2006. Prior to his passing he had championed the idea of continuing to add to L-3’s product lines by acquiring niche technology companies and by adapting L-3’s defense technologies to commercial markets, primarily transportation and communications, which account for a quarter of sales.
Schwartz, former president of computer leasing company Leasco, came aboard as chairman and president, and within a year had the company back in the black by focusing on defense electronics systems.
Loral’s breakthrough came with a radar warning receiver for a fighter plane. Previously, a week-long rewiring was necessary for receivers to cope with new enemy signals. Using programmable software, Loral’s system took minutes.
Loral was among many defense contractors swept up in the General Accounting Office’s Operation Ill Wind investigation of defense procurements, and in 1989 executives pleaded guilty to three charges. Schwartz doubled Loral’s size in 1990 when he bought Ford Aerospace for $715 million.
In 1996 Lockheed Martin spent $9 billion to buy all but the satellite operations of Loral, which Schwartz held on to, creating Loral Space & Communications; he dedicated the company to building a global satellite network. After Loral launched a satellite that year on a Chinese rocket despite export controls and economic sanctions, the US Department of Justice (DoJ) began investigating whether the company unlawfully transferred military technology.
In 1999 Schwartz was exonerated of allegations that he used his hefty donations to the Democratic Party to curry White House favor to approve Loral’s export of satellite technology to China. However, the investigation into whether the company violated export controls continued.
Early in 2002 Loral agreed to a “no contest” civil settlement with the DoJ to the tune of $14 million; the agreement allows Loral to resume selling satellites and technology to China.
in July 2003 Loral filed for bankruptcy. The same year Loral wrote off its 49% stake in Satelites Mexicanos, S.A. de C.V. (Satmex), which — in default on its financing arrangements — ceased paying interest on its unsecured debt. In 2004, as part of its restructuring agreement, Loral completed the sale of six of its satellites to Intelsat. Loral emerged from bankruptcy protection in 2005.
Having seen the company through its reorganization, Schwartz retired effective March 1, 2006.
Is L-3 a corrupt org. also??
Doesn’t seem likely at this point. If you notice from timeline, Schwartz (and Loral Space Comm) was never directly involved with Lockheed buyout -
“In 1996 Lockheed Martin spent $9 billion to buy all but the satellite operations of Loral, which Schwartz held on to, creating Loral Space & Communications; he dedicated the company to building a global satellite network.”
- so the later spinoff by Lockheed of L-3, though it included units of former Loral is not directly related to Loral Space Comm and Schwartz.
The thing that seems fishy to me here is that they share the same building as HQ (and even same phone “bank”?)...
FISHY??? To say the LEAST!!!
Thanks for the info. - very informative, if somewhat eomplicated.
One of the original three “L’s” also started a biotech company specializing in biometrics. The guy was praising Schwartz in an interview. I’ll have to see if I can dig up that article.
Thanks for the info - see post 19.
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