The Washington Post has an in-depth exploration of the long-term connections between Bill and Hillary Clinton and Sant Singh Chatwal, a New York based businessman.
Alongside outsourcing, the connection to Chatwal is another of the issues raised by the Obama campaign memo back in June. Funny how that won’t go away.
I suppose there are two questions that come to mind. One is, is Chatwal merely a bad businessman, or an actual “crook”? He’s settled his debts to the IRS ($4 million), forfeited a building he owned that had a lien on it, and the $12 million loan he didn’t pay to the Bank of New York was eventually resolved in court (Chatwal had to pay $125,000). The Indian banks that had accused him of bank fraud eventually dropped the case against him. Chatwal’s lawyer puts it like this:
“The man came to this country, accumulated an empire, lost it during the time of real estate [softness], and has struggled and worked to try to pay off his debts,” said A. Mitchell Greene, Chatwal’s lawyer for 25 years. “It has been a long battle, but he has cleared up all of his obligations, and in the process he is trying to accumulate his wealth again.”
To my mind, he’s somewhere in between “failed investor” and “crook” (where “crook” admittedly isn’t so much meant as a legal term as it is a kind of moral judgment), partly because at the peak of his troubles he and his family continued to live pretty extravagantly — as if nothing were amiss.
The second question is, what is wrong with Hillary Clinton accepting campaign contributions from (and more importantly, through) Chatwal? If we presume that he’s now out of legal and financial trouble, is it unethical for Clinton to be involved with someone who was once in this kind of trouble? Most of the real pull that someone like Chatwal has comes through his connections, not his actual bank account (which may or may not have much dough in it); if Chatwal is accepted by the Indian-American community, how relevant are his personal financial and legal troubles? If you look at the bloggers who are most excited by this story, it’s mostly Republican blogs like “AgainstHillary.com”; clearly the right is going to want to spin this a certain way: Clinton accepts dirty money from crooked “foreign” businessmen (the Norman Hsu situation doesn’t help).
Is it possible to rise above the cloud of partisan spin, and evaluate this openly and honestly? How would we react to this if we were talking about a Republican candidate like Giuliani, rather than Clinton? Incidentally, the WaPo article I linked to above does mention some of the campaign contribution controversies that have come up with both Obama and Edwards, though the emphasis is really on Clinton. Continue reading