The Clintons: - Murder, Bank Fraud, Drugs, and Sex
Nicholas A. Guarino
From the Patriot Archives ftp site at: ftp://tezcat.com/patriot
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MURDER, BANK FRAUD, DRUGS, AND SEX
By Nicholas A. Guarino
[List of victims from pamphlet]
•1) Luther "Jerry" Parks •2) Jon Parnell Walker •3) Danny Ferguson •4) Vincent Foster •5-6) C. Victor Raiser II & Son Montgomery •7) Herschel Friday •8) Dr. Ronald Rogers •9) Barry Seal •10-11) Kevin Ives & Don Henry •12-17) Keith Coney, Gregory Collins, Keith McKaskle, Jeff Rhodes, Richard Winters, Jordan Winters •18) Danny Casolaro •19) Paul Wilcher •20) Ed Willey •21) John A. Wilson •Other strange deaths and occurances •WHITEWATER •Finale
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Victim #1: On
On the way home, his car was forced to a stop and he was mowed down by unfriendlies with nine-millimeter semiautomatic pistols.
The coroner pulled nine bullets from Jerry's body. I believe we can safely rule out suicide on this one. And it doesn't sound like your standard drive-by shooting, either. In fact, witnesses claim the hit man was a former state trooper who was very close to Bill Clinton.
Jerry was the owner of American Contract Services, which supplied the guards for
As a matter of fact, Jerry had quietly been compiling a major study of
His big mistake: "He threatened
After a long investigation,
But unless you live in
[...]
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Victim #2: You must understand the central fact about the Whitewater Development Corporation: It was *not* the main crime.
Whitewater was only a pretext set up by Jim McDougal and the Clintons to milk millions of dollars from the SBA [Small Business Administration], banks, Arkansas Development Finance Authority, and Madison Guaranty Savings & Loan (which was later bailed out by us taxpayers to the tune of $65 million).
The Resolution Trust Corporation [RTC] people eventually figured out that their investigation of
Soon after, Jon was looking over a possible new apartment in
Jon's friends, family, and co-workers all agree on one fact: This man was *not* depressed. Maybe he was just impulsive.
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Victim #3: You remember the name Danny Ferguson. He is the
Kathy, 38, his wife at the time, blabbed a lot about such things. She often told friends and co-workers about how Bill had gotten Danny to bring women to him and stand watch while they had sex.
(Altogether, Bill had hundreds of women brought to him, sometimes several a day. Young, pretty women pulled over for speeding or whatever would be offered a choice between a jail sentence or a trip to go see Bill.)
Part of Danny's job was to make sure that each woman was ready and willing when Bill met her. Kathy told people that Bill was *really* mad when Paula Jones wouldn't "put out." Bill hates to be refused.
On May 10, [1994] Kathy was found dead with a pistol in her hand.
A suicide, the police said. Only three problems with this:
a. Women rarely use guns to kill themselves.
b. I can't find anyone who *ever* heard of a nurse shooting
herself. (Why should they? They know all the right dosages
for pills, and they have access to them.)
c. I've talked to three of the six nurses who worked most
closely with Kathy at Baptist Memorial in
gave me, in no uncertain terms, a loud message to convey to
you: "NO WAY did Kathy Ferguson kill herself." They are
Footnote to story: About three weeks later, Danny reversed his story, saying he didn't lead Paula to
Second footnote: Bill Shelton, Kathy's new boyfriend (since her separation from Danny), was loudly critical of the suicide story and complained to many people about it. Bill was found dead on June 9. They're calling this a suicide, too. (Perhaps it was. I haven't checked it out yet.)
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Victim #4: Vincent Foster, who was
He *could* have killed himself on
** Official photos show the alleged suicide gun in Vince's
right hand. Trouble is, he was left-handed. (Of course, a hit
man wouldn't have known that.) Fiske ignored this in his
report.
** Vince went out and hired two lawyers on July 19. As
failed badly and could see everything was about to unravel
(which it began to do in
Question: Why pay for a lawyer to launch a defense and then
shoot yourself a day later? Fiske ignored this.
** After a somewhat hurried lunch in his office July 20,
Vince grabbed his jacket and left the White House with the
words, "I'll be back." And then we are supposed to believe,
apparently, that he picked up a White House beeper, drove to
his
in
into some thick bushes, sat down, shot himself and *then*
threw his glasses 13 feet away through heavy brush, and wound
up lying down supine and perfectly straight, legs together,
with arms straight down at his side, the gun *still* in his
hand, and trickles of blood running from his mouth in several
directions, including uphill. What's wrong with this picture?
** Where's the bullet? None was ever found even after a
massive search and excavation. Could it be that the police
and FBI looked in the wrong place? Sgt. George Gonzalez (the
first paramedic on the scene) and his boss both insisted they
found Foster 200 feet from the official spot. If they're
right, then why was the body moved?
** Where are the fingerprints on the gun? There were none!
** Where are the skull fragments? None were ever found.
Normally, a .38 will blow out a 4" to 5" hole, with blood and
brains everywhere. Because of the mess and the noise, most
sophisticated hit men today repack their cartridges with a
half charge. This explains the tiny, one-inch hole in the
back of Vince's head. Fiske skipped this.
** Who is the mystery blonde whose hairs were found on
Vince? And why did Fiske not mention that carpet fibers and
semen were found on his [Foster's] shorts? In this age of
detective movies, how could anyone think such clues unworthy
of mention in a serious report?
Sadly, the real reason Fiske was sacked by that 3-judge
panel was not to preserve an "appearance of impartiality," as
the papers said. They were simply tipped off that Fiske was
rapidly burying everything he could. For instance, when David
Hale's trial judge refused to keep Bill Clinton's name
entirely *out* of Hale's testimony, Fiske immediately stopped
the trial and changed his charge from a huge felony to a
small misdemeanor -- with a vastly reduced sentence!
** Where's the suicide note? Vince [Foster] wrote an
unsigned *outline* of a resignation letter, which
counsel Bernard Nussbaum kept for six days, tore into 27
pieces (without leaving one single fingerprint -- try that!),
then changed his mind and let the bright yellow pieces
strangely appear in Vince's briefcase, which the police and
FBI had already inspected and found to be empty. But this
"suicide note" says nothing about suicide, of course. And the
final letter is missing.
** Today, thanks to the drug trade, hit men have polished
the "staged suicide" to an exact science. If any sign of a
struggle remains, the killer has failed his task. The trick
is to persuade the victim he'll be OK if he cooperates -- and
then shoot suddenly. In the vile jargon of the professional
assassins I've had the misfortune of meeting, "Ya gotta
butter up a turkey before ya roast 'im." To my utter
amazement, neither Fiske nor the Senate investigators knew
anything about how hit men work today.
** I could go on and on. Fiske quoted reports -- even an
anonymous one -- from visitors to the park [Fort Marcy Park]
that day. But some witnesses also saw "a menacing-looking
Hispanic man" by a white van with its big door open near
Vince's car just before the body was found. Fiske left that
out.
** Instead of allowing Vince's office to be sealed after his
death, top
and Maggie Williams frantically rifled it for "national
security matters" (read: incriminating Whitewater documents)
and carted them off to Hillary's closet upstairs. In a
stunning show of chutzpah, they even made the park police and
FBI agents sit in the hallway for two hours while they did
it. And Nussbaum later claimed it was only ten minutes! (An
FBI agent disclosed to me that a file was opened for
*obstruction* *of* *justice*, but Bill had it closed.)
Why would anybody want a nice, gentle fellow like Vince Foster killed and his body dumped in a park? For some excellent reasons, which I detail in my book, *The Impeached President*. [CN -- Apparently available by writing to *The Wall Street Underground*,
But the #1 reason is that Vince knew far too much and he had to go because he was about to crack -- and that would have ended the
Suppose, however, it *was* a suicide. Suppose Whitewater was becoming such a horror that suicide seemed better than facing the music.
What then?
Then the only logical explanation is scenario #2, as follows:
** Vince's Whitewater coverup was coming apart. Facts were
popping up in the press and people were talking. For
instance,
gone to
gubernatorial candidate Sheffield Nelson and made a taped
statement which I have heard, saying:
I could sink it [the coverup] quicker than they could lie
about it if I could get in a position so I wouldn't have
my head beaten off. And Bill knows that.
** So sensitive was Vince to criticism that he was still
bothered about the heat he was getting for his role in
Travelgate. In fact, Fiske stated that those close to Vince
thought that "the single greatest source of his distress was
the criticism he... received following the firing of seven
employees from the White House Travel Office." Little did
they know the whole story. Vince had to keep Whitewater
details bottled up inside -- even at home.
** On the day Vince shot himself, he received a shocking
phone call from an attorney at
that FBI Director William Sessions was about to subpoena the
documents of Judge David Hale. Hale was a
who charged that
loans of millions of dollars to
Senate hearings,
place, but I know for a definite fact that it did. And I'm
backed up by the Rose phone billings and Vince's phone log.
Also, Sen. Christopher Bond (R.-Mo.) later confirmed that the
call was from "an old friend" at Rose.
** About this time,
so desperate that no President had ever taken it.
** Vince realized that the genie was out of the bottle. He
had confided to his brother-in-law, former congressman Beryl
Anthony, that he was very worried that Congress itself was
about to launch a criminal probe into his affairs. (In this
scenario, the "suicide note" was actually the "opening
argument for his defense" before Congress -- a defense which
Vince told his wife he wrote on July 11.)
** He was sure that in such a probe, the easy-going David
Hale would spill the beans and drag in Gov. Tucker, Steve
Smith, Madison Marketing, Castle Grande, Whitewater, Vince
himself -- and, inevitably, Bill Clinton. He mentally added
up the fines and prison terms he would face for concealing
Bill's crimes -- many of which he had taken a supporting role
in. The totals were horrendous. And the thought of being a
central figure in
[CN -- Pres. Andrew Johnson was the first impeachment
trial, although he, in the end, was not actually impeached.]
was too much for his quiet mind to bear. He told his wife and
sister that he was thinking of resigning. (But he still
couldn't let on about the Whitewater crisis.)
** He was cracking up. Everyone around him agreed he looked
and sounded terrible. The Desyrel prescribed by his doctor
didn't help. So when the call came about Hale's subpoena, he
had to go home and think things over. But there, alas, he
could think of no way out. So he put two bullets in his
revolver, drove across the
found, hid himself in some bushes where he could pray in
solitude, and pulled the trigger.
That's the most probable *suicide* scenario. Unfortunately for
Today everyone -- from Vince's family to the press to the White House -- professes to be baffled by Vince's death. "How on earth," they wonder, "could such a typical
Under either scenario, the plain answer is: It didn't.
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Victims #5 & #6: Then you have the small-plane crashes, which are fairly easy events to stage. Hit men commonly use any of five quick, simple, techniques.
One method was used on the first two victims, C. Victor Raiser II, the former finance co-chairman of
[CN -- A biographical note seems to be in order: The author of this sketch, Nicholas A. Guarino is editor of *The Wall Street Underground*. Among many other things, he lived for 20 years in Arkansas and personally knew Commander Billy Jeff, Jim Blair, Vince Foster, Jim McDougal, David Hale, Don Tyson, Governor Tucker, "and dozens more of that bunch." He uses his own extensive research as well as "numerous informants" to "warn others of the acute dangers of evil, power-hungry men in positions of influence." Today, he lives "in a scenic, secluded place as far from
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Victim #7: Herschel Friday was another member of Raiser's committee and a heck of a nice guy. His plane dropped out of site and exploded as he approached his own private landing strip in
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Victim #8: Just two days later, Dr. Ronald Rogers, a very vocal dentist from Royal, Arkansas, was on his way to reveal some dirt on Clinton to Ambrose Evans-Pritchard, a reporter from the *London Sunday Telegraph*, when his twin-engine Cessna crashed with a full tank of gas in clear weather south of Lawton, Oklahoma. His pilot had just radioed that he was having trouble and needed to refuel in
There have been six other air crash deaths of former
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Victim #9: But Barry Seal's death was no accident. His story is so exciting that
Barry made about $50 million as a pilot and plane supplier in
Iran-Contra was conceived as a simple scheme to use the Ayatollah's money to send guns to the Contra freedom fighters. But from that humble, Ollie North beginning, it blossomed into the great
According to an exhaustive, top-selling new book entitled *Compromised*, by Terry Reed and John Cummings (which I found highly accurate), pilots were bringing back and air-dropping over $9 million a week in cash, which was properly laundered and then went into Arkansas industries owned by friends of Gov. Clinton. (*Not* into
Incidentally, the money was laundered through such sterling banks as BCCI [Bank of Credit and Commerce International]. Remember them? I discussed BCCI's involvement extensively with its Panamanian president.
Five or six of the CIA subcontractor pilots running the gun-drug loop under Barry Seal have said that Nella (near Mena) was chosen as the base for training Contra soldiers mainly because its terrain and foliage were so similar to Nicaragua. Many local residents still recall camouflaged Latinos holding maneuvers in the countryside -- but they all agree it's not healthy to talk about it too much.
Iran-Contra was an impressive operation on both ends. I still remember standing on the deck of a flat-deck, flat-bottom supply boat used to run guns upriver to the Contras in
In case this begins to sound like a far-right hallucination, you should know that some liberal groups (ever opposed to CIA tricks) concur. For instance, *The Wall Street Journal* said on June 29:
There is even one public plea that Special Counsel Robert
Fiske should investigate possible links between Mena and the
savings-and-loan association involved in Whitewater. The plea
was sounded by the Arkansas Committee, a left-leaning group
of former
tracked the Mena affair for years.
I wish them luck. And good health. The Arkansas Attorney General, the IRS, and the state police have been met for fifteen years with "a wall of obfuscation and obstruction" erected by the Clinton circle of power -- which is EVERYWHERE in Arkansas. According to *Penthouse*, which is not exactly noted for being a far-right magazine:
He [Clinton] controlled virtually all the 2,000 handpicked
appointees to an array of boards and commissions that
effectively rule the state... Anyone seeking to do business
with the state -- and that included just about everybody
running a business -- learned to expect direct solicitations
by
Polk County Prosecutor Charles Black, to his credit, once even sat down with Clinton himself and pleaded for a state investigation of Mena!
Bill said that "he would get a man on it and get back to me," Black recalls. That was in 1988. Black is still sitting by his phone. (I'm sure Bill got a kick out of that interview. I recall him grinning as he made some comment about "dumb Arkies" one afternoon at the brokerage I owned in Harrison -- one of a dozen or so occasions when we spent time together.)
But at the risk of sounding as bad as Bill, I must remind you that, after all, this *is*
** One governor before
bridge in the state insured for fire (yes, fire). Guess who
owned the insurance company.
** Another governor, being indicted for fraud, simply canned
the judge and replaced him with the town drunk, who then
dismissed the grand jury.
So just think of Bill as a traditional,
But I digress. Barry Seal was eventually arrested by the Federal Drug Enforcement Administration [DEA]. To get off the hook, he turned state's evidence and fingered several big drug dealers. He even managed to take clandestine photographs of major Columbian and Panamanian figures, one of which President Reagan showed proudly in a nationwide TV speech.
But in the end, the DEA betrayed the flamboyant Barry by allowing him to be sentenced to a halfway house, where a few days later he was a sitting duck for three Columbian avengers with Uzi and MAC-10 submachine guns with silencers. The ending wasn't pretty, but it made a hard-hitting movie.
Why did the DEA dump Barry? Perhaps because, as
I'm not saying Bill ran Iran-Contra. He didn't -- not even the
At least that was the deal cut with
In fact, eyewitness Reed details at length the tense meeting in which William P. Barr -- later President Bush's Attorney General -- breaks the bad news to a very angry
On a March night in 1986, they met with Reed, Oliver North, and two other CIA men in a musty, poorly-lit World War II ammunition bunker at
After several sharp exchanges and traded insults, Barr said, "The deal we made was to launder our money through your bond business. What we didn't plan on was you... shrinking our laundry... That's why we're pulling the operation out of
"What do ya' mean, live liabilities?"
"There's no such thing as a dead liability. It's an oxymoron, get it? Oh, or don't you Rhodes Scholars study things like that?" Barr snapped.
"What! Are you threatenin' us? Because if ya' are..."
>From that point on, Barr was able to smooth things out, and he concluded with the most eye-opening passage of the book:
You and your state have been our greatest asset. The beauty
of this, as you know, is that you're a Democrat, and with our
ability to influence both parties, this country can get
beyond partisan gridlock. Mr. Casey wanted me to pass on to
you that unless you f*** up and do something stupid, you're
No. 1 on the short list for a shot at the job you've always
wanted [meaning the Presidency]. That's pretty heady stuff,
Bill. So why don't you help us keep a lid on this and we'll
all be promoted together.
You and guys like us are the fathers of the new government.
Hell, we're the new covenant.
An amazing statement, wasn't it? Especially for 1986.
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Victims #10 & #11: Kevin Ives and Don Henry, two
They were found on the morning of
(Remember when
Malak's opinion caused a big ruckus locally. Eventually, the boys' irate parents managed to get a second coroner's opinion, and the official causes of death were changed to being stabbed in the back and getting a crushed skull *before* the train came. Atthis point...
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Victims #12 through #17: ...six local people came forward independently, each claiming to have some special knowledge about the deaths of the boys on the track.
All were slain before their testimony could do any good. Police involvement is suspected in most cases, but not all:
** Keith Coney had been slashed in the neck and was fleeing
for his life when his motorcycle slammed into the back of a
truck. "A traffic fatality," police said.
** Gregory Collins was found shot in the face by a shotgun.
** Keith McKaskle was brutally stabbed at home -- 113 times.
(He knew he was doomed, and had told his friends and family
goodbye.)
** The burned body of Jeff Rhodes was found in the city
dump, shot in the head -- and with his hands, feet, and head
partly cut off.
** Richard Winters was killed by a man with a 12-gauge
sawed-off shotgun.
** Jordan Ketelson died of a shotgun blast to the head and
was found in the driveway of a house in
suicide," the sheriff said.
Do you see a pattern here?
All in all, after ten years of Mena operations, not one arrest was ever made, an accomplishment that is possible only when someone controls the whole state like a collie controls sheep.
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Victim #18: Danny Casolaro was a reporter who was investigating the connections between Mena, BCCI, Iran-Contra, Reagan's "October Surprise," Park-O-Meter Co. (which [allegedly] made dope-storage nose cones for the airplanes at Mena), and the ADFA (Clinton's billion-dollar state bonds racket). He affectionately called this network The Octopus. On August 10, 1991, just as he was about to receive information linking Iran-Contra to the Inslaw scandal, Danny was found with his wrists slit in the bathtub of a hotel room in West Virginia. What a coincidence.
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Victim #19: Paul Wilcher, a
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There are other possible victims, like Paula Gober, Jim Wilhite, Stanley Heard, Steven Dickson, Timothy Sabel, William Barkley, Scott Reynolds, Brian Hassey, and so on. But my evidence about them isn't convincing, and I refuse to join those who call every Clinton-related death a murder.
What *is* convincing is just the sheer numbers of untimely deaths in the Clinton circle of influence -- plus a long string of threats, attacks, beatings, break-ins, wiretaps, and other intimidation. For example:
** Dennis Patrick of
his life so far -- and is now in the federal witness
protection program. (Hang in there, Dennis -- and never
forget who's in charge of that program!)
He was the unwilling customer of Lasater & Company in Little
Rock, where tens of millions of dollars were traded (read:
laundered) in his account in 1985 and 1986. Only two
problems: He never knew what these trades were... and it
wasn't his money! (Coincidentally, the trading stopped when
Barry Seal was killed on
And that's not even the scary part of the story. The fact
that may make your hair stand on end is that Dan Lasater is:
-- Bill Clinton's second-best friend
-- a convicted cocaine dealer
-- a noted host of lavish cocaine parties featuring very
young women
-- the employer of Bill's brother
-- and the head of Lasater & Co., which issued all $1
billion of
only if each bond beneficiary first made a huge
donation to
retainer).
It is also alleged that Lasater laundered hundreds of
millions of drug dollars through that firm. But the day after
Dan's release from prison only six months later, Bill
pardoned him! Plus, while Dan was still in detention, he gave
power of attorney to run the company to Patsy Thomasson, who
was one of Bill's top administrative aides, and Bill
*continued* to funnel all the state's bonds through the
company -- another $664 million worth!
Lasater & Company was the major source of brokered deposits
in Madison Guaranty S&L.
And Patsy is now director of the White House Office of
Administration. God help us all.
Victim #20: Ed Willey, the manager of
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Victim #21: John A. Wilson, a ruggedly honest city councilman in
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** According to a sophisticated journal called *Heterodoxy*,
journalist L.J. Davis spent a week nosing around some
sensitive areas in
14th, as he entered his
dinner, he was knocked cold. When he awoke on the entry floor
four hours later, his wallet was intact, but his notebook and
skull weren't. And there was no furniture within falling
distance to account for the darning-egg-size lump over his
left ear.
Three weeks later, he sent a draft of his story to *The New
Republic* BY MODEM. Three hours after that, his phone rang. A
rich baritone voice began, "What you're doing makes
Walsh [, the investigator into Iran-Contra,] look like a rank
amateur."
"Who *is* this?"
"Seems to me, you've gotten your bell rung too many times.
But did you hear what I just said?" (*click*)
Says
I ended up on the [expletive] floor."
If all this sounds like tabloid trash to you, you're
absolutely right. And there's a very good reason: The people
behind these crimes *are* tabloid trash.
** Then there's the arson stuff. A nasty little blaze broke
out in the
fourteenth floor of
1994, just four days after Fiske's start as a Whitewater
investigator. It wasn't a *bad* fire, you see, just bad
enough to consume the area that held their 1986 audit of
Madison Guaranty. A former Peat Marwick executive tells me
that the word came down from
definitely *forced* to destroy the documents.
And remember the flap about the medical records that Bill
refused to release? Word is, all that cocaine finally
destroyed his nasal passages. ("Allergies," Bill says.) He
spent huge amounts of time flying around the country with Dan
Lasater in his cocaine-laden jet and went to numerous parties
thrown by Lasater and others, some of which featured
"blizzards of cocaine," according to participants.
Brother Roger recently admitted doing six to eight grams a
day (and being a dealer for Lasater), but Bill's usage was
probably much less. Alas, we'll never know now. His doctor's
office files went up in flames. (Tsk, tsk. Those medical
offices. You *know* what a firetrap they are.) Speaking of drugs: Sally Perdue, a former Miss
popular talk show hostess, has told the
Telegraph* that during her 1983 affair with Gov. Clinton
(verified by state trooper L.D. Brown), Bill would usually
smoke (*and* inhale) two or three ready-made marijuana joints
drawn from his cigarette case in a typical evening.
On one occasion he pulled out a baggie of cocaine and
prepared a "line" right on her table. "He had all the
equipment laid out like a real pro," she recalls. (A mid-
level Democratic Party leader warned Sally, before a witness,
that if she didn't keep quiet, he "couldn't guarantee what
might happen" to her "pretty little legs" when she went out
jogging.)
She also told her stories to Sally Jessy Raphael, but in a
rare move, the producers strangely decided not to broadcast
the videotaped program.
I've also talked with others who say they "got high with
Bill" *many* times -- including his personal drug supplier,
who is now being held in prison incommunicado in
by Janet Reno. When the time comes, they will all speak out.
In fact, the main problem may be half of
get their names in the headlines!
** For a change of pace, here's an incident that's non-
violent -- but does include the President himself.
from his
Patterson and Roger Perry, two former members of Bill's
whistle on his sex escapades. (Other troopers backed up their
stories.)
As told to *New American* magazine,
their stories on the phone in August with another attorney,
Lynn Davis (not related to [L.J. Davis]), when...
...he became suspicious that the phone had been tapped.
He suggested to
restaurant. "The whole time we were there, this
suspicious-looking guy kept his eye on us,"
recalls. "After we left, we were followed by this dark
Suburban with darkened windows and a
plate."
and ran a check on it; no such license number was listed.
You've heard of unlisted phone numbers? Welcome to the
phantom surveillance world of unlisted license plates!
Just a few days later, the troopers received phone calls from
both Clinton and Buddy Young, former head of Gov. Clinton's
security detail. You can hear the borderline tone of Young's
calls in this sample from his tense call to Roger Perry, as
he reported it:
I represent the President of the
you want to destroy him over this? ... This is not a
threat, but I wanted you to know that your own actions
could bring about dire consequences.
journalist Gwen Ifill noted in the *New York Times*,
It turns out that some of the calls that were overworking
the White House switchboard operators [in the fall of
'93] were going not to Capitol Hill but to
troopers [to discuss] potentially embarrassing charges
about his marital infidelity.
The troopers related that Bill asked about the pending
allegations and offered them plush jobs. I think what he
wanted most was the kind of loyal silence and amnesia he gets
from people like Buddy Young, whom he appointed to a $93,000-
a-year FEMA job (not a bad promotion for a cop).
Indeed, there was a lot to be silent about. In addition to
numerous one-night ladies, Bill had long-term affairs with
six. One was a real bell-ringer: The *Los Angeles Times*
sifted through thousands of pages of state phone bills and
found 59 calls to her, including eleven on
one government trip, he talked to her from his hotel room
from
her at
Bill's fallback defense is always that, as he claimed on
National Public Radio, "The only relevant questions are
questions of whether I abused my office, and the answer is
no."
Well. What do *you* say?
** By far the unluckiest guy in
Johnson, 53, who was peacefully living at
Now,
Gennifer. But
video camera pointed at his door. Unfortunately, it also
covered Gennifer's door, and after awhile he had several nice
visits on tape, showing Bill letting himself in with his own
key.
Either Bill finally noticed the camera, or the grapevine told
Bill's aides about it, because on
before the Democratic nomination,
the door. It was three husky, short-haired state troopers,
and they slugged him as they barged in, demanding the tape.
him, breaking both his elbows, perforating his bladder,
rupturing his spleen so badly that doctors had to remove it,
beating him unconscious, and leaving him to die.
Now, here's a good question for you: Do you think Bill
And here's a better question: *What* *difference* *does* *it*
*make*?
For obvious reasons of liberal loyalty, no one in the major media wants to stick his neck out and be the first to do a major piece that pins all these murders and attacks on the President of the
But sooner or later, the dam will break. The weight and scope of the crimes are just too massive. Even if only *half* these incidents turn out to be accidents or true suicides, Bill will find it impossible to wiggle out of being implicated in the rest. When some indicted hit man or functionary sees the evidence piling up against him, he will sing like a sparrow to save his own tail feathers...
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WHITEWATER
How to Make $2 Million
Developing a God-Forsaken Tract of Land
Without Selling One Square Foot of It
When the media folk told you about Whitewater, they left out a few amusing details.
So in a spirit of altruistic service and public education, I'm going to let you in on the secrets of how to pull off a land scam. Pay attention, because you've never heard this before.
A. Real estate developing is more fun when you can borrow all
your capital without having to pay it back... or even sell
any land. So to get started, you need two friends: one an
appraiser, one a banker.
B. Next, you find some dirt-cheap dirt. Anywhere in the
boondocks will do. In the Whitewater case, it was 230
acres of land along the
(Some housing tract! It was fifty miles to the nearest
grocery store.)
C. Then you get your appraiser friend to do a bloated
appraisal. Hey, what are friends for? Let's say he pegs it
at $150,000.
D. You go to the bank and get the usual 80% loan. [CN --
e.g., 80% of $150,000 with the land as collateral] You now
have $120,000, so you pay off the land [($90,000)], and
you still have $30,000 in your pocket. You're on a roll.
E. You pay $5,000 to subdivide it and bulldoze in a few
roads. (Or if you know the ropes, you get the state to do
it, as Bill did to get a $150,000, two-mile access road.)
F. Voila! You now are the proud owner of a partly-developed
luxury estate community. So you call up your appraiser
friend again, and he re-evaluates it at a cool $400,000.
G. You hustle back to the bank [run by your friend McDougal]
and get a new 80% loan based on the new value. (Nothing
out of line so far. An 80% loan is standard, right?)
H. You draw up plans for some fine houses (which will never
be built.)
I. You get a new appraisal.
J. You get a new loan.
K. You make two or three phony homesite sales to friends. You
shuffle the funds around among your shell corporations and
bounce it back to your friends -- plus a little extra for
their help.
L. You get a new appraisal.
M. You get a new loan.
N. You do a "land flip," selling the whole thing to Company X
for $800,000, which sells it to Company Y for a million,
which sells it back to you for $1.25 million. (All these
companies are your friends.) And yes, this kind of thing
*did* happen in Whitewater and Madison. In fact,
Whitewater figures David Hale and Dean Paul once flipped
Castle Grande back and forth from $200,000 to $825,000 in
*one* *day*!
O. You get a new appraisal.
P. You get a new loan.
Q. Finally, your development corporation declares bankruptcy,
and the bank has to eat your loans because the money is
all gone, and since the record-keeping is so poor, nobody
knows where it went.
But weep not for the bankers. You pay them nicely -- perhaps a third of the $2 to $3 million you skim off. Weep for the taxpayer who bails out their banks.
Which is to say, in the case of Whitewater, weep for yourself.
-+- Does This Actually *Work*? -+-
Whitewater was just the first of a series, like a pilot for a sitcom.
Using Whitewater as a prop, Bill and his partner Jim McDougal milked -- by my rough estimate -- several million dollars from the SBA [Small Business Administration] and at least five or six banks and S&Ls, starting with the Bank of Kingston.
But their later ventures, bringing in Steve Smith and now-Gov. Jim Guy Tucker, did even better. Campobello started with about $150,000 in property and squeezed over $4 million in loans from banks in about two years. Castle Grande began with $75,000 worth of swamp land and cleared over $3 million. It never built anything. The only human artifacts on it today are a few old refrigerators and mattresses.
Why do I have information you haven't seen before? Because my firm had $10 million in
And
Whitewater Development Corp. had at least an appearance of sincerity. It even had TV commercials, starring Jim's [McDougal's] striking young wife, Susan, in hot pants, riding a horse. Another one showed her behind the wheel of Bill's restored '67 Mustang.
But after Whitewater, the deals began dropping their frills like a hooker in a hurry to get things over with. The RTC criminal referral that Bill suppressed during his presidential campaign cites such later corporations as *Tucker-Smith-McDougal*, *Smith- Tucker-McDougal*, and *Smith-McDougal*. Catchy, eh? If it were me, I would have called them *Son of Whitewater*, *Whitewatergate*, and *Whitewater & Ponzi, L.P.*
-+- Short Report -+-
On their 1979 income tax, Hillary valued Bill's used undershorts -- donated to charity at the end of their action-studded tour of duty -- at two dollars a pair.
Plainly, we are dealing here with a couple that gives loving attention to detail in matters of deductions.
As you may recall, however,
But it's no mystery to me. The reason is obvious: Bill didn't deduct the $68,900 because he didn't lose a dime on Whitewater, and he didn't want to do time for tax fraud. Period.
Jim McDougal put up all the money except for $500 -- and Bill borrowed even *that*.
But weep not for Jim. Not only was he Bill's partner in Whitewater, but he owned Madison Guaranty S&L, which was the designated milk cow that provided most of the inflated loans. Weep instead for the taxpayers -- like you and me -- who picked up the $66 million tab when
-+- The Paperless Office Is Pioneered -+-
by the Rose Law Firm
Will Bill and Hillary go to jail for masterminding all the land deals that fall under the label *Whitewater*?
I expect they will [CN -- Don't bet on it.] -- not because of existing documents, but because of the testimony of subpoenaed people.
The few remaining documents will play a supporting role, but frankly, friend, there aren't many left. According to grand jury testimony: On February 3, 1994, right after Fiske became special counsel for Whitewater, the nice folks at the Rose Law Firm fired up their high-speed Ollie-o-Matic paper shredder and ordered courier Jeremy Hedges to slice 'n dice his way into the history books by destroying twelve (12) cartons full of Whitewater documents. As far as anyone knows, Rose now has no more Whitewater records than you do.
Actually, a lot of the usual documents were never created in the first place. For instance, there was no written partnership agreement (don't try this at home). No transactions were written up, even though
Plus, after Whitewater, Bill got very smart and kept his name completely out of every subsequent deal he cut. But the Whitewater monies, probably several million, ricocheted from shell company to shell company like the basketball in a Harlem Globetrotters warmup drill, and every dollar wound up in the proper pocket. Beneficiaries included many of the biggest names in
And Bill, who entered public office with nothing but debts, and who never made over $35,000 a year as governor, is now worth about four to five million. A real rags-to-riches, American success story, isn't it? Kind of puts a lump in your throat.
But there's one other reason for Bill's success. In a word, Hillary. Prepare to be shocked as you learn...
-+- Why the Feds Settled for $1 Million -+-
on $60 Million in Debts
You'll find this one hard to believe, so read carefully.
ITEM: When Madison Guaranty folded, it was somewhere between
$47 and $68 million in the hole. The tab has settled at $65
million.
ITEM: One of the biggest defaults was $600,000 in loans to
one of
in-law of Webb Hubbell. Webb happened to be Hillary's law
partner and until April [1994] was the No. 3 man at the
Justice Department -- and assigned to investigate Whitewater!
ITEM: When the RTC cleanup crew took over Madison, Hillary
had been on retainer to Madison [Guaranty S&L] for many
months.
Got it so far? O.K. Now, the RTC lawsuit sought $60 million from Madison Guaranty's debtors. But here's what happened:
1. Hillary negotiated the RTC down *from* *$60* *million*
*to* *$1* *million*. What a talker!
2. Hillary then got the RTC to forgive the $600,000 debt Seth
Ward owed the RTC -- every penny of it -- thus leaving the
RTC with $400,000 [out of the $60 million owed.]
3. But wait! Hillary did these two deeds *as* *the* *counsel*
*for* *the* *RTC*, not
those of us who have to live in the real world, Hillary
got herself hired by the RTC, and in *that* position, from
the GOVERNMENT side, she talked them down to $1 million.
4. Her fee for the RTC job was (pure coincidence) $400,000.
Which left the government with $400,000 minus $400,000...
or in technical accounting terms, zippo.
5. And who do you suppose was the mastermind who conned the
RTC into hiring Madison Guaranty's own Hillary to
prosecute Madison Guaranty? None other than the late Vince
Foster! When he made his pitch to the RTC, he neglected to
tell them about Hillary's retainer with Madison Guaranty.
In fact, he even wrote them a letter stating that the Rose
Law Firm didn't represent thrifts!
Vince and Hillary were, by the way, very, uh, close. Not only were they partners at Rose, but there's no shortage of people who saw them hugging and smooching in public.
-+- 178 Years in Club Fed -+-
Nobody ever accused Bill Clinton of being stupid.
As proof, look at the Congressional hearings. What a hoot! Bill had them stacked so that fully 99% of all Whitewater crimes were off limits!
This left our dignified Congressmen sternly chasing the remaining 1% of petty misdemeanors with hardly a mention of fourteen years of felonies: shell games, killings, break-ins, coverups, threats, bribes, thefts, check kiting, payoffs, arson, money laundering, fraud, influence of testimony, tampering with witnesses, you name it...
And Bill managed to focus 100% of the attention on [Roger] Altman, [Bernard] Nussbaum, [Lloyd] Cutler and others, with none of it on himself. You have to admit, that's pretty smart maneuvering.
In February, *The American Spectator* added up two pages of Bill's alleged crimes, and the total potential penalties came to $2.5 million in fines and 178 years in prison. And *they* just listed the piddly stuff, like tax fraud and soliciting bribes; they didn't even mention the heavier incidents I listed above! (They did include a short roster of Hillary's much lighter penalties, totaling only $1.2 million and 47 years.)
Is such punishment excessive? I think not. Even if you ignore the mayhem, the
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Finale
Please forgive me for sounding dramatic, but this is a dark day for the republic.
I apologize for giving you such an avalanche of appalling news. God knows, I've tried to keep my tone somewhat light, but I realize that you are probably still alarmed.
Unfortunately, I must now go on to tell you about the impact all this is going to have on your own financial future, and that could be the worst news of all -- by far.
But unlike all the depressing matters you've just read, there is a bright silver lining to it. Yes, I do think it's the darkest day for the republic since World War II. [CN -- Guarino goes on from here to state that "the troubles ahead" will ironically give you a great opportunity to improve your finances. He tells the reader to open "the enclosed envelope" which I, unfortunately, do not have because I received this pamphlet from someone else.]
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Footnote: I [Nicholas A. Guarino] serve notice that I am not depressed in the least, and that if anything happens to me, I publicly accuse Bill Clinton and his circle of power.
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CN -- There ends Mr. Guarino's narrative. For the record, I also "serve notice" that I am looking forward to the denouement of the
Brian Francis Redman bigxc@prairienet.org "The Big C"
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Coming to you from
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