Wednesday, October 06, 2004

Hillary Clinton Fundraising Probe

Who would have thought?

WASHINGTON — Sen. Hillary Rodham Clinton's 2000 Senate campaign is the subject of an ongoing probe into possible fund-raising violations, FOX News has learned.

Legal sources suggest that the New York Democratic senator is not expected to be subject of the probe. Instead, David Rosen, Clinton's chief fund-raiser, is subject of a criminal investigation and now in front of a grand jury, sources told FOX News.

According to the FBI, Rosen has been named by indicted businessman Peter Paul, who alleges the former first lady's campaign deliberately understated its fund-raising costs so it would have more money to spend on elections.

Paul, a three-time convicted felon currently facing stock fraud charges in New York, hosted a Hollywood fund-raising event for Sen. Clinton before her election in 2000. He asserts he underwrote most of the costs of the event. Prosecutors say Paul was looking for a pardon from President Clinton at the time.

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