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Pardon Scandal Still Looms for Sen. Clinton's Brother

January 25, 2007 1:04 PM

Rodham_tony_hillary_nr A court-appointed bankruptcy trustee asked a federal judge this week to schedule a new court date in a case against Tony Rodham, the brother of Sen. Hillary Clinton, D-N.Y., accused of failing to repay $109,000 in loans from a carnival company whose owners received controversial pardons issued by President Bill Clinton in the last hours of his presidency.

According to documents filed in the case, Rodham received the loans, before and after the pardons were granted, from United Shows of America, Inc., owned by Edgar Gregory and his wife, who had been convicted of defrauding several banks.

See the loans paid to Tony Rodham and the actual checks to Tony Rodham.

A congressional report by the Republican-controlled House Reform Committee concluded Rodham "had tried to sell his access to the White House" and that "but for Tony Rodham's lobbying efforts, the Gregory pardons would not have been granted."

THE BLOTTER RECOMMENDS

With the company now in bankruptcy and Gregory dead, the court-appointed federal trustee for United Shows, Michael Collins, has spent two years trying to get Rodham to repay the outstanding loans.

Collins first had Rodham's accounts frozen in 2005 after Rodham failed to respond to an initial complaint filed by Collins.

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The judge issued a default judgment against Rodham.

Rodham appealed, asking for more time to respond, and the judge unfroze the accounts.

"Now, of course, that's money we're going to have to find all over again," said Collins, the trustee. "I guess he wouldn't leave the money in there."

Rodham has not returned a request seeking comment from ABC News, and a woman answering his home phone in Vienna, Va., said, "He probably won't call you back."

During the investigation of the Clinton pardons, Rodham publicly maintained that he worked as a consultant for the Gregorys to help obtain contracts for the carnival business. He refused to be interviewed by congressional investigators but told Larry King on CNN in March 2001, "The Gregorys are the kind of people that the pardon system is made for."

At the time, the Gregorys said they saw nothing wrong with seeking Rodham's help to get their pardons, which were issued over objections from the Department of Justice.

According to the congressional report, Rodham was paid over $240,000 in consultant fees by United Shows in addition to the loans.

The bankruptcy trustee only seeks the return of the loan money which, with interest, he calculates at over $150,000.

At the urging of President and Mrs. Clinton in February 2001, her other brother, Hugh, promised to return some of the $400,000 he received from individuals who also were granted pardons by President Clinton in other cases.

January 25, 2007 | Permalink | User Comments (106)

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If this is all the mud you can find to print about Mrs. Clinton, she has my vote......

Posted by: Claire Smith | Jan 25, 2007 1:25:54 PM

Leave the Clintons alone

Posted by: MIke Gosz | Jan 25, 2007 1:35:07 PM

Why are you posting this story? Who cares? Is this shades of Jimmy Carter's brother's travails.
Shame on you.

Posted by: Evie Soter | Jan 25, 2007 1:38:28 PM

It's a family thing, we just don't understand. O.K. Hillary, let's talk - let's start a dialogue. Baloney.

Posted by: Todd | Jan 25, 2007 1:38:54 PM

Digging up dirt on poor Hillary. Its not her fault her brother is a loser...Lots of families have black sheep. Hillary has my vote!

Posted by: sue | Jan 25, 2007 1:50:04 PM

What does this have to do with the election? Not much. Its her lack of experience that will hurt her in the election...

Posted by: Len | Jan 25, 2007 1:50:39 PM

I'm sure the previous comments were left by people that would have said the same things about W's brother during the Silverado savings scandal....not.

Posted by: Marvin | Jan 25, 2007 1:51:52 PM

Hillery's brother is out of bounds? Funny I don't see any complaints about stories on the Bush daughters.Liberal hypocrisy never disappoints.

Posted by: Henry | Jan 25, 2007 1:53:40 PM

A stupid issue like this wont stop me from voting for her. Anyone who fails to see the political motives behind this has to be very dumb. That trustee was obviously appointed by the Republicans to neutralize clinton, and now is paying off.

We all have black sheeps in our families. Lets not forget Mr. George W. Bush, that received millions of dollars for being the "CONTACT" to the White House during his father's presidency, and after he is out, more dirty laundry is bound to reach the surface.

In my opinion what her brother or any other member of her family does, has nothing to do with her.

Posted by: EJ | Jan 25, 2007 1:56:41 PM

And now the mud slinging starts....two more years of this?
YIKES!

Posted by: martha | Jan 25, 2007 1:59:17 PM

Finally an investigative story covering the other side of the political aisle. But I agree with the other readers, Hillary should not be held accountable for Bill's screw-ups.

Posted by: D Smith | Jan 25, 2007 2:22:28 PM

With the economy in the toilet, our young soldiers dying every day in a senseless war, the middle-class disappearing in this country, and a social security system about to go broke, I can think of more important issues that need to be prioritized. Who cares about Hillary Clinton's loser sibling! Bring our troops home, fix this economy and pray that the next 2 years of this horrible administration go by quickly without more American bloodshed in the Middle East.

Posted by: Alex Ribbens | Jan 25, 2007 2:27:05 PM

Seems like the Republicans are starting early in trying to discredit Democratic candidates....why was this given the priority of "breaking news". Shame on ABC for getting sucked into such a transparent plot.

Posted by: Sheri Lott | Jan 25, 2007 2:29:39 PM

Still not enough for me to change my vote. Hillary has it all the way.

Posted by: Derek Smith | Jan 25, 2007 2:31:15 PM

Pardons for money. Just another sullying of our Presidency by the Clinton's!

Posted by: Jake | Jan 25, 2007 2:34:25 PM

How convenient! A few days after Hillary announces she could be starting a run for the oval office, we read this crap.

What does any of this have to do with her ability to run the country? Nothing.. it's pure mud slinging. Plant the seed of trash and watch it grow in a closed, dark mind. Good luck, right wingers..

Let's focus on the real demons in politics: George W. Bush and Karl Rove.

We could only hope for person of Hillary's caliber in the White House.

Posted by: Morie Burke | Jan 25, 2007 2:43:10 PM

This is just the beginning.. I t will get better.

Posted by: Lori | Jan 25, 2007 2:43:27 PM

I don't understand why this wouldn't be relevant to the character and integrity of the Clintons. This isn't only about Hillary's brother, this is about using influence to gain questionable pardons from the president. Extremely poor judgement, which may come back to haunt Hillary in her bid for the presidency.

Posted by: Julie | Jan 25, 2007 2:50:44 PM

Let's focus on what Hilary can bring to the table as the next President of the US. If it were not for her candidacy this story would never made the news. Stick to the issues. Not digging up dirt or being used by political operatives to plant stories. "We the People" are tired dirty politics.

Posted by: diana | Jan 25, 2007 2:51:27 PM

I THINK YOU WOULD BE REMISS IF YOU DID NOT PRINT THIS STORY. ALL FRAUD SHOULD BE EXPOSED WHY SHOULD THE CLINTONS EXPECT TO BE SHELTERED. IT SEEMS THEY ARE NOT TOO LIBERAL WITH MERCY TOWARDS OTHERS.

Posted by: OPAL VESTAL | Jan 25, 2007 2:57:54 PM

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