The US Securities and Exchange Commission sues Democratic Fundraiser

Democratic Fund raiser Norman Hsu is once again in the news. The SEC has commenced proceedings against Hsu, accusing him of running a $60Million Fraud.

Normand Hsu, the infamous Democratic bundler of political donations has been accused of running a $60Million Ponzi Scheme. According to The Washington Post, The SEC wants Hsu and his company, Next Components, to disgorge the profits. They charge that Hsu raised $60 million from investors by promising returns of 14 to 24 percent every 70 to 130 days for using their money to make short-term loans to businesses. Instead of making the loans, Hsu allegedly used the money to support his luxurious lifestyle, make political donations and pay returns to early investors. Clinton's presidential campaign returned more than $800,000 to donors whose contributions were linked to Hsu after it was revealed in 2007 that he was a fugitive. Hsu faced a 1991 theft charge in California from an earlier scheme that defrauded investors; he is serving a three-year sentence in that case. The latest baggage of history will not help the Obama Barrack campaign.