Whitewater row refuses to go away

It is the controversy which will not die. A new book in the shops, a trial which opened in Little Rock this week, an ugly row which threatens to tie up business on the floor of the US Senate - one way and another, the Whitewater affair is set to hound President Clinton throughout his re-election campaign.

Four years have passed since the first mention in the national press of a failed property venture in northern Arkansas, in which the businessman Jim McDougal in 1978 offered a 50 per cent share to his friends Bill and Hillary Clinton, the probable next Governor of the state and his ambitious lawyer wife. Today Whitewater is a term embracing not just that land deal, but an imbroglio of past personal and financial dealings of the 42nd President. Mr McDougal meanwhile, along with his wife Susan and Jim Guy Tucker - the man who took over as Arkansas's Governor when Mr Clinton moved on to the White House - is now defending himself against fraud and conspiracy charges in a federal court in Little Rock, the first trial arising from a special prosecutor's two-year investigation of the Whitewater affair.

The Clintons have been neither indicted nor charged with any offence, but even before opening arguments had ended on Tuesday, the President's name had been aired in the courtroom, in allegations by a prosecution lawyer that he improperly pressured a local banker in 1986 to make a $300,000 (pounds 200,000) loan to Ms McDougal. That money in turn disappeared into the Madison Guaranty savings bank, owned by her husband and which collapsed that year, at a cost to US taxpayers of $60m.

The trial will last two months, and before it is over Mr Clinton will have suffered the almost unprecedented embarrassment for a sitting President of testifying in a criminal case in which suspicions swirl around him. The ultimate indignity of a personal appearance in the courtroom is unlikely. But either in videotaped cross-examination, or via a live satellite link from Washington, the McDougal defence insists, Mr Clinton will give evidence.

"A bunch of bull," he has called suggestions of his involvement in the $300,000 loan - but public interest in the case is unlikely to subside. Further Whitewater charges may well be brought by Kenneth Starr, while the author James Stewart, responsible for the best-selling Wall Street expose Den of Thieves, may have another blockbuster on his hands.

According to Blood Sport: The President and His Adversaries, excerpts of which appear in the latest issue of Time magazine, the Whitewater venture was conceived by Mr McDougal as a favour to the impecunious young couple. When it was clearly a money-loser, Mr McDougal tried to buy them out - only to be rebuffed by Mrs Clinton, hoping that it would provide enough income to pay for the university education of the couple's daughter, Chelsea.

As such, the book provides more corroboration that as a partner in the Rose law firm working on Madison and other McDougal-related accounts, Mrs Clinton knew more about the bank, and Whitewater, than she has admitted. That in turn will only keep Whitewater alive on Capitol Hill - through the summer and perhaps beyond.

PROMOTED VIDEO
Have you tried new the Independent Digital Edition apps?
News
ebooksNow available in paperback
News
i100(More than you think)
Arts and Entertainment
John Hurt will voice Prince Bolkonsky in Radio 4's War and Peace
radioRadio 4 to broadcast 10-hour adaptation of War and Peace on first day of 2015
News
i100
News
people
Arts and Entertainment
Avatar grossed $2.8bn at the box office after its release in 2009
filmJames Cameron is excited
News
news

Lincoln MP Karl McCartney 'denied all knowledge' of the Twitter activity

Arts and Entertainment
Joel Edgerton, John Turturro and Christian Bale in Exodus: Gods and Kings
filmDirector said film would 'never have been financed' with ethnic minority actors in key roles
Arts and Entertainment
Stik on the crane as he completed the mural
art
News
The author PD James, who died on 27 November 2014
people

Detective novelist who wrote Death comes to Pemberley passed away peacefully at her home, aged 94

Arts and Entertainment
Jennifer Lawrence as Katniss Everdeen in The Hunger Games: Mockingjay Part 1
arts + ents
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs General

Argyll Scott International: Service Desk Analyst

£20000 - £22000 per annum: Argyll Scott International: Service Desk Analyst Re...

h2 Recruit Ltd: Business Development Executive - Software

£20000 - £25000 per annum + 55,000 OTE + benifits: h2 Recruit Ltd: Software Sa...

Argyll Scott International: 2x Service Desk Analyst

£20000 - £22000 per annum: Argyll Scott International: Service Desk Analyst Re...

Langley James : IT Project Manager; 6 month FTC; Brighton; £400p/d

£400 - £420 per day: Langley James : IT Project Manager; 6 month FTC; Brighton...

Day In a Page

Cameron, Miliband and Clegg join forces for Homeless Veterans campaign

Cameron, Miliband and Clegg join forces for Homeless Veterans campaign

It's in all our interests to look after servicemen and women who fall on hard times, say party leaders
Millionaire Sol Campbell wades into wealthy backlash against Labour's mansion tax

Sol Campbell cries foul at Labour's mansion tax

The former England defender joins Myleene Klass, Griff Rhys Jones and Melvyn Bragg in criticising proposals
Nicolas Sarkozy returns: The ex-President is preparing to fight for the leadership of France's main opposition party – but will he win big enough?

Sarkozy returns

The ex-President is preparing to fight for the leadership of France's main opposition party – but will he win big enough?
Is the criticism of Ed Miliband a coded form of anti-Semitism?

Is the criticism of Miliband anti-Semitic?

Attacks on the Labour leader have coalesced around a sense that he is different, weird, a man apart. But is the criticism more sinister?
Ouija boards are the must-have gift this Christmas, fuelled by a schlock horror film

Ouija boards are the must-have festive gift

Simon Usborne explores the appeal - and mysteries - of a century-old parlour game
There's a Good Girl exhibition: How female creatives are changing the way women are portrayed in advertising

In pictures: There's a Good Girl exhibition

The new exhibition reveals how female creatives are changing the way women are portrayed in advertising
UK firm Biscuiteers is giving cookies a makeover - from advent calendars to doll's houses

UK firm Biscuiteers is giving cookies a makeover

It worked with cupcakes, doughnuts and macarons so no wonder someone decided to revamp the humble biscuit
Can SkySaga capture the Minecraft magic?

Can SkySaga capture the Minecraft magic?

It's no surprise that the building game born in Sweden in 2009 and now played by millions, has imitators keen to construct their own mega money-spinner
The King's School is way ahead of the pack when it comes to using the latest classroom technology

Staying connected: The King's School

The school in Cambridgeshire is ahead of the pack when it comes to using the latest classroom technology. Richard Garner discovers how teachers and pupils stay connected
Christmas 2014: 23 best women's perfumes

Festively fragrant: the best women's perfumes

Give a loved one a luxe fragrance this year or treat yourself to a sensual pick-me-up
Arsenal vs Borussia Dortmund: Alex Oxlade-Chamberlain celebrates century with trademark display of speed and intuition

Arsenal vs Borussia Dortmund

The Ox celebrates century with trademark display of speed and intuition
Billy Joe Saunders vs Chris Eubank Jnr: When two worlds collide

When two worlds collide

Traveller Billy Joe Saunders did not have a pampered public-school upbringing - unlike Saturday’s opponent Chris Eubank Jnr
Homeless Veterans Christmas Appeal: Drifting and forgotten - turning lives around for ex-soldiers

Homeless Veterans Christmas Appeal: Turning lives around for ex-soldiers

Our partner charities help veterans on the brink – and get them back on their feet
Putin’s far-right ambition: Think-tank reveals how Russian President is wooing – and funding – populist parties across Europe to gain influence in the EU

Putin’s far-right ambition

Think-tank reveals how Russian President is wooing – and funding – populist parties across Europe to gain influence in the EU
Tove Jansson's Moominland: What was the inspiration for Finland's most famous family?

Escape to Moominland

What was the inspiration for Finland's most famous family?