Word: mcdougall
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...other Starr witnesses looked a lot less promising. He could indict Susan McDougal for criminal contempt before his Arkansas grand jury packs up and goes home this week, but she has already shown that she prefers ankle chains to testifying against the President. And although Starr indicted Clinton pal Webb Hubbell last week (along with his wife Suzanna, his lawyer and his accountant), it was only for alleged tax crimes that are typically handled as civil matters, which even some of Starr's supporters felt was a stretch. Sources tell TIME that Starr's office is weighing still more charges...
...SUSAN MCDOUGAL Like Liddy, paying a price for silence. Will she get a radio...
...didn't provide any useful testimony in 1994, when Starr convicted him of bilking clients and partners at the Rose law firm. He isn't any more likely to do so now. And Hubbell isn't the only one who has stymied Starr. Clinton's former Whitewater partner Susan McDougal has refused to cooperate. The Clintons have had their memory lapses. And Starr has failed to turn little fish against big ones. His Whitewater endgame may amount to nothing more than a final bash at Hubbell, a scathing report on the Clintons and a stiff march into the sunset...
...prosecutor was hoping Tucker could corroborate a central allegation against Clinton: that in 1986 Clinton pressured former judge David Hale to make an illegal $300,000 loan to Susan McDougal. That allegation came from Hale, a convicted felon whose credibility took another beating last month when published reports accused him of receiving payments from right-wing Clinton haters. Clinton's other Whitewater partner, Jim McDougal, at first denied the allegation, then confirmed it--but his credibility was no better than Hale's, and he died last month in prison. Starr can't build a case around the Hale loan unless...
Tucker's first day of secret testimony, March 18, was devoted to a six-hour tour of the Clintons' real estate history. Starr apparently hoped he would provide more details about Hillary's role in a house-of-cards residential development called Castle Grande, which Jim McDougal financed through his savings-and-loan, Madison Guaranty. Federal regulators called Castle Grande a sham. Af-ter earning $2 million in commissions and fees for McDougal's associates, it collapsed in 1989 (cost to taxpayers: $4 million), helping trigger the $50 million failure of Madison. In sworn statements to federal regulators, Hillary said...