Betsy's Page blog reports that the Clinton campaign was warned about Norman Hsu awhile back, but did not heed those warnings.

The Los Angeles Times, that rightwing rag, revealed that the Clinton campaign had been warned that fundraiser Norman Hsu was involved in a suspicious ponzi scheme.

Before the announcement, new evidence surfaced that the Clinton camp had dismissed allegations about Hsu made by a Southern California businessman. In an e-mail obtained by The Times, a Clinton campaign staffer told a California Democratic Party official in June that the businessman's concerns were unwarranted.

"I can tell you with 100 certainty that Norman Hsu is NOT involved in a ponzi scheme," wrote Samantha Wolf, who was a campaign finance director for the Western states."He is COMPLETELY legit."

In fact, Hsu was a fugitive wanted on a 15-year-old bench warrant stemming from an early 1990s investment fraud case.

The businessman's query prompted Clinton staffers to review public records about Hsu, but no problems surfaced, the campaign source said. In part because of that incident, the campaign also announced Monday that it would institute more stringent procedures to vet major contributors, including running criminal background checks.

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