To: Johnathan C. Doe who wrote (37374 ) 3/9/1999 5:06:00 AM From: JBL Respond to of 67261
McDougal says trial is 'personal vendetta' by Starr March 8, 1999 Web posted at: 6:03 p.m. EST (2303 GMT) LITTLE ROCK, Arkansas (AllPolitics, March 8) -- Jury selection began Monday in the trial of Whitewater figure Susan McDougal on contempt and obstruction of justice charges, an effort she labeled a "personal vendetta" by Independent Counsel Ken Starr. "It's become more than political," McDougal told reporters as she arrived at the federal courthouse. ------------------------------------------------------------------------ In this story: McDougal could return to prison What do prosecutors want to know? ------------------------------------------------------------------------ She has insisted she has no information on the Clintons' business dealings in Arkansas, but said she was "scared" as the trial began. "Anyone who goes up against Kenneth Starr ought to be worried," McDougal said, urging the people of Arkansas to follow the trial which she said would expose the ugly nature of the Whitewater investigation. The intense controversy over Starr's investigation permeated jurors' responses to questions from lawyers and a federal judge during jury selection, both pro and con. "If I was in Mrs. McDougal's shoes, I would not want me on the jury," said a female juror who was excused. But other dismissed jurors sympathized with McDougal. "I don't have a high opinion of Ken Starr," said one. Another said, "I have those opinions too; I would like to do this to help her." McDougal could return to prison If convicted, McDougal could return to prison. She already has served 18 months on a civil contempt citation. Susan McDougal, after a hearing March 6, 1998, in Santa Monica, Calif. The trial is based on a three-count indictment alleging criminal contempt and obstruction of justice for McDougal's refusal to answer Starr's questions about McDougal's former business partners, President Bill Clinton and his wife, Hillary Rodham Clinton. But deputy Whitewater prosecutor W. Hickman Ewing Jr. said the trial will be about her failure to follow a judge's direct order. Two jurors from McDougal's previous trial in California came to Little Rock. They voted to acquit her on unrelated embezzlement charges and claim local officials were cooperating with Starr to persecute McDougal. "It's like there's collusion going on and we feel used and we are convinced there is collusion going on," said Nancy Dale Nieman. Starr's grand jury was investigating whether McDougal, 44, had improper financial dealings with the Clintons when the president was governor of Arkansas. McDougal and the Clintons were business partners in the failed Whitewater real estate development. McDougal has said she refused to answer questions because she believes Starr would twist her words to suit his purposes and may charge her with perjury if he doesn't get the testimony he wants. But prosecutors say they will introduce evidence that will show McDougal has relevant information about the Clintons. What do prosecutors want to know? U.S. District Judge George Howard Jr. said last week he would consider allowing evidence of "prosecutorial misconduct or outrageous government conduct," specifically whether Starr wanted Mrs. McDougal to lie about the Clintons. But Ewing said prosecutors have already gotten the judge to restrict some testimony. "Hopefully, they'll be very vigilant and the judge will limit the proof to what's relevant," he said. According to the indictment, prosecutors want to know: •ÊWhether Clinton was aware of a $300,000 loan to McDougal from David Hale, who pleaded guilty to mail fraud and conspiracy. Hale said Clinton pressured him to make such a loan in 1986. The government claims McDougal used the money for purposes other than what it was intended for. •Whether Clinton testified truthfully during the 1996 trial of McDougal, her late husband James McDougal and then-Gov. Jim Guy Tucker. •ÊWhether Clinton knew about Lorance Heights, an 800-acre tract south of Little Rock that the Clintons' and the McDougals' Whitewater Development Corp. purchased in 1986. Prosecutors say the company used money from the $300,000 loan to secure the land. The Clintons have said James McDougal never told them about Lorance Heights or the loan. •Why the words "Payoff Clinton" were written in the notation section of a $5,081.82 check drawn on a McDougal account and payable to Madison Guaranty, which the McDougals owned.