Huang Testifies
By Associated Press

Former Democratic fund raiser John Huang admitted on Dec. 15 that he arranged nearly $1 million in illegal contributions for the Democratic Party, but said he was not aware of any wrongdoing by the president or vice president.

In his first public testimony, Huang rebutted many of the most serious allegations raised against him by Republicans. He denied that he ever spied for China, worked as an agent of an Indonesian conglomerate while a Commerce Department official, or laundered money while a fund-raising official of the Democratic National Committee.

Once Clinton’s chief money raiser in the Asian American community, Huang appeared before the House Government Reform Committee to testify on Democratic fund-raising irregularities under a grant of limited immunity, but faced the threat of prosecution for perjury in his testimony.

In a statement he gave just prior to the hearings, Huang said he was “never a spy” for China. “As the Department of Justice subsequently has acknowledged, I am not and never was a spy,” Huang’s statement said. He added that “while things might have gone easier for me were I able to implicate the president or the vice president in wrongdoing, I never had a basis upon which to do so.”

On the first day of testimony, the committee’s Republican chairman, Rep. Dan Burton of Indiana, repeatedly questioned Huang about a 1992 limousine ride during which Lippo deputy chairman James Riady personally promised Clinton he would raise $1 million for him. Clinton was still Arkansas governor, running for his first term as president.

Only Riady and Clinton were in the car, but Huang said his then-boss recounted the conversation to him moments afterward. Riady had formerly run a bank in Little Rock while Clinton was governor, and the two became friends.

Asked by Burton whether it occurred to him that contributions from an Indonesian businessman would be illegal, Huang said that Riady -- who formerly lived in Arkansas -- “still had green card status. He maintained a home in the U.S.” and was eligible to make contributions.

Huang admitted, however, that the promise was kept through contributions from Lippo employees and others illegally reimbursed by Lippo. Federal law prohibits contributions in which the real donor’s identity is hidden.

While the former fund raiser has pleaded guilty to funneling about $156,000 in reimbursed contributions to the Democrats, he told Rep. Christopher Shays, R-Conn. that he probably raised another $800,000 through the same Lippo reimbursement scheme.

In August, Huang pleaded guilty to conspiracy to violate campaign finance laws and was sentenced to a year’s probation and a $10,000 fine. In Clinton’s 1996 re-election campaign, the Democratic National Committee returned $1.6 million in questionable donations raised by Huang -- who by then was working for the DNC.

Huang also testified that Riady gave him $18,000 in late 1997, another $20,000 in 1998 and then travel expenses this year. Huang said his former boss gave the money “as a friend,” and added the Justice Department approved the 1998 and 1999 trips to visit Riady abroad.

Huang told Burton he did not know why Riady wanted to raise $1 million for Clinton’s campaign. Huang said he believed Riady did so because “if you want to create a bigger impact,” a large contribution would “get attention” and “better access.”

Asked by Burton whether Riady mentioned anything specific that he sought in return from Clinton, Huang responded, “Oh no, no sir. He likes to help his friends.” After Burton expressed doubt that friendship was the sole reason for the fund-raising effort, Huang said he could speculate that Riady could receive benefits for his business because “he can tell people in Asia he knows President Clinton.”

Rep. Henry Waxman of California, the senior committee Democrat, ran through a litany of allegations made against Huang by Burton and other Republicans.

Huang replied “no sir” when asked whether he had knowledge that Clinton or Gore knew of illegal fund raising; that the president sold foreign policy decisions for contributions; that Huang was a spy for China or Lippo; or that Huang was part of a Chinese conspiracy to influence the 1996 election.

Asked why he arranged for illegal contributions, Huang said, “In human life, sometimes you have to make a decision in a crossroad. Maybe it was anticipated it would not be found out.”

Huang expressed remorse about his activities in his opening statement, but accused some lawmakers and others of unjustifiably “demonizing me and other Asian Americans.”

Admitting he was “embarrassed and saddened” by his own mistakes, Huang said, “Hatemongers, bigots and regrettably even some of our elected officials continue to tear at America’s greatest strength -- its diversity.”