The Whitewater Scandal The Whitewater scandal is known as a real estate investigation that began in the 1990s in regards to Bill and Hillary Clinton. In 1978, Bill Clinton was Attorney General of Arkansas. Clinton and his wife joined James and Susan McDougal in a real estate investment that would turn out to be the Whitewater Development Corporation. The Clintons and McDougals acquired a loan for $200,000 so they could obtain around 200 acres in Arkansas’ Ozark Mountains. The intention was to build vacation homes. That year, Bill Clinton becomes governor of Arkansas. But, he loses his incumbency the following election. James McDougal, who was Governor Clinton’s economic development director, quits his job right after Bill Clinton loses. He …show more content…
Six months later, Deputy White House Counsel Vincent Foster files three years of corrupt Whitewater corporate tax returns. One month later, Foster was found dead in Washington Park. The police called it a suicide. Right after his death, the White House did not allow the FBI to access Foster’s office. Later on December, the white house agrees to turn over the Whitewater documents to the Justice Department. The following year, former U.S. attorney Robert Fiske Jr. gets appointed as special counsel to investigate the Clinton’s involvement including Foster’s death. Months later, Webster Hubbell resigns as associate attorney general after allegations increase about his skeptical behavior at the Rose Law Firm. After, he gets convicted of fraud and serves in jail for 1.5 …show more content…
17, 1995 a grand jury charges James and Susan McDougal and Arkansas Governor, Jim Tucker with bank fraud in regards to loans. However, the trial does not begin until March 4, 1996. A month later, David Hale, the former owner of a government-funded lending company pledges guilty to two felonies, states that in early 1985 the governor Bill Clinton pressured him to make a fraudulent loan of $300,000 to Susan McDougal and to keep his name out of the transaction. However, President Clinton denies the charges brought against him. Susan McDougal enters jail because she does not want to testify in front of a grand jury and she also gets sentenced to two years in prison for obtaining an illegal loan for the Whitewater