The Nation.



Clinton Follows the Money

By William Greider

This article appeared in the January 8, 2001 edition of The Nation.

December 21, 2000

The power play was swift, effective and ugly. Within hours of Albert Gore's concession, Bill Clinton was moving the levers of insider politics to install his personal money guy, Terry McAuliffe, as the next chairman of the Democratic National Committee. Mr. Albert is already history because Mr. Bill intends to run this party for the next four years. That is terrible news for any hope that the out-of-power Democrats might regenerate themselves as the party of new ideas and fundamental reforms. Clinton will defend his checkered legacy and advance his own unspecified ambitions by dispensing the mother's milk of politics--money--to those Democrats who adhere to his manipulative, hollow style of leadership. Think small, act symbolically. Talk reform, but stick with the New Democrat moneybags on the big economic questions.

Among other things, this move makes a weak joke out of the Democrats' supposed commitment to campaign finance reform. Indeed, it insures that the stench of extralegal money scandals that Clinton-McAuliffe generated will continue to hang over the party. Only now, George Bush's Justice Department will be in charge of the investigations and may show more thoroughness than Clinton's has. Has the statute of limitations expired on the 1996 election and other money schemes connected to McAuliffe? Democrats must hope so if they allow this guy to become nominal party leader.

The DNC has not been a meaningful institution for many years--it's a mail drop for political money, that's all--and normally no one except insiders should care who's in charge. But Terry McAuliffe is special. This man has fabulous connections--he reeks of them--but party-building is not among his talents. He raises big bucks for the Clintons' personal debts and the presidential library, even offered to put up $1.35 million in earnest money for their mortgage. He was leading co-engineer of the 1996 fundraising scandals when Clinton blew out the gaskets on the campaign finance laws, when reformers plausibly argued that the "soft money" law (not to mention perjury laws) had been violated by the Clinton money machine. McAuliffe, furthermore, was named in court testimony by a former DNC finance director as the inside player who repeatedly promoted an illegal money swap between the Teamsters and party donors. Teamsters president Ron Carey, the supposed reformer, was tossed from office, two aides pleaded guilty and a third was convicted. McAuliffe's ascension should provide good grist for Senator John McCain's floor speeches on campaign finance reform.

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About William Greider

National affairs correspondent William Greider has been a political journalist for more than thirty-five years. A former Rolling Stone and Washington Post editor, he is the author of the national bestsellers One World, Ready or Not, Secrets of the Temple, Who Will Tell The People and, most recently, The Soul of Capitalism (Simon & Schuster). more...

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