Clinton supporter enables preying upon elderly
http://www.nysun.com/article/54982
New York Sun - May 22, 2007
Clinton Backer’s Firm Alleged to Aid Scammers By JOSH GERSTEIN Staff Reporter of the Sun
A Nebraska entrepreneur facing allegations that his firm does =
business with scam artists targeting the elderly, Vinod Gupta, has =
directed more than $3 million in the past decade to political =
campaigns and projects connected with President Clinton and Senator =
Clinton.
Mr. Gupta’s company, infoUSA, Inc., repeatedly rented marketing =
databases to unscrupulous individuals who used the lists to engage in =
fraud, according to the New York Times. A front-page article in the =
Sunday paper said the company promoted a list called “Suffering =
Seniors,” which featured ailing older people, and other lists of =
“Elderly Opportunity Seekers” and those deemed to be “gullible.”
Mr. Gupta, the chairman and CEO of infoUSA, has been one of the most =
generous benefactors to causes affiliated with the Clintons. He =
donated $2 million to a national millennium celebration organized by =
Mrs. Clinton’s White House office, according to a book published by =
her chief fund-raiser, Terence McAuliffe. Mr. Gupta also gave $1 =
million for the construction of Mr. Clinton’s presidential library in =
Little Rock, Ark.
In 2000, Mr. Gupta gave $100,000 to support Mrs. Clinton’s Senate bid =
and hosted a fund-raiser in his home that raised $100,000 more. “She =
was so good,” he said of Mrs. Clinton’s talk there, according to the =
Omaha World-Herald. “I think she is smarter than the president.”
Mr. Gupta and his wife, Laurel, were also the Clintons’ guests for a =
stay in the White House’s Lincoln Bedroom in 1999. The entrepreneur =
said the omnipresent Secret Service took the luster off the visit. =
“You kind of feel like you’re in jail,” he told the Omaha paper.
Mr. Gupta and his wife, Laurel, were also the Clintons’ guests for a =
stay in the White House’s Lincoln Bedroom in 1999. The entrepreneur =
said the omnipresent Secret Service took the luster off the visit. =
“You kind of feel like you’re in jail,” he told the Omaha paper.
The extent of Mr. Gupta’s involvement in Mrs. Clinton’s presidential =
bid is unclear. He gave $1,000 to the campaign in February, which is =
far short of the maximum $4,600 donation. A spokesman for Mrs. =
Clinton, Howard Wolfson, noted that Mr. Gupta was not among a list of =
large fund-raisers released by the campaign last month.
Mr. Gupta did not respond to requests for an interview for this =
article. However, he issued a statement yesterday taking issue with =
the Times report. “We regret that the Times has chosen to recycle as =
=91news’ this 3-year-old, closed inquiry by the Iowa authorities and =
has done so in such a misleading way,” Mr. Gupta said.
The statement said infoUSA has never marketed lists of “gullible” =
individuals. The firm also said it does not compile lists called =
“Elderly Opportunity Seekers” or “Suffering Seniors.”
An assistant attorney general in Iowa who investigated how the firm =
markets and distributes its data files disputed the company’s =
assertion that it cooperated completely with the probe. “It’s because =
they weren’t cooperative that we had to go to court,” the attorney, =
Steve St. Clair, told The New York Sun yesterday. He labeled the =
firm’s claim that the investigation is closed “self-serving and =
speculative on their part.” He also said the probe never cleared the =
company. “There was no point at which we communicated satisfaction =
that they’d done nothing wrong,” he said.
Mr. St. Clair said he never saw evidence that infoUSA circulated a =
list of “Suffering Seniors” but said it did offer lists such as “cash- =
hungry individuals.” “When you look at some of the phrases they did =
use, it’s hard to distinguish them,” he said.
An attorney at the University of California who studies privacy and =
marketing issues, Chris Hoofnagle, said an infoUSA subsidiary has =
promoted lists of consumers described as “mature” and “impulsive.” =
“=91Mature’ and =91impulsive’ are keywords for =91Come rob me, come swindle= =
me,” Mr. Hoofnagle said. He said other lists “reinforce racial and =
class-based stereotypes.”
“There’s almost no privacy rights with respect to these companies,” =
he said. “These list brokers are completely opaque.”
InfoUSA said it pre-screens offers directed to the elderly and =
stopped renting lists of seniors receptive to “sweepstakes and =
gaming” after Iowa launched its probe. However, the firm said there =
are “many legitimate reasons for direct marketing to senior citizens =
(or any other demographic group).” InfoUSA said such age-related =
lists help insurance companies, retirement communities, and AARP =
reach their target audiences.
The Times article about infoUSA did not mention Mr. Gupta or his =
political ties.
Just before leaving office in 2001, Mr. Clinton appointed the infoUSA =
founder to the board of the Kennedy Center for the Performing Arts in =
Washington. The pair later traveled together in India, when Mr. =
Clinton made a trip there to survey earthquake damage. Mr. Gupta also =
treated the former president to a round of golf at the renowned Loch =
Lomond course in Scotland in 2001, according to local press accounts.
Mr. Clinton has visited infoUSA’s offices at least twice, according =
to press reports. In 2001, he was keynote speaker at a company- =
sponsored marketing seminar focused on “surviving privacy legislation.”
Mr. Gupta’s limited involvement in Mrs. Clinton’s latest campaign =
could relate to his company’s recent acquisition of a firm that is =
now CNN’s main pollster, Opinion Research Corporation. Conservative =
Web sites have cited Mr. Gupta’s ties to the Clintons in questioning =
the independence of the surveys.