Democrats won’t return Hsu money

A spokesman for the Tennessee Democratic Party said this morning that it would not return the $58,000 in contributions it’s received from Norman Hsu, who recently turned himself in to authorities in California after 15 years as a fugitive.

“Our contributions were received, properly disclosed and utilized in the previous election cycle,” said Wade Munday, a Democratic Party spokesman.

The decision runs contrary to other Democratic politicians who have received contributions from Hsu, a prominent party donor.

Sen. Hillary Clinton’s presidential campaign has announced it will give the $23,000 it’s received to charity and New York Gov. Eliot Spitzer and Attorney General Andrew Cuomo would do the same. Sen. Barack Obama’s presidential campaign will give away its $7,000

Hsu pleaded no contest to fraud charges in California in 1991. But Hsu did not appear at a court appearance and was not seen again. His contributions to the Tennessee Democratic Party have New York addresses.

Hsu turned himself in to California authorities late last week.

In the 2005-2006 election cycle, the Tennessee Democratic Party’s federal political action committee (PAC) received $20,000 from Hsu, Federal Election Commission (FEC) documents show.

In addition, Hsu also gave the Democrats’ state PAC $38,000, state Registry of Election Finance records indicate.

Robin Smith, the chairman of the Tennessee Republican Party, said she thinks the Democratic Party should return the donations and said the GOP would do so if the situation were reversed.

“If they can live with keeping that illegal money and not returning it to the people that were scammed, then that’s their conscience that they have to deal with,” Smith said.

Besides the Tennessee Democratic Party, Hsu gave $14,700 to Harold Ford Jr.’s Senate campaign in 2005 and 2006, according to FEC records.