More Trouble Looms For Fugitive Financier Norman Hsu

Friday, September 14, 2007

By Vic Lee

GRAND JUNCTION, Colo. Sep. 13, 2007 (KGO) -- New revelations against fugitive financier Norman Hsu, and allegations that put him in the middle of a possible multi million dollar fraud case in Southern California.

Hsu has agreed to return to the Bay Area without a fight from Colorado, where he was arrested after skipping out on a bail hearing in San Mateo County last week.

Norman Hsu was in court at Mesa County in Colorado on Thursday. Throughout the hearing, he blinked and twitched frequently.

Last Wednesday, Hsu skipped his bail and boarded an Amtrak train to Grand Junction, Colorado. The day after, his friends received what one calls a suicide letter apologizing for putting them through what he called "inconvenience or trouble."

Mesa County District Attorney Pete Hautzinger told the judge he wanted a $50 million dollar cash bail because Hsu was not only a flight risk but should not be left alone.

"I have seen a copy of the letter and it certainly indicated the defendant considered harming himself," said Hautzinger.

Hautzinger also told the court, Hsu may have no trouble paying a lower bail.

"Our sheriffs office tells me, the defendant had a checkbook in his possession when he was arrested that reflected a $6 million dollar balance in that checkbook at least," said Hautzinger.

The New York District Attorney is now investigating Hsu for defrauding a New York investment fund out of $40 million dollars and today in court the prosecutor said he heard Hsu was also the target of an investigation of a possible scam in Southern California.

"Orange County authorities are on the verge of filing charges on a very similar alleged scam involving $33 million dollars with 50 different investors," said Hautzinger.

"I think $50 million is ridiculous frankly," said Defense attorney Eric Elliff.

Defense attorney Eric Elliff argued Hsu would not fight extradition to San Mateo to face grand theft charges that would send him to prison for three years.

"We are willing to waive extradition. Mr. Hsu is very anxious to go back to California," Elliff. The judge finally set bail at $5 million dollars.

"$2 million wasn't enough so lets see if $5 million is," said the Mesa County Court Judge.

Hsu will be back in court next Wednesday, where he's expected to formally waive extradition which will clear the way for San Mateo county sheriff's deputies to bring him back.

A source close to Hsu told ABC7, his attorneys at this time have no plans to post the $5 million dollar bail.

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