On April 28, 1996, President Clinton testified behind closed doors for 4 hours as a defense witness in the trial of two of his partners in the failed Whitewater real estate deal.
Clinton, who is not accused of any wrongdoing in this proceeding, recorded his testimony on videotape at the White House for viewing later in the trial of James and Susan McDougal, who are charged with bank fraud and conspiracy.
The Clintons entered into a partnership with the McDougals in the Whitewater real estate venture in 1978. Although their investment lost money, questions have arisen about whether funds for the project were siphoned from the Madison Savings and Loan Association, which was also a McDougal holding.
