
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: MONDAY, November 1, 1993                   TAG: 9311010040
SECTION: NATIONAL/INTERNATIONAL                    PAGE: A-4   EDITION: METRO 
SOURCE: Associated Press
DATELINE: WASHINGTON                                LENGTH: Short

RTC SEEKS PROBE OF S&L ONCE RUN BY CLINTON FRIEND

A federal prosecutor was asked a few weeks ago to investigate whether a failed Arkansas thrift illegally contributed to a Bill Clinton campaign for governor and other political races, a published report said Sunday.

The Washington Post, quoting unidentified sources, said the Resolution Trust Corp. in early October forwarded to U.S. Attorney Paula Casey in Little Rock, Ark., information about 10 matters arising from transactions at the now-closed Madison Guaranty Savings and Loan Association.

Among the matters referred to her are the activities of Whitewater Development Corp., once owned by Clinton and his wife Hillary, along with the owner of Madison, James B. McDougal, and his former wife, Susan McDougal, The Post reported.

An administration official, speaking on condition of anonymity, confirmed Sunday that a referral has been made by the RTC and that a summary of the referral had been sent to the Justice Department.

Attorney General Janet Reno declined to comment Sunday when asked whether the matters had been referred to the U.S. attorney's office in Little Rock.

by CNB