President Clinton is not mentioned in the 21-count indictment alleging fraud and conspiracy among James and Susan McDougal and Gov. Jim Guy Tucker, but he has ties to the principals.

The president and first lady Hillary Rodham Clinton were 50-50 partners with the McDougals in the Whitewater land development in northern Arkansas. Clinton says he and his wife were passive investors, leaving the business decisions to McDougal.

McDougal also owned the Madison Guaranty Savings & Loan, which failed in 1989. Independent Counsel Kenneth Starr, and before him special prosecutor Robert Fiske, were directed to examine Madison’s failure and determine whether any Madison money was channeled improperly to Clinton’s gubernatorial campaigns or the Whitewater venture.