The mystery of where Norman Hsu got his money turns out to have a really simple answer: He stole it. The WSJ broke this story but it's behind a subscription wall, so I'm linking to Fox:

The newspaper reports that a company run by Norman Hsu, who donated nearly $2 million to Democratic candidates since 2004 - including presidential hopeful Sen. Hillary Clinton - recently received $40 million from a Madison Avenue investment fund run by Joel Rosenman, one of the creators of the fabled Woodstock rock festival in 1969.

Now, that $40 million is missing, Rosenman reportedly told investors this week.

This raises a new wrinkle for Hillary Clinton and her Democratic cohorts. Up to now they've been grudgingly returning the money by paying it to some unspecified charity. Now that the money turns out to be stolen, will they return the money to its rightful owners?

And how would one determine the rightful owner? Who gets paid first? This is going to be a first-class, grade-A mess. One question that just occurred to me is whether the Justice Department has the ability and willingness to freeze the funds wherever they may be. Then things would get really interesting.