Article: What Did Hillary Clinton Know?

There is also no doubt about the significance of the Steele Dossier in spurring the Russia-gate scandal forward.

When Rep. Adam Schiff, the ranking Democratic member of the House Intelligence Committee, offered what amounted to a prosecutor's opening statement in March, his seamless 15-minute narrative of the Trump campaign's alleged collaboration with Russia followed the trail blazed by Steele, who had worked for Britain's MI-6 in Russia and tapped into ex-colleagues and unnamed sources inside Russia, including supposedly leadership figures in the Kremlin.

Steele's Methods

Since Steele could not reenter Russia himself, he based his reports on multiple hearsay from these anonymous Russians who claim to have heard some information from their government contacts before passing it on to Steele's associates who then gave it to Steele who compiled this mix of rumors and alleged inside dope into "raw" intelligence reports.

Besides the anonymous sourcing and the sources' financial incentives to dig up dirt, Steele's reports had other problems, including the inability of FBI investigators to confirm key elements, such as the claim that several years ago Russian intelligence operatives secretly videotaped Trump having prostitutes urinate on him while he lay in the same bed at Moscow's Ritz-Carlton used by President Obama and First Lady Michelle Obama.

That tantalizing tidbit was included in Steele's opening report to his new clients, dated June 20, 2016. Apparently, it proved irresistible in whetting the appetite of Clinton insiders. Also in that first report were the basic outlines of Russia-gate.

But Steele's June report also reflected the telephone-tag aspects of these allegations: "Speaking to a trusted compatriot in June 2016 sources A and B, a senior Russian Foreign Ministry figure and a former top level Russian intelligence officer still active inside the Kremlin respectively, the Russian authorities had been cultivating and supporting US Republican presidential candidate, Donald TRUMP for a least 5 years.

"Source B asserted that the TRUMP operation was both supported and directed by Russian President Vladimir PUTIN. Its aim was to sow discord and disunity both within the US itself, but more especially within the Transatlantic alliance which was viewed as inimical to Russia's interests. ... In terms of specifics, Source A confided that the Kremlin had been feeding TRUMP and his team valuable intelligence on his opponents, including Democratic presidential candidate Hillary CLINTON, for several years. ...

"The Kremlin's cultivation operation on TRUMP also had comprised offering him various lucrative real estate development business deals in Russia, especially in relation to the ongoing 2018 World Cup soccer tournament. However, so far, for reasons unknown, TRUMP had not taken up any of these."

Besides the anonymous and hearsay quality of the allegations, there are obvious logical problems, especially the point that five years before the 2016 campaign, virtually no one would have thought that Trump had any chance of becoming President of the United States.

There also may have been a more mundane reason why Trump's hotel deal fell through. A source familiar with those negotiations told me that Trump had hoped to get a half interest in the $2 billion project but that Russian-Israeli investor Mikhail Fridman, a founder of Russia's Alfa Bank, balked because Trump was unwilling to commit a significant investment beyond the branding value of the Trump name.

Yet, one would assume that if the supposedly all-powerful Putin wanted to give a $1 billion or so payoff to his golden boy, Donald Trump, whom Putin anticipated would become President in five years, the deal would have happened, but it didn't.

Despite the dubious quality of Steele's second- and third-hand information, the June 2016 report appears to have impressed Team Clinton. And once the bait was taken, Steele continued to produce his conspiracy-laden reports, totaling at least 17 through Dec. 13, 2016.

Framing the Investigation

The reports not only captivated the Clinton political operatives but influenced the assessments of President Obama's appointees in the U.S. intelligence community regarding alleged Russian "meddling" in the presidential election.