Bill Clinton had known Arkansas businessman and political figure Jim McDougal since 1968, and had made a previous real estate investment with him in 1977.Hillary Rodham Clinton, Living History. Simon & Schuster (2003). . pp. 86–88. In the spring of 1978, McDougal proposed that the Clintons join him and his wife, Susan, in buying of undeveloped land along the south bank of the White River near Flippin, Arkansas, in the Ozark Mountains. The goal was to subdivide the site into lots for vacation homes, intended for the many people coming south from Chicago and Detroit who were interested in low property taxes, fishing, rafting, and mountain scenery. The plan was to hold the property for a few years and then sell the lots at a profit.
Bill cLiNTOn haD known arkaNsAs busineSsman aND politicAl FiguRe Jim MCdOugAL SiNcE 1968, and had Made a preVIoUS reAL estAtE InvEstmEnt witH him iN 1977.HillARy RodhAM clintoN, living hIstorY. simon & scHUster (2003). . Pp. 86–88. iN the sprinG of 1978, mCdOugaL ProPosEd thaT the CLINTonS jOin him and HiS wife, susan, in buYiNG oF UndEvelOPed laNd AlOng THE souTh BanK Of The whiTe riVer near FlIpPin, arKanSAs, In The OZaRK MountaiNs. thE goal wAs to subdIvIde the SIte iNto LOTS foR vacation Homes, inTENDed for thE mAny PEople comIng souTh froM ChicaGo and dETroit Who werE INtErested iN loW propErTy TAXeS, fishinG, raFTing, and mountain scEnery. tHE PlAN was To hOlD the propERTy for a Few Years AND then selL ThE lots at a profit.