Chatwal was a major figure among well-heeled Indian-Americans who support Democrats.

He attended at least two state dinners for India in the US, one hosted by President Bill Clinton in 2000 and another hosted by President Barack Obama in 2009, according to Politico.

In the 1990s, Chatwal - then known as the founder of the popular Bombay Palace chain of restaurants in New York - filed for personal bankruptcy and became enmeshed in a dispute over whether he was hiding his assets, the news site reported.

In 2007, Chatwal pledged that he and other Indian-Americans would raise $5 million for Clinton's presidential campaign.

He organized a fundraiser that year that was billed to include appearances by two celebrity businessmen from India, neither of whom could legally donate at the fundraiser they were set to headline, Politico said.

Meanwhile, Virginia Governor Terry McAuliffe and Senator Mark Warner are also donating to charity funds tied to Chatwal.

An adviser to McAuliffe's political action committee said Thursday that the governor will donate $4,300 to a nonprofit that provides free health care to the poor. Chatwal gave to McAuliffe's 2013 gubernatorial campaign.

A spokesman for Warner said the $1,000 Chatwal gave to Warner's campaign in 2012 will be donated to charity.

In a statement, cited by New York Observer a spokesperson for Chatwal said, "Mr. Chatwal deeply regrets his actions and accepts full responsibility for the consequences. He looks forward to resolving this personal matter."
READ MORE:
Asian Americans 'Too Busy' To Vote In U.S.
India Should Not Embrace Protectionist Policies: U.S.