Manafort and Gates became the first two Trump associates indicted by special counsel Robert Mueller last October.
Ex-Trump campaign manager Paul Manafort and his longtime associate Rick Gates were slammed with tax fraud charges in the Russia probe Thursday, adding to the laundry list of federal crimes they’re already accused of.
Manafort and Gates became the first Trump associates indicted by special counsel Robert Mueller last October over their shady business dealings on behalf of a pro-Kremlin political party in the Ukraine. Since then, the men have been forced to give up millions of dollars in assets and property just to stay out of jail.
Mueller’s latest indictment, unsealed Thursday afternoon, puts even more pressure on the duo.
The 32-count indictment charges Manafort and Gates with concocting a complex plot to avoid paying taxes on the fortunes they made while working as consultants to ousted Ukrainian President Victor Yanukovych between 2006 and 2015. In total, Mueller stated, the two men funneled more than $75 million through offshore bank accounts and shell companies to maintain a «lavish» lifestyle.
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With Gates’ help, Manafort concealed over $30 million from the Treasury Department. Gates, meanwhile, kept over $3 million hidden from U. S. tax authorities.
«Manafort and Gates generated tens of millions of dollars in income as a result of their Ukraine work,” Mueller charged. “Manafort and Gates engaged in a scheme to hide income from United States authorities, while enjoying the use of the money.»
The new charges come as Gates is rumored to be nearing a plea deal with Mueller, paving way for him to cooperate with the investigation and testify against Manafort. Both men could face additional prison time in light of the new filings.
The charges are not linked to the Trump campaign, and the President has maintained that Manafort and Gates have nothing to do with him since their alleged crimes took place long before he announced his campaign. But Mueller’s new indictment charges for the first time that Manafort and Gates were still using real estate holdings to secure fraudulent loans around the time of Trump’s inauguration.
Feds had evidence to arrest Paul Manafort on fraud charge in 2014
Gates worked as a senior foreign policy adviser on Trump’s campaign before joining his transition team. Manafort abruptly resigned as Trump’s campaign manager three months before election after his suspect ties to Ukraine were first reported.
This is the second bout of charges filed against Manafort and Gates. On Oct. 30, Mueller charged them with conspiracy against the U. S. and money laundering over their work for Yanukovych, who has been wanted for high treason in Ukraine since his 2014 ouster. He currently lives in exile in Russia under the protection of President Vladimir Putin’s regime.
Trump has blasted the investigation into Russian election meddling as a «hoax» cooked up by resentful Democrats. But despite those smokescreens, Mueller’s investigators continue to probe Trump’s campaign for possible collusion with the Kremlin. The special counsel’s office is also looking at the possibility that Trump obstructed justice by firing ex-FBI Director James Comey.
