In this Nov. 6, 2017 photo, Paul Manafort, President Donald Trump’s former campaign chairman, leaves the federal courthouse in Washington. Manafort has sued special counsel Robert Mueller saying he exceeded authority in the Russia probe. (AP Photo/Jacquelyn Martin)

New charges against ex-Trump campaign associates

More charges were laid Thursday against President Donald Trump’s former campaign chairman and his business associate

Dramatically escalating the pressure and stakes, special counsel Robert Mueller filed additional criminal charges Thursday against President Donald Trump’s former campaign chairman and his business associate.

The filing adds allegations of tax evasion and bank fraud and significantly increases the legal jeopardy facing Paul Manafort, who managed Trump’s campaign for several months in 2016, and longtime associate Rick Gates. Both had already faced the prospect of at least a decade in prison if convicted at trial.

The two men were initially charged in a 12-count indictment in October that accused them of a multimillion-dollar money-laundering conspiracy tied to lobbying work for a Russia-friendly Ukrainian political party.

The new charges, contained in a 32-count indictment returned by a federal grand jury in Virginia, allege that Manafort and Gates doctored financial documents, lied to tax preparers and defrauded banks — using money they cycled through offshore accounts to spend lavishly, including on real estate, interior decorating and other luxury goods.

The new criminal case comes a week after a separate Mueller indictment charged 13 Russians in a conspiracy to undermine the U.S. presidential election through a hidden social media propaganda effort. The charges against Manafort and Gates don’t relate to any allegations of misconduct related to Trump’s campaign, though Mueller is continuing to investigate potential ties to the Kremlin.

The charges against Manafort and Gates arise from their foreign lobbying and efforts that prosecutors say they made to conceal their income by disguising it as loans from offshore companies. More recently, after their Ukrainian work dwindled, the indictment also accuses them of fraudulently obtaining more than $20 million in loans from financial institutions.

The new indictment increases the amount of money Manafort, with the assistance of Gates, is accused of laundering to $30 million. It also charges Manafort and Gates with filing false tax returns from 2010 through 2014 and in most of those years concealing their foreign bank accounts from the IRS.

In a document that accompanied the new indictment, prosecutors said they had filed the charges in Virginia, rather than Washington where the other case is pending, because the alleged conduct occurred there and one of the defendants objected to them being brought in Washington.

The indictment comes amid ongoing turmoil in the Manafort and Gates defence camps. Manafort has been unable to reach an agreement with prosecutors over the terms of his bail and remains under house arrest, while Gates’s lawyers withdrew from the case after acknowledging “irreconcilable differences” with their client. A new lawyer, Thomas Green, entered an appearance Thursday on Gates’s behalf.

Mueller was appointed in May to investigate potential co-ordination between Russia and the Trump campaign. He took over an ongoing FBI investigation into Manafort’s foreign lobbying work.

After a two-month stretch that produced no charges, the new indictment is part of a flurry of activity for Mueller’s team within the past week.

Besides the charges against the Russians, Mueller’s team on Tuesday unsealed a guilty plea from a Dutch lawyer who admitted he lied to investigators about his contacts with Gates.

Manafort and Gates, who also worked on Trump’s campaign, both pleaded not guilty after their indictment last fall.

Two other people who aided Trump in the campaign or in the White House — former national security adviser Michael Flynn and former campaign foreign policy adviser George Papadopoulos — have pleaded guilty to lying to the FBI about their foreign contacts. Neither man has been sentenced. Both are co-operating with the investigation.

Mueller is also examining whether Trump obstructed justice through actions including the firing last May of FBI Director James Comey. His team has expressed interest in interviewing the president.

___

Associated Press writer Jeff Horwitz contributed to this report.

Eric Tucker And Chad Day, The Associated Press

Just Posted

Bowser residents protest marine sewage outfall plan

Veenhof and staff endures harsh criticisms at public information meeting

Qualicum Beach society goes to bat for insect eaters

Two bat houses built to monitor population in Heritage Forest

Parksville reopens portion of wetland

City undertakes review, remediation of liability concerns

Is Steve Nash Vancouver Island’s best athlete of all-time?

As Captain Canada gets ready to enter basketball’s Hall of Fame it’s time to debate his legacy

Who is Vancouver Island’s greatest athlete ever?

We want to know, you get to choose in a 64-athlete tournament bracket

VIDEO: After the floods, comes the cleanup as Grand Forks rebuilds

Business owners in downtown wonder how long it will take for things to go back to normal

SAR scaling back in Kilmer search, but friends will keep looking

Search for 41-year-old Cobble Hill dad hits six-day mark

Rachel Notley to skip premiers conference to focus on pipeline deal

Kinder Morgan has ceased all non-essential spending on the Trans Mountain pipeline project until it receives assurances

B.C. tech company will power Uber Elevate

Moli and Uber announce research and development partnership.

Olympian sues USA Swimming, saying it failed to protect her

Ariana Kukors Smith alleges her former coach Sean Hutchison began grooming her for sexual abuse at the age of 13

Defence minister thanks troops for B.C. flood relief work

Harjit Sajjan says not only was military response quick, support from locals has been ‘tremendous’

Still no sign of missing father in Cowichan Valley

Search group for Ben Kilmer now stands 40 SAR volunteers and another 100 friends and concerned community members

Couple survives being buried in mudslide on B.C. highway

The couple, from Saskatchewan, were en route to Nelson when a tree fell in their path

‘So grateful:’ Injured Bronco hockey player glad he’s alive, works on recovery

Ryan Straschnitzki was badly hurt in the accident: a spinal injury, broken ribs, a broken collar bone, and punctured lung

Most Read