Paul Manafort was granted more time in presenting a bail package on Friday after his lawyers said they needed more time identifying assets for his $10 million bail, DailyMail.com has exclusively learned.
The former Trump campaign chairman entered a not guilty plea on Monday, before being freed on a $10 million bond and agreed to be on ‘home detention’ as a condition of his release.
A federal judge ordered him to wear an ankle bracelet while on house arrest so he can’t flee the country, as it was revealed on Wednesday he was holding three passports.
Manafort’s legal team claimed on Thursday that evidence against their client had been ’embellished’ and argued that because of his ‘strong family ties’ he wasn’t a flight risk and his hefty bail was enough to keep him put.
However, U.S. District Judge Amy Berman Jackson quickly rejected that notion later that day, simply stating: ‘I have concerns about flight’.
But in a small win, Manafort’s lawyers were granted a motion that allowed them until Saturday in coming up with a package that both parties could agree upon, according to court documents.
Paul Manafort was granted more time in presenting a bail package on Friday, after his lawyers said they needed more time identifying assets for his $10 million bail
Manafort’s legal team claimed on Thursday that evidence had been ’embellished’ and argued that because of his ‘strong family ties’ he wasn’t a flight risk. However, U.S. District Judge Amy Berman Jacksons disagreed and said she was concerned about flight for Manafort and Rick Gates. Pictured: Manafort (left) on Monday and Gates on Thursday
According to court documents: ‘Counsel for Mr. Manafort have been actively attempting to identify assets that can be pledged as part of a bail package that the Government and Mr. Manafort can agree upon and submit for the Court’s consideration.
‘This has been occurring since the status conference yesterday, through last evening, and continuing throughout today. The discussions are progressing, but additional time is necessary to finalize the particulars of a jointly agreed-upon bail recommendation.’
On Thursday, Manafort’s lawyers had claimed Manafort wasn’t a flight risk in attempt to get their client out of his ankle monitor.
They also worked to dismiss the outcry over Manafort having three passports, saying: ‘Although it might be surprising to some, it is perfectly permissible to have more than one U.S. passport, as individuals who travel abroad extensively no doubt know.’
The failed motion was in response to a court filing submitted by Special Counsel Robert Mueller that said Manafort and his former business partner Rick Gates, ‘pose a risk of flight based on the serious nature of the charges’ against them, their substantial means and foreign connections.
The official also said some house arrest pretrial arrangements can come with allowances for leaving the house for work, school, church services and even grocery shopping.
Along with his business partner Rick Gates (right), Manafort had the first charges from the probe of possible Russian meddling in the 2016 U.S. presidential election. A courtroom sketch shows Manafort (center) and his former protege Gates entering their not-guilty pleas
Manafort’s legal team claimed evidence has been ’embellished’ and argued that because of Manafort’s ‘strong family ties’ he is not a flight risk
$5 MILLION LIGHTER: Rick Gates left court where he too was placed on home confinement as part of a multi-million-dollar bond arrangement to avoid custody as his trial approaches
A bail memo Mueller’s team submitted to the court justifying the pair’s house arrests and electronic monitoring revealed additional details about conduct the special counsel’s office found concerning, like the email address and phone that Manafort registered under an alias.
The phone Manafort took to Mexico in June, and China and Ecuador in May. Manafort registered the alias email address in March, before the Department of Justice approved a special counsel investigation.
Manafort had been under scrutiny long before that, though. He was sidelined and then ousted from Trump’s campaign in August of 2016 when he was accused of accepting an off-the-books payment of $12 million from the ex-leader of the Ukrainian government for political consulting work he was known to have done.
Manafort and his protege Gates were indicted on Monday on 12 charges that involve their foreign bank accounts and money laundering. According to the government, they had close to $75 million that mostly hid in overseas accounts.
The pair entered not guilty pleas in a federal courtroom, telling a magistrate judge that they’ll fight the Justice Department in court. Manafort lives in Alexandria, a close-in suburb of Washington. Gates resides in Richmond, more than 100 miles to the south.
The charges against the men are the first from the probe of possible Russian meddling in the 2016 U.S. presidential election were unsealed.
His lawyers tried to dismiss the outcry over Manafort having three passports, saying: ‘Although it might be surprising to some, it is perfectly permissible to have more than one U.S. passport, as individuals who travel abroad extensively no doubt know’
CIRCUS: Kevin Downing, attorney for Paul Manafort, spoke to reporters after the preliminary hearing on Monday
The indictment against Manafort, 68, and Gates, 45, includes 12 separate criminal counts: conspiracy against the United States, conspiracy to launder money, unregistered agent of a foreign principal, false and misleading Foreign Agents Registration Act (FARA) statements, false statements, and seven counts of failure to file reports of foreign bank and financial accounts.
Trump insisted via Twitter shortly after the indictments that there was ‘NO COLLUSION’ and Manafort’s lawyer told reporters camped outside of the courthouse on Monday afternoon that the president ‘was correct’.
‘There is no evidence that Mr. Manafort or the Trump campaign colluded with the Russian government,’ Kevin Downing said.
White House press secretary Sarah Sanders said during a Monday press briefing that the ‘announcement has nothing to do with the president, nothing to do with the president’s campaign or campaign activity.’
Sanders told DailyMail.com that Trump and Manafort ‘haven’t spoken in several months. The last known conversation was back all the way to February.’
She said that ‘there was some initial contact’ with Gates ‘after the president was sworn in, with him at meetings here at the White House – but nothing directly with the president.’
The government alleges that at least $75 million was moved by Manafort to offshore accounts without declaring the income to the government. From there Manafort allegedly withdrew $18 million to fund a lavish lifestyle, and Gates is accused of pulling out another $3 million.
Monday afternoon’s preliminary hearing was before U.S. Magistrate Judge Deborah Robinson.
Gates’ spokesman Glenn Selig issued a strident defense of his client after his court appearance.
He said the former Trump campaign hand ‘welcomes the opportunity to confront these charges in court. He is not going to comment further until he has had a chance to review the lengthy indictment with his legal team,’ he said.
‘In the meanwhile, he would appreciate you respecting his and his family’s privacy as they weather this unexpected and hasty proceeding designed to accommodate perhaps political and press considerations rather than his right to have counsel of his choice by his side during this most troubling and challenging day for him and his loved ones. This fight is just beginning.’
Special Counsel Robert Mueller’s investigation has brought its first criminal charges and yielded three arrests – including one low-level guilty plea
Kevin Downing, the attorney for Paul Manafort, told reporters in a statement that ‘there is no evidence that Mr. Manafort or the Trump campaign colluded with the Russian government’
White House press secretary Sarah Huckabee Sanders told DailyMail.com during Monday’s briefing that Trump and Manafort ‘haven’t spoken in several months. The last known conversation was back all the way to February’
President Trump pounced on Monday, denying Manafort’s alleged crimes predated his campaign and insisting that he never colluded with Russia to affect the 2016 election
Manafort’s attorney said the millionaire lobbyist would fight the charges.
Downing said Manafort ‘represented pro-European Union campaigns’ for Ukraine and that he was ‘seeking to further democracy and to help the Ukraine come closer to the United States and the EU.’
‘Today, you see an indictment brought by an office of special counsel that is using a very novel theory to prosecute Mr. Manafort, regarding a FARA filing. The United States government has only used that offense six times since 1966, and only resulted in one conviction,’ Downing declared.
‘The second thing about this indictment that I myself find most ridiculous is a claim that maintaining offshore accounts to bring all your funds into the United States as a scheme to conceal from the United States government is ridiculous,’ he said.
Downing then walked away from a media stake-out site without taking any questions.
The defendants’ surrender to the FBI in the morning was followed by a dramatic announcement that one of Trump’s campaign foreign policy advisers, George Papadopoulos, had pleaded guilty to lying to the FBI about his contact with Russians who promised ‘dirt’ on Hillary Clinton and access to ‘thousands’ of her emails.
Papadopoulos secretly agreed to a plea bargain earlier this month, suggesting he may be cooperating with Mueller.
Manafort was involved with the Trump campaign for nearly five months, in senior positions that gave him access to the day-to-day operations of the future president’s political operation.
Roger Stone, a longtime Trump confidant, said in September that Manafort has no information that could put the president in legal jeopardy, predicting that ‘he’s not going to lie.’
The possible sentences, if found guilty, would be stiff: up to 80 years in prison for Manafort and 70 for Gates, plus millions of dollars in fines.
More typical federal sentencing for the crimes charged would be 10 to 12.5 years for Gates and 12.5 to 15 for Manafort.
Trump’s personal lawyer, Jay Sekulow, said Monday on CNN that regardless of Manafort’s legal woes, ‘there is not a formal investigation of the President of the United States’
Trump campaign aide Rick Gates, shown at left during the Republican National Convention, faces charges along with Manafort and has also pleaded not guilty
Guilty: George Papadopoulos is facing up to six months in prison. He was a foreign policy adviser to Trump who admits lying to the FBI about contact with Russians who offered dirt on Hillary Clinton and thousands of her emails
HOW MANAFORT SPENT HIS MILLIONS
Monday morning’s indictment lists a host of lavish expenses that ate up millions from Paul Manafort’s alleged offshore accounts, including:
- $5.43 million for home improvement in the Hamptons
- $1.31 million for home improvement in Florida for ‘home automation, lighting and home entertainment’
- $934,000 at an antique rug store
- $849,000 at a men’s clothing store in New York
- $819,000 for two landscapers in The Hamptons
- $623,000 on antiques in New York
- $520,000 at a Beverly Hills clothing store
- $163,700 for payments on three Range Rovers
- $62,000 on a Mercedes Benz
- $31,900 at a Florida art gallery
- $20,000 on New York housekeepers
The government alleges that at least $75 million was moved by Manafort to offshore accounts without declaring the income to the government. From there Manafort allegedly withdrew $18 million to fund a lavish lifestyle, and Gates pulled another $3 million out.
A source close to the White House told CNN that ‘today has zero to do with the White House.’
Trump’s defiant tweet, and his reference to Clinton who faces her own claims of receiving dirty Russian money, sets the stage for a showdown with Mueller which led on Monday morning to Nancy Pelosi, the House minority leader, calling for legislative moves to prevent the special counsel from being fired.
The indictment is purely focused on alleged financial crimes and does not include any charges related to the broader question that formed the basis of Mueller’s investigation – whether Donald Trump’s presidential campaign colluded with Russia to swing the 2016 election in his favor.
It describes criminal allegations that predate the Trump campaign; Trump’s name is not mentioned in the 31-page document.
The move to indict the two men represents a dramatic turn in special counsel Robert Mueller’s investigation. Manafort was seen leaving his home at 8:00 a.m. with his attorney and arrived at FBI headquarters less than 20 minutes later.
A federal grand jury approved the indictments on Friday and a judge ordered them sealed. A White House official told DailyMail.com on Monday that the administration may not comment at all on the arrests.
The case has been assigned to U.S. District Judge Amy Berman Jackson, who was appointed by former president Barack Obama and confirmed in the Senate by a 97-0 vote.
Among the expenses paid for by Manafort-controlled entities in Cyprus, according to the indictment, were $600,000 for antiques and $500,000 paid to a Beverly Hills tailor and $849,000 to a men’s clothing store in New York.
Other money went for premium automobiles and home renovations in Florida and the Hamptons. The Hamptons home alone had $5.4 million in renovations, the indictment said.
Hand them over: The indictment demands that Manafort be stripped of two New York city properties, a SoHo loft (left) and Brooklyn brownstone (right), as well as a Hamptons home which he lavished more than $5 million on in renovations, and an Arlington, VA, condo
Manafort also spent $934,350 at an antique rug store in Alexandria, Virginia.
The indictment demands that four of his properties are seized, including a Brooklyn brownstone he bought to renovate, a loft in New York’s trendy SoHo which he let out on Airbnb, a Hamptons home and his Arlington, Virginia condo.
Democratic National Committee Chair Tom Perez said in a statement that the indictment ‘underscores the seriousness of the investigation into Donald Trump’s ties to Russia. It’s time for Republicans to commit to protecting this investigation and preserving the rule of law.’
In a separate statement, House Minority Leader Nancy Pelosi, a California Democrat, said the charges demonstrated the necessity of keeping congressional investigations running alongside the Mueller probe.
‘Even with an accelerating Special Counsel investigation inside the Justice Department, and investigations inside the Republican Congress, we still need an outside, fully independent investigation to expose Russia’s meddling in our election and the involvement of Trump officials,’ she said.
‘Defending the integrity of our democracy demands that Congress look forward to counter Russian aggression and prevent future meddling with our elections.’
Manafort and Gates were the one-two punch responsible for keeping Republican National Convention delegates in line last year as the possibility emerged of a contentious floor fight over the presidential nomination.
Then-candidate Donald Trump first Manafort after reports that he pocketed at least $12 million in undisclosed payments from Viktor Yanukovych (pictured), the pro-Russia former Ukrainian president.
Manafort was fired shortly after the convention and replaced by pollster Kellyanne Conway, but Gates stayed on and was more recently working to help close out the financial books of Trump’s inaugural committee.
He had worked for Manafort’s international firm, Davis Manafort Partners, from 2006 to 2007.
The move to throw Manafort overboard came after reports that Manafort pocketed at least $12 million in undisclosed payments from Viktor Yanukovych, the pro-Russia former Ukrainian president.
Manafort and his firm, which Gates helped run, spent years as Yanukovych’s political consultants.
The Justice Department’s indictment charges that Manafort and Gates ‘generated tens of millions of dollars in income as a result of their Ukraine work.’
‘In order to hide Ukraine payments from United States authorities, from approximately 2006 through at least 2016, Manafort and Gates laundered the money through scores of United States and foreign corporations, partnerships and bank accounts,’ it continues.
Mueller’s probe focused on wire transfers Manafort made from Ukraine to private accounts and whether he paid taxes on that income.
Kevin Downing, Manafort’s lawyer, was formerly a prosecutor in the Justice Department’s criminal tax division.
In July the FBI in July executed a surprise search warrant with guns drawn at Manafort’s home in Alexandria, Virginia, seizing financial and tax documents.
Headed to a judge: Paul Manafort was driven by his lawyer on Monday morning to turn himself in to Mueller
It’s unclear if Manafort is the biggest fish in Mueller’s sights, or if the former FBI director intends to squeeze him for information more directly related to the 2016 election and Russia’s possible interference with it.
The Russia investigation has cast a shadow over President Donald Trump’s nine-month-old presidency and widened the partisan rift between Republicans and Democrats.
U.S. intelligence agencies concluded in January that Russia interfered in the election to try to help Trump defeat Democrat Hillary Clinton by hacking and releasing embarrassing emails and disseminating propaganda via social media to discredit her.
Mueller is also investigating whether Trump campaign officials colluded with those Russian efforts.
Trump tweeted Monday morning about a report that Barack Obama’s campaign organization funneled nearly $1 million to the law firm that served as a pass-through last year between Democrats and an opposition research firm that produced the salacious and discredited ‘dirty dossier’ on the president.
Manafort hid his face from reporters who were staking out his house in Alexandria, Virginia as he left to turn himself in at the FBI’s headquarters
‘Report out that Obama Campaign paid $972,000 to Fusion GPS. The firm also got $12,400,000 (really?) from DNC. Nobody knows who OK’d!’ the president tweeted on Monday.
That tweet came a half-hour before news broke that Manafort and Gates had been indicted. The White House hasn’t yet commented on their surrender.
Trump has denied the allegations of collusion with the Russians and called the probe ‘a witch hunt.’ The Kremlin also has denied the allegations.
Mueller, a former director of the Federal Bureau of Investigation, has been looking into possible links between Trump aides and foreign governments, as well as potential money laundering, tax evasion and other financial crimes, according to sources familiar with the probe. He also is exploring whether Trump or his aides have tried to obstruct the investigation.
Mueller was appointed to lead the investigation a week after Trump’s May 9 firing of FBI Director James Comey, who was heading a federal probe into possible collusion with Russia.
Former National Security Advisor Michael Flynn could also face charges later related to his contacts with Russian officials
Master of distraction: A half-hour before Manafort’s indictment was unsealed, President Trump tweeted about an alleged money-funnel between Democrats and the opposition research firm behind the discredit ‘dirty dossier’ about him
Trump initially said he fired Comey because his leadership of the FBI was inadequate.
In a later interview with NBC, he cited ‘this Russia thing’ as his reason.
On Sunday, Trump tried to shift the focus back to Democrats and Clinton, tweeting that the Russia issue was being used to sidetrack the Republican push for tax reform and praising Republican ‘anger and unity’ on the need to look into whether Democrats and the Clinton campaign paid for a portion of a dossier that detailed accusations about Trump’s ties to Russia.
Special White House counsel Ty Cobb said the president’s tweets were ‘unrelated to the activities of the Special Counsel, with whom he continues to cooperate.’
Investigators led by Mueller have interviewed former White House chief of staff Reince Priebus, former spokesman Sean Spicer and other current and former White House and campaign officials.
In July, FBI agents raided Manafort’s Virginia home; his financial and real estate dealings and prior work for a pro-Russian political party in Ukraine have been a focus of Mueller’s team.