Manafort to turn himself in to Mueller, source says
Former Trump campaign chairman Paul Manafort is turning himself in Monday to Justice Department special counsel Robert Mueller, according to a source with direct knowledge of the matter.
Manafort was indicted under seal on Friday and is planning to turn himself in, the source said.
The indictment is expected to be unsealed later Monday. The extent of the charges was not immediately known.
The indictment of a top official from President Donald Trump’s campaign signals a dramatic new phase of Mueller’s wide-ranging investigation into possible collusion between the Russian government and members of Trump’s team as well as potential obstruction of justice and financial crimes.
Manafort, whose work for former Ukrainian President Viktor Yanukovych has attracted scrutiny from federal investigators, has previously denied financial wrongdoing regarding his Ukraine-related payments, his bank accounts in offshore tax shelters and his various real-estate transactions over the years.
He is the first person in Trump’s orbit charged in connection with the special counsel investigation, which is exploring whether Trump’s actions surrounding the firing of former FBI Director James Comey amount to obstruction of justice. Mueller has taken a broad approach to his mandate that includes a focus on the financial dealings of Trump’s team.
Before the indictment, the FBI in July executed a so-called no-knock search warrant with guns drawn at Manafort’s home in Alexandria, Virginia, seizing financial and tax documents, including some that had already been provided to congressional investigators.
Manafort’s Ukraine work scrutinized
Federal investigators’ interest in Manafort and Gates goes back well before the special counsel was appointed. For about a decade, Manafort worked for Yanukovych and his Russia-friendly Party of Regions. Manafort’s work spurred a separate federal investigation in 2014, which examined whether he and other Washington-based lobbying firms failed to register as foreign agents for the Yanukovych regime.
Gates joined Manafort’s lobbying firm in the mid-2000s and handled projects in Eastern Europe, which later included work for Yanukovych.
Yanukovych was ousted amid street protests in 2014, and his pro-Russian Party of Regions was accused of corruption and laundering millions of dollars out of Ukraine. The FBI sought to learn whether those who worked for Yanukovych — Manafort’s firm, as well as Washington lobbying firms Mercury LLC and the Podesta Group — played a role. The Podesta Group is headed by Tony Podesta, the brother of John Podesta, the former chief of staff of the Obama White House.
At the time, the case hinged on the failure by the US firms to register under the US Foreign Agents Registration Act (FARA), a law the Justice Department rarely uses to bring charges. Earlier this year, all three firms filed retroactively with the Justice Department.
Gates once became involved in a failed business venture with Manafort and Russian oligarch Oleg Deripaska, a close ally of Russian President Vladimir Putin, according to legal filings. The plan was for Deripaska to invest $100 million in a private equity company that Manafort and Gates would manage.
The project fell apart, and Deripaska sued Manafort and Gates in the Cayman Islands for mishandling his money. Deripaska, a Russian citizen, has offered to cooperate with Capitol Hill investigations in exchange for immunity.
A secret order authorized by the court that handles the Foreign Intelligence Surveillance Act (FISA) began after Manafort became the subject of an FBI investigation that began in 2014, sources previously told CNN. But the surveillance was discontinued last year due to lack of evidence.
Later in 2016, however, the FBI restarted the surveillance as part of its investigation into Russian meddling. Investigators’ interest in Manafort was reignited due to intercepted communications between Manafort and suspected Russian operatives, and among the Russians themselves, CNN has reported.
The investigation into Manafort intensified after Mueller was named as special counsel in May. Mueller has hired a team of prosecutors who have examined Manafort’s financial and tax history stretching back 11 years to January 2006, while he was working in Ukraine.
Running the Trump campaign
Manafort entered the Trump campaign orbit in early 2016, when he reached out to Trump’s daughter Ivanka Trump and son-in-law Jared Kushner and offered to work for free, according to The New York Times.
Manafort joined the Trump campaign in March 2016 to help with delegate counting ahead of the Republican National Convention, as some Republicans hoped to use arcane delegate procedures to wrest the nomination from Trump at the convention in Cleveland.
He soon was promoted to campaign chairman, and he became the top official on the campaign after then-campaign manager Corey Lewandowski was fired in June 2016.
His tenure didn’t last long.
The Times reported in August 2016 that Ukrainian investigators found Manafort’s name in an off-the-books, handwritten ledger detailing secret payments — including $12.7 million to Manafort from Yanukovych’s Party of Regions.
Manafort denied he had received any such payment and claims the ledger was forged. But just days later, he resigned from the campaign as the accusations swirling around him became a major distraction for Trump.
In addition to Manafort’s Ukraine business dealings, his real estate dealings, overseas business ventures and bank accounts in offshore havens like Cyprus have also come under scrutiny.
This story is breaking and will be updated.