Specialist: Manafort hid offshore funds
Ex-protege Gates ends three days of testimony
ALEXANDRIA, Va. — Paul Manafort’s protege wrapped up his testimony Wednesday after implicating the former Donald Trump campaign chairman and himself in financial crimes while enduring attacks on his character and credibility.
Rick Gates has been the government’s star witness in Manafort’s financial fraud trial, testifying how, at the behest of his longtime boss, he helped conceal millions of dollars in foreign income and submitted fake mortgage and tax documents.
Defense lawyers saw an opening to undermine his testimony by painting him as liar and a philanderer, getting him to admit to an extramarital affair and reminding jurors how he had lied to special counsel Robert Mueller’s team while working out a plea deal for himself.
The testimony, stretching across three days, created an extraordinary courtroom showdown between two former Trump campaign aides who were indicted together by Mueller but who have opted for radically different strategies: Manafort is the lone American charged by Mueller to opt for trial, whereas Gates pleaded guilty and agreed to testify against his former boss.
Neither was charged in connection with his Trump campaign work, but the trial has nonetheless been a distraction for a president who insists Manafort was treated shabbily and fumes about Mueller’s investigation into potential ties between his associates and the Kremlin.
Prosecutors sandwiched the testimony of Gates around other witnesses who, in sometimes dry and detailed testimony, described Manafort’s lavish spending and use of offshore accounts to stash Ukrainian political consulting fees.
A clothier said he sold Manafort more than $900,000 in luxury clothes, a bookkeeper says she helped disguise foreign income as a loan to reduce Manafort’s tax burden and, on Wednesday, an FBI forensic accounting specialist said Manafort hid more than 30 offshore accounts from the IRS.
The accountant traced more than $65 million flowing into offshore accounts controlled by Manafort, and she detailed for jurors how more than $15.5 million flowed out to fund his lavish lifestyle between 2010 and 2014.