Manafort is charged with 18 counts of tax and banking crimes, and has pleaded not guilty to all charges. Gates, Manafort’s former business partner, pleaded guilty in February and agreed to cooperate with special counsel Robert Mueller’s team.
…In his second day of testimony, Gates detailed their use of foreign accounts as well as Manafort’s financial troubles.
…Prosecutors showed emails between Manafort and Gates that appear to confirm Gates’ story that Manafort sought to move money that his consulting company had earned from Ukraine through Cypriot accounts.
“There were hundreds of these,” Gates testified.
Gates had written to Manafort about transferring money from one of Manafort’s shell companies, Leviathan Advisors Limited, to their aboveboard consulting group, DMP International.
…By late 2015, Manafort’s consulting group DMP had no clients, according to Gates. He said they were attempting to secure another political consulting contract in Ukraine but had not been able to.
Gates said that during this time he also supplied false information to banks in order to help Manafort secure bank loans. He admitted to altering the profit and loss documents, which he said was per Manafort’s direction.
….Gates started his testimony Tuesday by getting into the gritty details of how much money each Ukrainian billionaire contracted Manafort for, showcasing exactly how much money was flowing into the hidden Cypriot accounts in 2011 and 2012. It amounted to at least 5 million euros, Gates said.
…Manafort reported some of the payments to tax authorities in the US as loans — though they were income, Gates said. He was “trying to decrease his taxable income,” Gates said