Mueller Indicts Paul Manafort and Rick Gates on 12 Counts Including Conspiracy Against the United States

Special Counsel Robert Mueller unsealed the first indictments in his Russia investigation, charging former Trump campaign chairman Paul Manafort and his longtime business associate Rick Gates with 12 criminal counts. The charges include conspiracy against the United States, conspiracy to launder money, serving as unregistered agents of a foreign principal, making false and misleading statements under the Foreign Agents Registration Act (FARA), and seven counts of failure to file reports of foreign bank and financial accounts.

The Conspiracy and Money Laundering Scheme

The 31-page indictment detailed an elaborate scheme spanning from 2006 through 2016 in which Manafort and Gates allegedly earned tens of millions of dollars as unregistered agents lobbying on behalf of Ukrainian political interests, particularly the pro-Russian Party of Regions and its leader Viktor Yanukovych. According to prosecutors, Manafort laundered more than $18 million through scores of U.S. and foreign corporations, partnerships, and bank accounts, including entities in Cyprus, Saint Vincent and the Grenadines, and the Seychelles. The indictment alleged that Manafort used the laundered funds to purchase luxury real estate, expensive vehicles, and high-end goods while concealing this income from the U.S. Treasury and the IRS.

Gates, who served as Manafort’s deputy on the Trump campaign and remained involved with the Trump inaugural committee, allegedly helped facilitate the conspiracy by transferring millions of dollars from offshore accounts controlled by Manafort and by making false statements about their foreign lobbying activities. The indictment revealed that the pair generated more than $75 million in income from their Ukraine work, with at least $30 million laundered through foreign entities and bank accounts.

FARA Violations and False Statements

A critical component of the charges involved violations of the Foreign Agents Registration Act, which requires individuals lobbying on behalf of foreign governments or political parties to register with the Justice Department and disclose their activities. The indictment alleged that despite earning millions to lobby U.S. officials and influence American policy on behalf of Ukrainian interests, neither Manafort nor Gates registered as foreign agents as required by law. When questioned about their activities, they allegedly made false and misleading statements to the Department of Justice, denying that they had engaged in lobbying activities or had a financial relationship with Ukrainian political parties.

Court Proceedings and House Arrest

Both men surrendered to FBI authorities on October 30, 2017, and were arraigned in federal court in Washington, D.C., where they pleaded not guilty to all charges. Due to concerns about flight risk—given their extensive international connections and offshore financial holdings—U.S. Magistrate Judge Deborah Robinson ordered both men placed under house arrest. Manafort’s bond was set at $10 million (later raised to $12.5 million) and Gates’ at $5 million. The judge required GPS monitoring, surrender of passports, and restrictions on travel.

Significance for Mueller Investigation and Presidential Accountability

These indictments represented a watershed moment as the first charges brought by Special Counsel Mueller, demonstrating the investigation’s focus on financial crimes, foreign influence operations, and corruption at the highest levels of the Trump campaign. While the charges predated Manafort’s role as Trump campaign chairman (March-August 2016), they raised profound questions about the vetting and judgment of Trump’s inner circle. The case would later reveal that Manafort had shared internal Trump campaign polling data with Konstantin Kilimnik, assessed by U.S. intelligence to have ties to Russian intelligence services.

The indictment also established a pattern that would recur throughout the Mueller investigation: senior Trump campaign officials facing serious criminal exposure, creating pressure to cooperate with investigators. Gates would eventually plead guilty in February 2018 and become a cooperating witness, while Manafort would be convicted at trial in August 2018 and eventually receive a combined sentence of 7.5 years in federal prison for conspiracy and fraud charges—before being pardoned by President Trump in December 2020, eliminating accountability for his crimes.