Gates Says He Stole From Firm to Pay for Affair

Paul Manafort's former right-hand man, Rick Gates, admitted under cross-examination he stole from Manafort to cover expenses related to a secret relationship.

Manafort, former campaign chairman for then-presidential candidate Donald Trump, is on trial in Alexandria, Virginia, on tax and bank fraud charges. Gates is considered the prosecution's star witness.

In response to a question from Manafort's lawyer Kevin Downing whether he stole from his boss to pay for "the secret life of Rick Gates," Manafort's former deputy responded: "There was a time 10 years ago when I had a relationship." The married father of four said the relationship lasted two months and involved an apartment in London.

He also admitted he had flown first class and stayed in luxury hotels during the relationship,  using money embezzled from Manafort.

Gates denied Downing's suggestion he used money stolen from Manafort's Cypriot accounts to pay for a trip to Las Vegas, audio equipment and groceries from a Whole Foods in Virginia. But Gates conceded he took business trips to Las Vegas with an accused fraudster, Steven Brown, using money from Manafort's accounts in the U.S.

Downing asked if Gates had submitted personal expenses to the Trump inaugural committee.

"I don't recall," Gates replied. "It's possible."

Brown, of Santa Monica, California, was indicted in June 2016 with two other men on charges they defrauded investors of $12 million. Prosecutors also charged Brown and one of his co-defendants laundered the proceeds of their crime.

Gates appeared shaky at times in answering questions, contrasting sharply with his firm and clear answers to questions by prosecutors.