The Manafort trial: Guilty on 8 counts

By Meg Wagner, Veronica Rocha, Brian Ries and Sophie Tatum, CNN

Updated 8:10 p.m. ET, August 21, 2018
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1:57 p.m. ET, August 2, 2018

Manafort spent millions on audio-video home installations and $10,000 on a karaoke system 

From CNN's Katelyn Polantz

Paul Manafort was a big spender when it came to computers and entertainment — spending millions on audio-video home installations, and $10,000 on a karaoke system for his Hamptons mansion.

Prosecutors read details about wire transfers that Manafort sent to pay for the karaoke system in 2010 during the parade of testimony from vendors who sold high-end goods and services to Manafort. The vendors said they were all paid via international wire transfers coming from offshore shell company accounts.

Joel Maxwell of Big Picture Solutions also took the stand, and told the jury that Manafort installed Apple TVs, networks and other electronics in his Hamptons home from 2011 to 2014. The cost was $2.2 million. 

Echoing several other vendors who've testified, Maxwell said Manafort paid with wire transfer using offshore corporate bank accounts under names like Leviathan Advisors Limited and Lucicle Consultants Limited.

Prosecutors also read to the jury descriptions of Manafort's personal purchases that both Manafort's defense team and the investigators agreed were true.

1:12 p.m. ET, August 2, 2018

It's lunchtime. Questioning will resume soon.

The court is on a lunch break until 1:30 p.m. Prosecutors and the defense team will continue their questioning of Paul Manafort's business and personal estate bookkeeper Heather Washkuhn after lunch.

12:58 p.m. ET, August 2, 2018

Manafort's bookkeeper testifies she's never heard of the 14 different shell-company bank accounts

From CNN's Katelyn Polantz

Paul Manafort's business and personal estate bookkeeper Heather Washkuhn denied ever knowing about the companies Manafort used to wire money for his extravagant personal purchases. 

Prosecutor Greg Andres asked Washkuhn if she had ever heard of 14 different shell-company bank accounts.

She said "no" to every one.

Washkuhn said she handled all of Manafort's personal and professional financial dealings from 2011 to 2018, and said she never recorded the existence of any foreign bank accounts for Manafort while she kept his books.

She also said it was important for her to keep track of all of his bank accounts and bills so she could help him properly pay his taxes each year.

Why this matters: Prosecutors are using Washkuhn's testimony to underline Manafort's alleged criminal use of unreported foreign bank accounts. They say she will also be able to speak to Manafort's criminal bank fraud charges.

"He approved every penny of everything we paid," Washkuhn testified. Washkuhn "wanted to provide a complete picture to the tax preparers."

Washkuhn also said she hadn't known if Manafort had accounts in Cyprus, St. Vincent, Grenadines and Ukraine — Many of the personal items Manafort bought were paid for through international wire transfers from banks in Cyprus, according to previous witnesses' testimonies.

In addition, Washkuhn said she had no knowledge of at least one loan Manafort's political consulting company made to one of the shell companies for $275,000.

The court is on a lunch break until 1:30 p.m. Prosecutors and the defense team will continue their questioning of Washkuhn after lunch.

12:28 p.m. ET, August 2, 2018

A closer look at Manafort's Hamptons pond and waterfall

Here's a closer look at Paul Manafort's pond, described by one witness as "one of the biggest ponds in the Hamptons," and waterfall, which is at his home in Bridgehampton.

Michael Regolizio of New Leaf Maintenance said Manafort paid for much of the work he did at the property through international wire transfer, and was his only client to do so.

The Department of Justice released these photos (they're in black and white).

12:24 p.m. ET, August 2, 2018

Manafort's bookkeeper takes the stand

From CNN's Marshall Cohen

Next to take the the stand is Paul Manafort's bookkeeper, Heather Washkuhn.

Prosecutors say her testimony will delve into the tax and bank fraud portion of the case. Manafort has pleaded not guilty, but is accused of lying to the IRS to hide his income, and lying to banks to secure millions of dollars in loans.

Washkuhn is the 12th witness and her testimony should last 2-3 hours, according to prosecutors.

12:13 p.m. ET, August 2, 2018

Manafort's landscaper says document is a "fake invoice"

Prosecutors revealed yet another document that showed a bill from New Leaf Maintenance, a landscaping company used by Paul Manafort, which had listed an incorrect vendor name and address. 

Defense attorney Jay Nanavati asked Regolizio if he would call the document a "fake invoice." Regolizio replied yes.

Regolizio of New Leaf Maintenance also said he never met, communicated with or received payments from Rick Gates — Manafort's longtime deputy on whom defense attorneys have indicated they'd like to pin the alleged crimes.

Immediately after they showed the jury the fake invoice, prosecutors asked Regolizio if he had ever met or corresponded with Konstantin Kilimnik, a Russian who has been indicted in DC in a separate case for helping Manafort attempt to tamper with witnesses. Regolizio said he did not know Kilimnik.

Prosecutors have not yet revealed what they believe the fake invoices prove in their case.

12:00 p.m. ET, August 2, 2018

The pattern that has emerged in many of the witness' testimonies at Manafort's trial

From CNN's Katelyn Polantz and Liz Stark

Vendors who sold custom men's clothing, audio-visual services, landscaping, home renovations and cars have told the jury in Northern Virginia that Paul Manafort was a major customer and frequently paid with the unusual method of wiring money from corporate-named bank accounts in Cyprus. 

The vendors largely say they do not recognize the company names Manafort used, yet they knew the payments came from him because their amounts matched the bills they sent him.

12:05 p.m. ET, August 2, 2018

Landscaper describes Manafort's impressive pond and flower bed in the shape of an "M"

From CNN's Katelyn Polantz and Liz Stark

Paul Manafort's house in Bridgehampton, New York, as seen on Google Maps.
Paul Manafort's house in Bridgehampton, New York, as seen on Google Maps.

A landscaper in the Hamptons described how Paul Manafort — and Manafort alone — commissioned him to care for hundreds of flowers at his house, as well as "one of the biggest ponds in the Hamptons." 

Michael Regolizio of New Leaf Maintenance said Manafort paid for much of the work through international wire transfer, and was his only client to do so.

Regolizio testified that Manafort spent about $450,000 on landscaping over five years.

The landscapers initially only handled tree-care for Manafort's Bridgehampton estate. But in 2012, they took over Manafort's entire Bridgehampton home's outdoor work.

This included:

  • Sending landscapers there four to five times a week to prune 14-foot hedges
  • Mowing the lawn and fertilizing
  • Planting "hundreds and hundreds of flowers" 
  • Pruining a flower bed next to the tennis courts
  • Maintaining the large pond with a waterfall feature, and care for a white and red flower bed in the shape of an "M."

Regolizio said Manafort would personally call his landscape company's offices before one of the wire transfers came through, to give them a heads up.

They knew the wired money coming from corporate payers came from Manafort because the only other other client Regolizio had who paid in that way made transfers from domestic banks and used his own name, the landscaper said.

Regolizio started working for Manafort after the construction contractor Stephen Jacobson connected them. Jacobson testified on Wednesday about millions of dollars of home renovations he did for the Manaforts, and how those were paid for by wire transfer.

11:30 a.m. ET, August 2, 2018

See Manafort's $15,000 ostrich coat

To demonstrate Paul Manafort's elaborate spending habits, prosecutors released an image of a $15,000 coat made from an ostrich. Our panel takes a look.