Banker Stephen Calk bribed Paul Manafort while he was looking for a job in the Trump administration



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According to the indictment, banker Stephen Calk never got one of the positions he was looking for in the Trump administration, including secretary at the Defense, Secretary of the Army and Secretary of the Treasury, but Calk was questioned following the influence of Manafort. for a lead role. And when Manafort defaulted on the loans, Calk's bank is the managing director, the Chicago-based Federal Savings Bank suffered a multi-million dollar loss.

Manafort is not named in the indictment, but it matches the description of "the borrower" described in the court documents, which prosecutors describe as having been the president of & # 39; Presidential campaign between June and August 2016, and his relations with Calk were mentioned last. been at the Manafort trial in Virginia. Calk is indicted for a bribery charge in a financial institution.

Neither Calk nor a lawyer from Manafort immediately responded to requests for comment.

Special Advocate Robert Mueller's office and the US District Attorney's Office in the Southern District of New York began reviewing Calk's loans to Manafort more than a year ago.

The ploy outlined by prosecutors occurred between July 2016 and January 2017, when Manafort requested millions of loans to Calk in order to terminate or avoid foreclosure proceedings on properties that Manafort and its family owned, including a house in Bridgehampton, New York, and a brownstone. Brooklyn

Despite the indictment, Calk had asked the bank to grant these loans, believing that Manafort "could use his influence with the presidential transition team to help President Manafort to put up "important red flags" in the financial history of Manafort.Calk in obtaining a senior management position. "

Calk, 54, has an unusual influence on the lending process at Federal Savings because he is not only the CEO but also the majority owner of the bank's owning holding company and sits on the credit committee approving the type. loans granted to Manafort. .

Manafort's debt became the largest in the bank and, in order to allow the bank to issue large borrowings without breaching its legal loan limit to a single borrower, Calk asked the holding company to acquire a part of the loans from the bank.

A few days after Calk and the committee approved the first loan, Manafort appointed Calk to the Advisory Council of the Economy, a prestigious committee affiliated with the Trump campaign, according to the indictment. By the end of 2016, after Trump's election and when Manafort had applied for a second round of loans, Calk had forced the bank to reconsider its decision not to take out a restructured loan of $ 9.5 million and to approve the total loan amount for Manafort. Before closing the loan, Calk asked a loan officer at the bank to call Manafort to ask him if Calk was running for a top administrator position, according to the attorneys. The credit officer did not accede to Calk's request.

A few days later Calk sent Manafort his professional biography and a misspelt document entitled "Stephen M. Calk Perspective Rolls in the [Presidential] Administration.docx, "which lists the desired positions, including 10 positions in the Cabinet and other executive positions.A few hours later, Calk asks Manafort to help with the transition.When Manafort responds that He does it, Calk says: "Awesome".

Manafort recommended Calk to Trump's transition committee for a position in the administration, prosecutors said. His efforts resulted in Calk receiving an official interview on January 10, 2017 as Deputy Secretary of the Army at Transition Committee headquarters, where he was interviewed by three representatives of the transition team, according to the indictment. But he never had the job.

The Calk saga was unfolded during the Manafort trial in Virginia, where prosecutors found witnesses to describe how the Calk bank had handled and granted the loans to Manafort. A vice president of the bank said that Calk was a "conspirator" with Manafort, who had "participated in the plot to defraud the bank." "

Prosecutors presented emails showing how Manafort secured a spot for Calk on the Trump campaign's economic advisory board. After the elections, Manafort sent an email to Trump's son-in-law, Jared Kushner, recommending that Calk be secretary of the army, which Calk had already indicated to Manafort as one of his favorite posts in the new administration.

Kushner answered Manafort, "on it!" but Calk never saw himself offer a post after Trump took office.

Calk had also identified 19 potential ambassadors, including missions such as Italy, France and the United Kingdom, which Calk considered good because he "grew up in London", according to documents revealed during the trial of Manafort.

Manafort was convicted of eight counts of financial fraud, but jurors were blocked on four counts of bank fraud and conspiracy related to the fraudulent loans Manafort had received from the Calk bank. (The vote was 11 to 1 in favor of the conviction, according to the documents filed by the court.)
A few months later, Manafort pleaded guilty in a separate federal case in Washington, DC, and acknowledged all the wrongdoing in Virginia's lawsuit, including conspiring with Calk to commit bank fraud.

Marshall Cohen and Kara Scannell from CNN contributed to this report.

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