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The prosecution's star witness Rick Gates took the stand for a second day in the fraud trial of former Trump campaign manager Paul Manafort.

Rick Gates said under questioning from Manafort's lawyer Wednesday that he told Federal Bureau of Investigation agents and Justice Department lawyers about some of the offshore companies that contained millions of dollars in proceeds from their Ukrainian political work.

Manafort, 69, faces tax evasion and bank fraud charges, as he is accused of hiding a "significant percentage" of income earned from his lobbyist work in Ukraine from the IRS.

The interview was part of an FBI investigation that sought to recover assets looted from the Ukrainian government under the rule of former President Viktor Yanukovych.

For this Manafort was paid US$4million a year, in quarterly payments of US$1million, Gates recalled, though at some point the currency switched from U.S. dollars to Euros.

The case is being prosecuted by the special counsel investigating Russian interference in the 2016 USA presidential election.

"After all the lies you've told and fraud you've committed, you expect this jury to believe you?"

While Gates and others have pleaded guilty, Manafort has refused to strike a deal and legal experts say he may be holding out hopes of a pardon from Trump. These questions about Gates' extramarital tryst also carried faint echoes of Trump, coming less than a month after the release of a tape in which Trump can be heard discussing buying the rights to the story of a woman who claimed to have had an affair with him.

Using charts, emails and financial and tax records, Magionos told jurors how she traced millions of dollars back to his hidden foreign bank accounts. Prosecutors allege Manafort used various ways to hide his income, including wiring money from Ukraine to the United States via a bank in Cyprus and listing it as a loan, and laundering almost $1 million through the purchases of Oriental rugs.

Under questioning from Downing, Gates acknowledged he had to plead guilty to false statements after lying during a February interview with federal investigators. Manafort also included Calk on a list he emailed to Gates of people he wanted to invite to Trump's inauguration. At one point, as Gates had trouble recalling the details of his confession, Downing asked him, "Have they confronted you with so many lies that you can't even remember them?"

A bell tolls in Hiroshima as Japan mourns atomic bombings 73rd anniversary
Japan, which hosts U.S. troops and is covered by the USA nuclear umbrella protecting it from attack, has not signed the treaty. The Little Boy atomic bomb , the type detonated over Hiroshima on August 6, 1945.

Defense attorneys then used several hours of cross-examination to try to damage Gates' credibility in the eyes of jurors.

He told jurors he embezzled from Mr Manafort by filing false expense reports.

Rick Gates, the former business partner of Paul Manafort, testified Tuesday that he helped Manafort hide payments from offshore accounts.

He testified that he and Manafort knew they were committing crimes for years, concealing money in foreign bank accounts and falsifying bank loan documents.

In one example, Manafort and Gates emailed each other copies of a doctored profit and loss statement they later sent a bank to help Manafort obtain a loan. "In reality, it was basically money moving between accounts", Gates said.

Manafort is the first person to be tried on charges brought by Special Counsel Robert Mueller's investigation into Russian interference in the 2016 US election.

Manafort is charged with 18 counts of bank and tax fraud, and his trial in Alexandria, Va., is the first to be brought on by indictments from special counsel Robert Mueller. Magionos, who is a CPA and a certified fraud examiner, said she had been assigned to the Manafort investigation to conduct a financial analysis.

If he is too tough, Rossi said, the jury might "start to feel sorry for the prosecution".

That's important to prosecutors, who need to not only prove Manafort skimped on paying millions of dollars in taxes.

"WTF", Manafort wrote to Gates in one email shown to the jury.


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