Topline
Fraud charges against Steve Bannon were dismissed by a federal judge Tuesday in light of former President Donald Trump’s last-minute pardon of his former advisor before leaving office—but he still faces a new state investigation into his role in the “We Build The Wall” fundraising scheme.
Former White House Chief Strategist Steve Bannon exits the Manhattan Federal Court on August 20, ... [+]
Key Facts
Bannon was arrested in August on charges of conspiracy to commit wire fraud and money laundering for his role in We Build The Wall, a private fundraising campaign for Trump’s border wall between the U.S. and Mexico (he pleaded not guilty to the charges).
The organizers of the scheme allegedly defrauded their donors—who raised more than $25 million for the cause—by siphoning money for their own personal use, with Bannon reportedly receiving more than $1 million of the funds.
Trump then gave Bannon a “full and unconditional pardon” on his final day in the White House to clear his federal indictment, which Bannon accepted.
U.S. District Judge Analisa Torres granted Bannon’s motion to dismiss the case against him on Tuesday, saying that was the “proper course” following Trump’s pardon.
After Trump pardoned Bannon, however, state prosecutors in New York reportedly opened their own criminal investigation into Bannon’s role in We Build The Wall—which the pardon does not protect Bannon from, as that only applied to federal charges and not state ones.
CNN reported in February that the New Jersey Attorney General’s office is also looking into We Build the Wall, though that is a civil and not a criminal investigation.
Crucial Quote
“Of course, ‘a pardon does not, standing alone, render [a defendant] innocent of the alleged . . . violation,’” Torres wrote in her opinion granting the pardon, noting that Bannon’s pardon also does not “blot out probable cause of guilt. “To the contrary, from the country’s earliest days, courts, including the Supreme Court, have acknowledged that even if there is no formal admission of guilt, the issuance of a pardon may ‘carr[y] an imputation of guilt; acceptance a confession of it.’”
What To Watch For
CNN reported in February the New York state probe into Bannon was already “gain[ing] steam,” and subpoenas have been issued for financial records in connection with the fundraising campaign. The investigation, the Washington Post reported in March, is a joint effort between New York Attorney General Letitia James and Manhattan District Attorney Cyrus Vance—which is rare and adds “prosecutorial firepower” to the probe, the Post notes—and is reportedly focusing on the same allegations as Bannon’s federal indictment.
Surprising Fact
When Bannon was arrested in August, it was actually the U.S. Postal Inspection Service—the law enforcement arm of the U.S. Postal Service—that carried out Bannon’s arrest.
Key Background
The far-right Bannon was one of Trump’s more controversial associates during his campaign and the early days of his presidency, and the advisor departed the White House months after Trump took office in August 2017. Though he ultimately pardoned his one-time strategist, Trump distanced himself from Bannon in the immediate aftermath of his arrest, claiming that he “feels very badly” about Bannon’s arrest but he “[hasn’t] been dealing with him at all” and did not know about or like the We Build the Wall project. Trump “has not been involved with Steve Bannon since the campaign and the early part of the Administration,” White House Press Secretary Kayleigh McEnany told reporters after Bannon’s arrest, claiming the president thought of the fundraising project as “only being done in order to showboat.” In addition to Bannon, his We Build the Wall associates Brian Kolfage, Andrew Badolato and Timothy Shea were also indicted by federal prosecutors for their roles in the fundraising scheme, but were not pardoned and still face federal charges.
Further Reading
Trump Pardons Former Advisor Steve Bannon (Forbes)
Steve Bannon Indictment: He Pleads Not Guilty To Fraud Charges As Trump Tries To Distance Himself (Forbes)
