Steve Bannon charged with money laundering, conspiracy

NEW YORK — Longtime Trump ally and right-wing firebrand Stephen Bannon, who dodged federal charges in a charity fraud case thanks to a last-minute presidential pardon, must now face the music in New York state court.

Bannon, 68, surrendered to Manhattan District Attorney Alvin Bragg on Thursday morning. A six-count indictment charges the controversial former White House adviser with money laundering, conspiracy and scheming to defraud for his alleged role in We Build the Wall, a group that raised at least $15 million to construct a barrier along the border with Mexico but skimmed the donations.

The group publicly told donors its president and CEO, Air Force veteran Brian Kolfage, would not be compensated for his efforts. But Bannon allegedly arranged to pay him by moving money from We Build The Wall through a company he controlled. Kolfage previously pleaded guilty in the federal case, and only Bannon was charged by the state on Thursday.

“It is a crime to turn a profit by lying to donors, and in New York, you will be held accountable,” Bragg said in a statement. “As alleged, Stephen Bannon acted as the architect of a multi-million dollar scheme to defraud thousands of donors across the country — including hundreds of Manhattan residents.”

Bannon surrendered at Bragg’s office a little after 9 a.m. Thursday and remained inside throughout the morning, pending an afternoon arraignment. His lawyer did not immediately respond to a request for comment.

In 2020, federal prosecutors accused Bannon of pocketing some $1 million in donations, using them to pay off hundreds of thousands of dollars of his own personal expenses. That year, federal agents arrested Bannon on the charges while he was aboard a luxury yacht off the coast of Connecticut. He pleaded not guilty, but was dropped from the case after Trump issued the pardon in the twilight hours of his presidency.

Presidential pardons apply only to federal charges and cannot shield Bannon from a state prosecution. Former Manhattan DA Cyrus Vance opened a state investigation that his successor, Bragg, continued when he took office last year.

Kolfage and another federal co-defendant pleaded guilty to wire fraud conspiracy. Their sentencing scheduled for this week was pushed back to December. A mistrial was declared in a third alleged co-conspirator's trial when a jury could not reach a unanimous verdict.

Federal prosecutors previously said the group raised over $25 million, though the state indictment Thursday cited more than $15 million in funds. The DA’s office declined to comment on that discrepancy, deferring the question to a press conference Thursday afternoon.

As Bannon arrived Thursday morning, some onlookers lobbed insults at the far-right iconoclast, who has stoked controversy at frequent turns. In the past, Bannon has suggested Anthony Fauci, the nation’s leading infectious disease expert, should be executed. He has also echoed Trump’s false claims that the 2020 election was stolen.

“Stop hurting America, you greasy grifter,” one woman yelled as he entered the building, his brief remarks drowned out by the heckling.

Bannon was separately found guilty on contempt of Congress charges earlier this year after he defied a subpoena related to the Jan. 6 attack on the Capitol.