Inside the dossier
by digby
The Guardian's Luke Harding has written a book about how Trump walked into Putin’s web. This long read about "the inside story of how a former British spy was hired to investigate Russia’s influence on Trump – and uncovered explosive evidence that Moscow had been cultivating Trump for years" is well worth your time.
Here is an excerpt about the dossier:After Trump became the presumptive nominee in May 2016, Singer’s involvement ended and senior Democrats seeking to elect Hillary Clinton took over the Trump contract. The new client was the Democratic National Committee. A lawyer working for Clinton’s campaign, Marc E Elias, retained Fusion and received its reports. The world of private investigation was a morally ambiguous one – a sort of open market in dirt. Information on Trump was of no further use to Republicans, but it could be of value to Democrats, Trump’s next set of opponents.
Before this, in early spring 2016, Simpson approached Steele, his friend and colleague. Steele began to scrutinise Paul Manafort, who would soon become Trump’s new campaign manager. From April, Steele investigated Trump on behalf of the DNC, Fusion’s anonymous client. All Steele knew at first was that the client was a law firm. He had no idea what he would find. He later told David Corn, Washington editor of the magazine Mother Jones: “It started off as a fairly general inquiry.” Trump’s organisation owned luxury hotels around the world. Trump had, as far back as 1987, sought to do real estate deals in Moscow. One obvious question for him, Steele said, was: “Are there business ties to Russia?”
Paul Manafort, who Steele started investigating in spring 2016. Last month Manafort was indicted on 12 charges including conspiracy against the United States.
Paul Manafort, who Steele started investigating in spring 2016. Last month Manafort was indicted on 12 charges including conspiracy against the United States. Photograph: Matt Rourke/AP
Over time, Steele had built up a network of sources. He was protective of them: who they were he would never say. It could be someone well-known – a foreign government official or diplomat with access to secret material. Or it could be someone obscure – a lowly chambermaid cleaning the penthouse suite and emptying the bins in a five-star hotel.
Normally an intelligence officer would debrief sources directly, but since Steele could no longer visit Russia, this had to be done by others, or in third countries. There were intermediaries, subsources, operators – a sensitive chain. Only one of Steele’s sources on Trump knew of Steele. Steele put out his Trump-Russia query and waited for answers. His sources started reporting back. The information was astonishing; “hair-raising”. As he told friends: “For anyone who reads it, this is a life-changing experience.”
Steele had stumbled upon a well-advanced conspiracy that went beyond anything he had discovered with Litvinenko or Fifa. It was the boldest plot yet. It involved the Kremlin and Trump. Their relationship, Steele’s sources claimed, went back a long way. For at least the past five years, Russian intelligence had been secretly cultivating Trump. This operation had succeeded beyond Moscow’s wildest expectations. Not only had Trump upended political debate in the US – raining chaos wherever he went and winning the nomination – but it was just possible that he might become the next president. This opened all sorts of intriguing options for Putin.
In June 2016, Steele typed up his first memo. He sent it to Fusion. It arrived via enciphered mail. The headline read: US Presidential Election: Republican Candidate Donald Trump’s Activities in Russia and Compromising Relationship with the Kremlin. Its text began: “Russian regime has been cultivating, supporting and assisting TRUMP for at least 5 years. Aim, endorsed by PUTIN, has been to encourage splits and divisions in the western alliance.”
“So far TRUMP has declined various sweetener real estate business deals, offered him in Russia to further the Kremlin’s cultivation of him. However he and his inner circle have accepted a regular flow of intelligence from the Kremlin, including on his Democratic and other political rivals.
“Former top Russian intelligence officer claims FSB has compromised TRUMP through his activities in Moscow sufficiently to be able to blackmail him. According to several knowledgeable sources, his conduct in Moscow has included perverted sexual acts which have been arranged/monitored by the FSB.
“A dossier of compromising material on Hillary CLINTON has been collated by the Russian Intelligence Services over many years and mainly comprises bugged conversations she had on various visits to Russia and intercepted phone calls rather than any embarrassing conduct. The dossier is controlled by Kremlin spokesman, PESKOV, directly on Putin’s orders. However, it has not yet been distributed abroad, including to TRUMP. Russian intentions for its deployment still unclear.”
The memo was sensational. There would be others, 16 in all, sent to Fusion between June and early November 2016.
In December of last year, Steele informed Luke Harding, a journalist for the Guardian, that “the contracts for the hotel deals and land deals” between Trump and individuals with the Kremlin ties warrant investigation. “Check their values against the money Trump secured via loans,” the former spy said, according to a conversation detailed in Harding’s new book, Collusion: Secret Meetings, Dirty Money, and How Russia Helped Donald Trump Win. “The difference is what’s important.”
According to his book, Steele did not elaborate on this point to Harding, but his implication was clear: it’s possible that Trump was indebted to Russian interests when he descended Trump Tower’s golden escalator to declare his candidacy. After the real-estate mogul suffered a series of bankruptcies related to the 2008 financial crisis, traditional banks became reluctant to loan him money—a reality he has acknowledged in past interviews. As a result, the Trump Organization reportedly became increasingly reliant on foreign investors, notably Russian ones. As Donald Trump Jr. famously said in 2008, “Russians make up a pretty disproportionate cross section of a lot of our assets. We see a lot of money pouring in from Russia.”
The significance of such transactions is not lost on Special Counsel Robert Mueller. Citing a person familiar with the F.B.I. probe, Bloomberg reported in July that Mueller’s team is investigating a series of deals Trump struck, including the Trump Organization’s failed SoHo development that involved Russian nationals, the 2013 Miss Universe pageant in Moscow, and the president’s sale of a Palm Beach estate in 2008. All three deals have drawn scrutiny for their ties to Russian interests; as Craig Unger outlined for the Hive, the 2014 Trump SoHo development is likely of interest to Mueller thanks to the involvement of Felix Sater—a Moscow-born, Russian-American businessman who did time for stabbing a man in the face with a margarita glass—and the now-defunct company he worked for, the Bayrock Group. Similarly, Russian developer Aras Agalarov, whose son Emin helped broker the controversial Trump Tower meeting last June between Donald Trump Jr. and Russian lawyer Natalia Veselnitskaya, paid $20 million to bring Miss Universe to Moscow. And Russian fertilizer magnate Dmitry Rybolovlev bought the Florida mansion for a staggering sum of $95 million in 2008—despite Trump having paid just $41 million for the property four years prior.
Trump has cautioned that he would view any attempt by Mueller to dig into his past business deals as out of bounds. But the former F.B.I. director has a broad mandate from the D.O.J. to investigate “any links and/or coordination between the Russian government and individuals associated with the campaign” and “any matters that arose or may arise directly from the investigation”—suggesting that Trump’s deals with Russians fall under Mueller’s purview. Nor is Mueller’s tack in following the money limited to Trump. The indictments the special prosecutor brought against former Trump campaign manager Paul Manafort and his deputy and longtime business associate Rick Gates included conspiracy to launder money and seven counts of improper foreign banking and financial reporting. (Both Manafort and Gate have denied the charges.)
Since media outlets published the Steele dossier last January, Republican lawmakers and conservative pundits alike have sought to discredit it. In recent weeks, Trumpworld has latched onto the revelation that the Democratic National Committee and the Clinton campaign indirectly bankrolled Steele’s investigative work—which he conducted for Washington-based intelligence firm Fusion G.P.S.—through the law firm Perkins Coie. They have argued that the dossier’s origins not only make it invalid, but are indicative of a larger anti-Trump conspiracy. Steele, however, stands by his work. While the former MI6 agent acknowledged that no piece of intelligence is 100 percent airtight, Harding noted that Steele told friends he believes the 16 memos he delivered to Fusion to be “70 to 90 percent accurate.”