Whilst the charges against Manafort do not directly relate to Trump's presidential campaign, or any potential collusion, both Gates and Manafort were indicted as a direct effect of Mueller's investigation.
Later, when Yanukovych fell out of power and fled to Russian Federation, the business struggled and prosecutors say Manafort lied to banks to obtain loans to help maintain his life of luxury.
In early testimony Tuesday, Gates related his role in setting up offshore bank accounts for Manafort, a complex arrangement that was requested by wealthy and powerful Ukrainian businessmen who bankrolled Manafort's political consulting work in the country. They were the first two people indicted by Mueller's grand jury.
Rick Gates testified Monday that he knowingly committed crimes along with former Trump campaign chairman Paul Manafort. His case is the first to go to trial arising from Special Counsel Robert Mueller's investigation into Russian interference in the 2016 United States election.
Mr Manafort has pleaded not guilty to 18 counts of bank and tax fraud and failing to disclose foreign bank accounts. Gates was Manafort's partner in the consultancy.
Gates admitted that at Manafort's behest, they later created a loan agreement for Lyovochkin's payment, though no loan existed.
Prosecutors have accused Manafort and Gates of conspiring to hide a significant portion of the $60 million that Manafort earned through his political lobbying in the Ukraine for its then-President Viktor Yanukovych.
While outside the scope of the trial, Mueller is also investigating whether Trump campaign members coordinated with Moscow, an allegation President Donald Trump denies.
Even as he testified against him, Gates still praised Manafort, describing his former boss as "one of the most politically brilliant strategists I've ever worked with".
Denmark issues first face veil fine after tussle
Danish protesters dressed in burkas, masks and false beards to defy a new law outlawing the wearing of veils in public. Mr Borcher said: 'During the fight her niqab came off, but by the time we arrived she had put it back on again'.
Testimony from Mr Manafort's tax preparer continued on Monday.
Gates, who also served in a senior role in Trump's presidential campaign, said he repeatedly lied to hide the bank accounts and, at Manafort's direction, would classify money that came in as either a loan or income to reduce Manafort's tax burden.
The prosecution did not cover much substantial ground Monday on its exhibit list with Gates before Judge T.S. Ellis III adjourned court for the day.
As part of the plea deal, Gates said prosecutors agreed to not to pursue charges against him for the additional crimes and to drop a second indictment in Alexandria accusing him of bank and tax fraud.
Ms Laporta detailed multiple examples in which Mr Manafort and Mr Gates sought to doctor financial records, first in order to lower Mr Manafort's taxable income and then later to inflate his income so he could get bank loans. But Trump has shown interest in the proceedings, tweeting support for Manafort and suggesting he had been treated worse than gangster Al Capone.
He said that some of Manafort's income was disguised as loans from 15 shell companies that Manafort controlled, majority in Cyprus.
Laporta thought that was odd, so she asked Gates for information about the $2.4 million Manafort was supposedly owed.
Some of the manoeuvres were at the request of Gates, while others implicated Manafort, Laporta testified. Manafort instructed his bookkeeper to classify it as a loan for tax purposes, though Gates admitted in court that it was not one and Manafort had never received a loan from Lyovochkin.