WASHINGTON, D.C. — The law firm of Skadden, Arps, Slate, Meagher & Flom LLP has reached a $4.6 million settlement with the federal government to resolve charges the firm violated the Foreign Agents Registration Act (FARA) by not registering as an agent of the government of Ukraine.
According to the U.S. Department of Justice (DOJ), the law firm was hired by the Ukraine Ministry of Justice with assistance by Paul Manafort, to advise as well as create a report on evidence and procedures regarding the trial of former Prime Minister Yulia Tymoshenko. The firm received payment for its ministry work from "Black Sea View" Ltd., a Cypriot bank account which Manafort controlled with the firm earning $4,657,568.91 but never registering under FARA.
“Law firms should handle inquiries from the federal government the same way they would counsel their clients to: with appropriate due diligence to ensure the honesty of their response,” assistant attorney general JOhn Charles Demers said in a statement. “Skadden’s failure to do so, and reliance on only the representations of the lead partner on the matter, hid from the public that its report was part of a Ukrainian foreign influence campaign.
"FARA protects the integrity of the American political system by enabling Americans to consider the identity of the speaker as they evaluate the substance of the speech. The department appreciates Skadden’s more recent extensive cooperation in the investigation of this matter, which facilitated its resolution.”
Skadden has also agreed to register under FARA as part of the settlement, according to the DOJ.