Skadden Arps Slate Meagher & Flom LLP settled Claims by the U.S. Department of Justice over the Firm's Failure to Register Lobbying Work for the Ukrainian Government and Agreed to Pay more than $4.6 Million in Fees from the Engagement, the Department of Justice (DOJ) announced on Thursday.
Skadden, the Global Law Firm, has agreed to Pay as part of a Civil Settlement for its Role in a 2012 Ukrainian Influence Campaign led by Paul Manafort, the former Trump Campaign Manager.
The Law firm Failed to Register as a Foreign Agent as Required under the Foreign Agents Registration Act (FARA).
The Law firm agreed to Retroactively Register as a Foreign Agent for the Government of Ukraine.
Skadden had Written a Report for the Ukraine Government about the Prosecution of a Political Opponent of the then-President, Viktor Yanukovich. The Pro-Russian Ukrainian Leader was a Client of Manafort.
The Report was used by Manafort as part of a Media Campaign in the U.S. designed to Disprove concerns that the Prosecution was Politically Motivated.
The DOJ said Skadden’s Lead Partner on the Report had participated in the Campaign. The DOJ said Skadden, “in reliance on the lead partner,” had Misled its FARA Unit in 2013 about whether it needed to Register.
“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,” said John Demers, the Head of the DOJ’s National Security Unit. “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.”
Skadden said in a Statement: “The civil settlement announced today brings the firm closure with the US government regarding issues relating to a report we produced for the Government of Ukraine in 2012. As part of this resolution, the firm will be registering with the FARA Unit of the Department of Justice in connection with the work we conducted and will pay to the US Treasury funds we were paid for that engagement. We have learned much from this incident and are taking steps to prevent anything similar from happening again.”
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