The Republican operative boyfriend of alleged Russian spy Maria Butina has been indicted by a South Dakota federal grand jury for charges of wire fraud and money laundering.
Paul Erickson, 56, of Sioux Falls, pleaded not guilty on Tuesday to 11 counts before a federal district court after being indicted on Monday. He was released on bond, but U.S. Magistrate Judge Mark A. Moreno did not set a trial date.
Federal prosecutors allege that Erickson – who is 26 years older than Butina – between about 1996 and August 2018 knowingly and unlawfully used “false and fraudulent pretense, representations, and promises” to defraud “many victims,” U.S. Attorney for the District of South Dakota Ron Parsons announced in a statement.
Part of the alleged fraud was conducted through his assisted living business Compass Care, Inc.; Investing with Dignity, LLC, which claimed to be developing a special wheelchair; and another venture set up to supposedly build homes in North Dakota’s Bakken oil fields.
If found guilty, Erickson faces up to 20 years in federal prison and a range of different fines for each count.
In December, Butina pleaded guilty in a D.C. federal court to conspiracy to act as an illegal foreign agent in the U.S. Butina faces a maximum of five years in prison, after which she will likely be deported. She has yet to be sentenced.
