Steve Bannon Pleads Guilty to Fraud Charge Over Wall Scam
Steve Bannon, the former White House Chief Strategist during the first Trump administration, has accepted a plea bargain with the Manhattan district attorney and the New York attorney general. The deal allows him to avoid prison time under conditional release for the next three years.
It ends a wild legal ride for Bannon over the last several years that included a pardon, an appeal that reached the Supreme Court, and a stint in prison for contempt of Congress. Bannon pleaded guilty to a single charge of felony scheme to defraud.
We (Aren't Going To) Build the Wall
In response to Trump’s difficulties in getting his promised border wall with Mexico built during his first term, a crowd-funding campaign proposed to use private funds to accomplish the task. Titled “We Build the Wall,” the effort raised over $20 million.
A small amount of border fencing was built before the project encountered some issues. While the International Boundary and Water Commission raised objections, the biggest problems came from the founders of the fund stealing money for their personal use.
When first approached, Bannon was dubious of the operation. He was quoted in an email asking if the operation was a scam and that people would be wasting their money on a project that was “something not doable.”
Bannon had an apparent change of heart as he became a vociferous champion of the undertaking, telling prospective backers that all contributions would be used to build the wall. As later discovered, this was not true.
One defendant was convicted and sent to prison for his part in the scam, while two others were incarcerated after pleading guilty to federal charges in 2022.
Bannon was indicted on federal charges of money laundering, conspiracy, and fraud in 2020. Trump pardoned Bannon in 2021. While he’d escaped the federal charges, Bannon wasn’t free and clear yet.
In a New York (Prison) State of Mind
In 2022, the Manhattan district attorney's office filed charges identical to the ones Bannon had faced at the federal level. He was indicted and a trial date was approaching on March 4, 2025.
Bannon accused Manhattan District Attorney Alvin Bragg and New York Attorney General Letitia James of selective and malicious prosecution, promising that a new team of attorneys would prove his allegations to jurors. Ultimately, he admitted his guilt in the scheme in exchange for the dropping of two of the charges.
In the plea agreement, Bannon waived his right to appeal and faces prison time if he violates the release conditions. This was not the only legal proceeding he'd been involved with.
After defying a subpoena for the congressional investigation into the storming of the Capitol on January 6, 2021, Bannon was charged with contempt of Congress. His appeals were rejected all the way up to the Supreme Court and he served four months in 2024.
While Bannon may have avoided incarceration, the felony fraud he pleaded to will remain. The President lacks the authority to pardon state convictions.
Related Resources
- What Are the Benefits of Plea Bargains? (FindLaw's Criminal Procedure)
- District Court Blocks Border Wall Over Funding (FindLaw's Federal Courts)
- Everything You Need To Know About Fraud Crimes and Fraud Laws (FindLaw's Criminal Charges)
