Paul Erickson

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Paul Erickson
Born: 1962
Vermillion, South Dakota
Charges: Wire fraud, Money laundering
Sentence: 7 years
Facility:
Status: Pardoned


Paul Erickson (born 1962) is an American conservative political operative, lawyer, and businessman who was convicted of wire fraud and money laundering in connection with fraudulent investment schemes. In November 2019, Erickson pleaded guilty to defrauding 78 investors of approximately $5.3 million over a 20-year period through various schemes including a fraudulent oil development project. He was sentenced to seven years in federal prison and ordered to pay approximately $3 million in restitution. Erickson gained additional notoriety as the boyfriend of Maria Butina, who pleaded guilty to acting as an unregistered Russian agent. President Donald Trump granted Erickson a full pardon on January 19, 2021, his last full day in office, eliminating both the prison sentence and the restitution obligation to victims.[1]

Summary

Paul Erickson's case illustrates the intersection of Republican political activism, Russian influence operations, and financial fraud. A veteran Republican operative who worked on multiple presidential campaigns and maintained strong ties to the National Rifle Association, Erickson became a central figure in the federal investigation of Maria Butina, a Russian national who pleaded guilty to conspiring to advance Russian interests by infiltrating American political organizations.

While Erickson was never charged with crimes related to his activities with Butina, federal prosecutors pursued him for long-running fraud schemes that predated his relationship with the Russian agent. Over two decades, Erickson had bilked dozens of investors through various schemes, including a fraudulent oil development project and investments in a healthcare venture.

The pardon Trump granted Erickson drew criticism because it framed the fraud conviction as a consequence of the "Russian collusion hoax" rather than acknowledging the actual victims of Erickson's schemes. One victim described the pardon as a "slap in the face." The pardon eliminated approximately $3 million in restitution that Erickson had been ordered to pay.

Background

Early Life and Education

Paul Erickson was born in 1962 in Vermillion, South Dakota. He attended the University of South Dakota before transferring to Yale University, where he graduated with a bachelor's degree in economics and political science in 1984.[1]

Political Career

Erickson became involved in Republican politics and worked on multiple presidential campaigns. He developed strong ties to the National Rifle Association and conservative political circles.

Russian Connections

Relationship with Maria Butina

Erickson began a relationship with Maria Butina, a Russian national who was an assistant to Russian politician Aleksandr Torshin and founder of a Russian gun rights group called "The Right to Bear Arms." In 2016, Erickson and Butina established a South Dakota business named "Bridges, LLC," which Erickson claimed was created to provide financial assistance for Butina's graduate studies in the United States.[2]

NRA and Kremlin Back-Channel

During Donald Trump's 2016 presidential campaign, Erickson attempted to develop a back-channel between the NRA and the Russian government. In May 2016, Erickson sent an email with the subject line "Kremlin Connection" to Trump campaign adviser Rick Dearborn, seeking advice on setting up a meeting between Trump and Russian President Vladimir Putin at an annual NRA convention.

Erickson and Butina also arranged for NRA leaders to visit Russia in December 2015, where they attended meetings with top Russian government officials.[1]

Butina Investigation

In July 2018, Butina was arrested by the FBI and charged with conspiring to act as an unregistered agent of the Russian Federation. Federal prosecutors alleged that Erickson—identified in court documents as an unnamed "American political operative"—had worked with Butina to arrange introductions to influential Americans and advance Russian interests.

In December 2018, Butina pleaded guilty to conspiracy against the United States, admitting she had engaged in the conspiracy with Erickson and Torshin. She served 18 months in prison and was deported to Russia in 2019.

Erickson was never charged with crimes related to his work with Butina.

Fraud Conviction

The Schemes

Federal prosecutors charged Erickson with operating fraudulent investment schemes over a 20-year period from 1996 through 2018. The schemes allegedly involved three entities owned and operated by Erickson:

  • Compass Care, Inc.
  • Investing with Dignity, LLC
  • An unnamed oil development venture

Erickson allegedly defrauded 78 investors of approximately $5.3 million. One major scheme involved an oil development project in North Dakota where investors were promised returns of up to 150% while Erickson allegedly spent the money on personal expenses, including financial support for Butina.[3]

Indictment

In February 2019, a federal grand jury in South Dakota indicted Erickson on 11 counts of wire fraud and money laundering. The indictment alleged that Erickson "knowingly and unlawfully devised a scheme and artifice to defraud and to obtain money from many victims by means of false and fraudulent pretense, representations, and promises."

The charges were not related to the Butina case or the broader investigation of Russian interference in the 2016 election.

Guilty Plea

In November 2019, Erickson pleaded guilty to federal charges of wire fraud and money laundering.

Sentencing

In July 2020, Erickson was sentenced to seven years in federal prison. He was also ordered to pay more than $3 million in restitution to over 50 victims of his schemes.[4]

Presidential Pardon

On January 19, 2021—Donald Trump's last full day as president—Trump granted Erickson a full pardon.[5]

White House Statement

The White House statement framed the pardon in terms of the Russia investigation: "Mr. Erickson's conviction was based off the Russian collusion hoax. After finding no grounds to charge him with any crimes with respect to connections with Russia, he was charged with a minor financial crime. This pardon helps right the wrongs of what has been revealed to be perhaps the greatest witch hunt in American History."

Criticism

The characterization of Erickson's crimes as "minor" drew criticism. Federal prosecutors had documented $5.3 million stolen from 78 victims, with more than $3 million in restitution ordered.

One victim contacted by South Dakota Public Broadcasting described the pardon as a "slap in the face."

The pardon eliminated approximately $3 million in restitution that Erickson had been ordered to pay to his victims.

Frequently Asked Questions


Q: What did Paul Erickson do?

Erickson pleaded guilty to wire fraud and money laundering in connection with fraudulent investment schemes spanning 20 years from 1996 to 2018. He bilked 78 investors of approximately $5.3 million through various schemes including a fraudulent oil development project. He was also the boyfriend of Maria Butina, who pleaded guilty to acting as an unregistered Russian agent.[1]



Q: Was Paul Erickson pardoned?

Yes, President Trump granted Erickson a full pardon on January 19, 2021, Trump's last full day in office. The White House claimed the conviction was based on the "Russian collusion hoax" and called the fraud a "minor financial crime," though prosecutors documented $5.3 million stolen from 78 victims. The pardon eliminated approximately $3 million in restitution owed to victims.[5]



Q: What was Paul Erickson's sentence?

Erickson was sentenced to seven years in federal prison in July 2020. He was also ordered to pay more than $3 million in restitution to over 50 victims. Trump's pardon in January 2021 wiped out both the prison sentence and the restitution obligation, angering victims who described the pardon as a "slap in the face."[4]



Q: Who is Maria Butina?

Maria Butina is a Russian national who pleaded guilty in December 2018 to conspiring to act as an unregistered agent of the Russian Federation. She was Erickson's girlfriend. Prosecutors said she gained access to conservative politicians and NRA members through Erickson to advance Russian interests. Butina served 18 months in prison and was deported to Russia in 2019.[2]



Q: What was Paul Erickson's connection to the NRA and Russia?

Erickson had strong ties to the NRA and attempted to create a back-channel between the NRA and the Russian government. In May 2016, he sent an email with the subject line "Kremlin Connection" to a Trump campaign advisor about setting up a meeting between Trump and Putin at an NRA convention. He and Butina arranged for NRA leaders to visit Russia in 2015.[1]


See also

References

  1. 1.0 1.1 1.2 1.3 1.4 Wikipedia, "Paul Erickson (activist)," https://en.wikipedia.org/wiki/Paul_Erickson_(activist)
  2. 2.0 2.1 NPR, "Paul Erickson, Boyfriend Of Russian Agent Maria Butina, Charged In Fraud Scheme," February 2019, https://www.npr.org/2019/02/06/687417296/paul-erickson-boyfriend-of-russian-agent-maria-butina-charged-in-fraud-scheme
  3. ABC News, "Republican operative Paul Erickson indicted on wire fraud, money laundering charges in South Dakota," February 2019, https://abcnews.go.com/US/accused-russian-agent-maria-butinas-boyfriend-paul-erickson/story?id=60900080
  4. 4.0 4.1 KELOLAND News, "Trump pardon called Paul Erickson bilking $1.2 million from investors a 'minor financial crime,'" January 2021, https://www.keloland.com/news/investigates/trump-pardon-called-paul-erickson-bilking-1-2-million-from-investors-a-minor-financial-crime/
  5. 5.0 5.1 South Dakota Public Broadcasting, "Trump Pardon Wipes Out $3 Million In Restitution For Erickson Victims," January 2021, https://www.sdpb.org/news/2021-01-20/trump-pardon-wipes-out-3-million-in-restitution-for-erickson-victims