Michael Caputo, a former aide to Donald Trump, is facing a civil lawsuit over a contract dispute that has reignited allegations stemming from the years-long investigations linked to Russia. The lawsuit, filed on September 8 in Washington, D.C., involves a $100,000 payment from Gilbert Hyatt, an 88-year-old inventor, to Caputo’s public relations firm. Hyatt alleges breach of contract and fraud related to lobbying efforts aimed at establishing a “Pioneering AI Foundation” during Trump’s second term.
The complaint was filed by Jack Korba, a former prosecutor in the national security section of the U.S. Attorney’s Office in Washington who left the Department of Justice (DOJ) last year and now works in private practice at Foley & Lardner LLP. The 85-page filing includes accusations that echo elements of the discredited Russiagate probe, alleging Caputo engaged in sabotage and maintained covert ties to Russian intelligence. It notably invokes references to Vladimir Putin and compares Caputo to the American Revolutionary War figure Benedict Arnold.
Caputo has denied the allegations and criticized Korba, accusing him of an obsessive pursuit reminiscent of Captain Ahab from “Moby Dick.” Caputo claims the lawsuit is a continuation of a decade-long harassment campaign originating from DOJ and FBI investigations into his activities during the Trump administration. He asserts the legal action has caused significant personal and family distress, including health issues.
Earlier this year, Caputo lodged an ethics complaint against Korba with the District of Columbia Office of Disciplinary Counsel, citing a potential conflict of interest based on Korba’s previous DOJ role. Caputo further alleges that Korba may have used confidential information obtained during the government’s five-year inquiry into him. Additionally, Caputo questions Hyatt’s capacity to understand and direct the lawsuit given his advanced age.
The background to these events traces to multiple federal investigations into Caputo’s involvement in anti-Biden projects, including his production of a 2020 documentary on One America News that alleged deep-state interference in Trump’s first impeachment. The FBI conducted a probe into possible foreign agent violations related to this documentary, seizing extensive data from Caputo’s digital accounts but ultimately closing the case without charges in December 2025.
Caputo was also named as a “conduit” of Russian disinformation in the FBI’s Round River operation, a covert effort from late 2019 into 2020 aimed at discrediting claims about Hunter Biden’s business dealings in Ukraine. Other prominent figures identified in this operation included former Attorney General Bill Barr, former Secretary of State Mike Pompeo, and several Republican lawmakers.
The Round River investigation has since been linked to high-ranking FBI officials, including Nikki Floris, who oversaw the bureau’s Foreign Influence Task Force and later joined Microsoft. Internal FBI communications recently declassified reveal Floris’s admission to operating a “shadow government” within the agency during this period.
Caputo has warned that his legal battle could mark the emergence of “privatized DOJ lawfare,” where former government prosecutors pursue politically charged cases in the private sector. He expressed concerns that this practice could intensify ahead of the upcoming midterm elections, perpetuating the political conflicts originating from the Russia investigations.
The ongoing disputes highlight the lasting repercussions faced by Trump allies entangled in investigations begun during the 2016 campaign, where accusations of misconduct and foreign collusion often unfolded amid incomplete charges and widespread media attention. Many individuals involved report enduring significant professional and personal consequences despite the absence of formal convictions.