LAWYERS for Donald Trump’s former personal lawyer, Michael Cohen, entered a plea deal with New York federal prosecutors on Tuesday amid a probe into his finances — signalling that the president’s ex-fixer may become an informant for authorities in the Russia probe, according to reports.

Reuters reports that the judge has set a December 12 sentencing date for Cohen and set bail at $US500,000.

The US Attorney’s Office for the Southern District of New York is probing Mr Cohen — who once bragged he’d “take a bullet” for Mr Trump — and would reportedly require that he co-operate with special counsel Robert Mueller as a condition of any deal, reports the New York Post.

Still, sources told CNN that Mr Cohen is not co-operating and instead entered the guilty plea to avoid a messy trial.

Mr Cohen reportedly struck a deal with prosecutors to plead guilty to charges including campaign finance fraud, bank fraud and tax evasion, according to two people familiar with the plea bargain. It was not clear if the agreement requires Mr Cohen’s co-operation with the Russia probe or other investigations.

The campaign finance charges involve payments to two women, the two people said. They spoke to The Associated Press on the condition of anonymity because they were not authorised to discuss the case publicly.

Mr Trump has blasted Mr Cohen in recent weeks for secretly recording their conversations, including one discussing the payment of hush money to a porn star.

Authorities are probing more than $US20 million (A$27 million) in loans obtained by Mr Cohen’s family’s taxi business — and whether the porn star payments violated campaign finance rules.

Mr Cohen was seen earlier on Tuesday leaving his apartment and travelling to the mid-town Manhattan officers of one of his lawyers, former federal prosecutor Guy Patrillo. At the courthouse, security officers had set up barricades outside the main entrance.

Both of Mr Cohen’s lawyers and the US Attorney’s office declined comment on Tuesday.

The development came a day after prosecutors signalled that Mr Cohen could be charged before the end of the month in a case that has been a distraction for the White House with the midterm elections approaching.

Absent a quick resolution, it’s believed that prosecutors would put off a decision on how to go forward with the case until after the election in compliance with an informal Justice Department policy of avoiding bringing prosecutions that could be seen as political and influence voters.

Prosecutors had been investigating Mr Cohen for possible fraud related to his businesses for months. The FBI raided his hotel room, home and office on April 9, seizing more than four million items.

The search of Mr Cohen’s files sought bank records, communications with the Trump campaign and information on hush money payments made in 2016 to two women: former Playboy model Karen McDougal, who received $US150,000 (A$205,000), and the porn actress Stormy Daniels, who got $US130,000 (A$177,000).

The New York Times reported earlier this week, based on anonymous sources, that prosecutors have been focusing on more than $US20 million (A$27 million) in loans obtained by taxi businesses that Mr Cohen and his family own.

Mr Cohen had gained notoriety as Mr Trump’s loyal “fixer” before the FBI raid. And Mr Trump branded it “a witch hunt,” an assault on lawyer-client privilege and a politically motivated attack by enemies in the FBI.

But the president’s initial support for Mr Cohen has since degenerated into a public feud, prompting speculation that, to save himself, Mr Cohen might be willing to tell prosecutors some of the secrets he helped Mr Trump keep.

MANAFORT JURY REACHES VERDICT ON EIGHT COUNTS
It comes as the jury in the Paul Manafort financial fraud trial said it has reached a guilty verdict on eight counts, but remains undecided on 10 others.

Judge T.S. Ellis III has decided there is “manifest necessity” to proceed and a verdict will be reached shortly on eight of the counts. Judge Ellis said he would accept a partial verdict.

The jury entered into its fourth day of deliberations in the fraud trial of Mr Trump’s former campaign chief, the first resulting from the investigation into Russian meddling in the 2016 presidential election.

Jurors indicated they were struggling to reach a consensus on at least one of the 18 counts of which Mr Manafort is accused but implied they could be in agreement on others, and Judge T.S. Ellis initially instructed them to attempt to reach a unanimous decision.

The case against Mr Manafort stems from Special Counsel Robert Mueller’s investigation into Russian election interference and possible collusion between the Trump campaign team and Moscow, and is viewed as an important test for the probe, which the president denounces as a “witch hunt”.

But 69-year-old Manafort is charged with crimes that are unrelated to his brief time as campaign chairman.

He is accused of failing to pay taxes on tens of millions of dollars he earned while advising Russian-backed politicians in Ukraine between 2006 and 2015, as well as of providing fraudulent statements to secure bank loans.