Well this could get interesting. The Washington Post about 45 minutes ago:

The acting attorney general informed the Trump White House late last month that she believed Michael Flynn had misled senior administration officials about the nature of his communications with the Russian ambassador to the United States, and warned that the national security adviser was potentially vulnerable to Russian blackmail, current and former U.S. officials said.

The message, delivered by Sally Q. Yates and a senior career national security official to the White House counsel, was prompted by concerns that ­Flynn, when asked about his calls and texts with the Russian diplomat, had told Vice ­President-elect Mike Pence and others that he had not discussed the Obama administration sanctions on Russia for its interference in the 2016 election, the officials said. It is unclear what the White House counsel, Donald McGahn, did with the information.

In other words…Flynn lied about the calls, and the Feds know it.

U.S. intelligence reports during the 2016 presidential campaign showed that Kislyak was in touch with Flynn, officials said. Communications between the two continued after Trump’s victory on Nov. 8, according to officials with access to intelligence reports on the matter.

Kislyak, in a brief interview with The Post, confirmed having contacts with Flynn before and after the election, but he declined to say what was discussed.

For Yates and other officials, concerns about the communications peaked in the days after the Obama administration on Dec. 29 announced measures to punish Russia for what it said was the Kremlin’s interference in the election to help Trump.

After the sanctions were rolled out, the Obama administration braced itself for the Russian retaliation. To the surprise of many U.S. officials, Russian President Vladimir Putin announced on Dec. 30 that there would be no response. Trump praised the decision on Twitter.

Intelligence analysts began to search for clues that could help explain Putin’s move. The search turned up Kislyak’s communications, which the FBI routinely monitors, and the phone call in question with Flynn, a retired Army lieutenant general with years of intelligence experience.

Emphasis added. The FBI routinely monitors Kislyak’s phone conversations. If Flynn lied about what he said in those conversations, the FBI knows he did, and has the evidence that he did. If Flynn told Kislyak not to sweat the sanctions, the FBI knows that – and apparently told Sally Yates that when she was Acting AG.

From that call and subsequent intercepts, FBI agents wrote a secret report summarizing ­Flynn’s discussions with Kislyak.

Yates, then the deputy attorney general, considered Flynn’s comments in the intercepted call to be “highly significant” and “potentially illegal,” according to an official familiar with her thinking.

So there’s that.

The Russians hacked the election, Obama imposed sanctions on Russia for doing that, Flynn told Russia not to bother about it because the Trump admin would make everything fine for the people who helped him steal the election. The FBI knows all this.

Scuzzy enough yet?

Read the whole thing – there are more details.