JPMorgan Chase settles Jeffrey Epstein-linked sex trafficking lawsuits with US Virgin Islands for US$75 million

Spread the love

JPMorgan Chase reached settlements with the US Virgin Islands (USVI) and former executive Jes Staley to resolve lawsuits over sex trafficking by the disgraced financier Jeffrey Epstein, largely resolving a scandal that has weighed on the largest US bank for months.

The settlements conclude the final pieces of litigation in a saga involving women who said Epstein sexually abused them, and which embroiled some of the world’s most powerful figures in finance and business.

JPMorgan said its US$75 million settlement with the USVI includes US$30 million to support charitable organizations, US$25 million to strengthen law enforcement to combat human trafficking, and US$20 million for attorney’s fees.

Jeffrey Epstein poses for a sex offender mugshot. Photo: Handout/Getty Images

The bank did not admit liability in agreeing to settle.

Terms of its settlement with Staley, a former Epstein friend who had been JPMorgan’s private banking chief, are confidential.

In June, JPMorgan agreed to pay US$290 million to resolve claims by dozens of Epstein’s accusers.

Epstein had been a JPMorgan client from 1998 until 2013, when the bank terminated their relationship.

“The firm deeply regrets any association with this man, and would never have continued doing business with him if it believed he was using the bank in any way to commit his heinous crimes,” JPMorgan said.

USVI Attorney General Ariel Smith said the settlement was a “historic victory for survivors and for state enforcement, and it should sound the alarm on Wall Street about banks’ responsibilities under the law to detect and prevent human trafficking.”

Ghislaine Maxwell says Jeffrey Epstein was murdered in US jail

Staley’s lawyers did not immediately respond to requests for comment.

A trial had been scheduled for October 23.

Epstein died in August 2019 in a Manhattan jail cell while awaiting trial for sex trafficking. New York City’s medical examiner called his death a suicide.

Internal warnings

In July, USVI said it wanted JPMorgan to pay at least US$190 million, including a US$150 million civil fine, and possibly much more to resolve the lawsuit.

USVI said JPMorgan kept Epstein as a valued client even after his 2006 arrest on prostitution charges and related guilty plea two years later, and said some bank officials stayed in touch with him long after he was dismissed.

Both lawsuits exposed deficiencies in JPMorgan’s oversight of clients, including many communications where employees urged the bank to stop doing business with Epstein.

Tuesday’s settlement resolves a rare public relations problem for Jamie Dimon, who has been JPMorgan’s CEO since 2006.

JPMorgan Chase announced a settlement with the US Virgin Islands over a suit linked financier Jeffrey Epstein. Photo: New York State Sex Offender Registry via AP,

Dimon testified under oath in May that he had barely heard of Epstein until the financier’s July 2019 arrest.

JPMorgan had argued that the USVI was also to blame for enabling Epstein’s sex trafficking by giving him tax incentives and waiving monitoring requirements, in exchange for cash and gifts to local officials including a former first lady.

Epstein had owned two private islands within the territory, including one he allegedly bought to keep onlookers from spying on his misconduct on the other.

Last November, USVI reached a settlement of at least US$105 million with Epstein’s estate.

Sex assault claim lodged against British comedian Russell Brand, police say

Deutsche Bank, where Epstein was a client from 2013 to 2018, in May reached a US$75 million settlement with women who said Epstein sexually abused them.

Staley left JPMorgan in 2013, and later spent six years as Barclays’ chief executive.

JPMorgan had wanted him to cover its losses in its other two lawsuits, and have him forfeit eight years of pay.

Staley has expressed regret for his friendship with Epstein and denied knowing about his sex trafficking.

Additional reporting by Agence France-Presse

EMEA Tribune is not involved in this news article, it is taken from our partners and or from the News Agencies. Copyright and Credit go to the News Agencies, email [email protected] Follow our WhatsApp verified Channel210520-twitter-verified-cs-70cdee.jpg (1500×750)

Support Independent Journalism with a donation (Paypal, BTC, USDT, ETH)

News Agencies

About Author

The latest news from the News Agencies

You may also like

Saudi Arabia imposes curfew

Saudi Arabia imposes curfew due to coronavirus in Makkah and Madina

Spread the loveSaudi Arabia’s government has decided to impose a 24-hour curfew in Makkah and Madina while tightening precautionary measures
saudi royal family

Dozens of Saudi royal family infected with coronavirus: report

Spread the loveRiyadh: 150 members of the Saudi royal family have been diagnosed with Coronavirus.   According to a US