At least 20 women who were victims of sex trafficking and sexual abuse at Jeffrey Epstein properties were paid through JPMorgan Chase accounts, according to a new court filing.
The women were allegedly abused and trafficked at properties in the U.S. Virgin Islands, New York, and elsewhere between 2003 and 2019.
“Epstein also withdrew more than $775,000 in cash over that time frame from JP Morgan accounts, especially significant as Epstein was known to pay for ’massages,' or sexual encounters, in cash,” the filing states. “Financial information also reflects payments drawn from JP Morgan accounts of nearly $1.5 million to known recruiters, including to the MC2 modeling agency, and another $150,000 to a private investigative firm.”
Epstein was facing sex trafficking charges when he died in jail in 2019. New York City’s medical examiner ruled the death a suicide. Epstein had pleaded guilty to soliciting a minor for prostitution in Florida in 2008.
‘Extremely High-Risk Client’
Evidence shows JPMorgan officials were aware Epstein was an “extremely high-risk client” but decided to keep servicing his accounts “because of his vast wealth and connections with other high net worth individuals,” according to the complaint.The company’s global corporate security division, for instance, reviewed media articles that detailed the charges against Epstein in Florida. JPMorgan decided to keep doing business with Epstein, though it did label him as “high risk.”
In a 2010 internal email, the division flagged “new allegations of an investigation related to child trafficking” and wondered, “are you still comfortable with this client who is now a registered sex offender.”
In January 2011, the company’s compliance director asked for reapproval of the relationship due to the new allegations of human trafficking. “I thought we did that in approving a $50 million new line of credit last month?” another employee responded.
A review completed that month led to the conclusion that no “material updates” had been identified. It also noted that Jes Staley, a top JPMorgan official, had spoken with Epstein about the alleged human trafficking. Epstein said there was no truth to the allegations or evidence supporting them.
Close Relationship
Staley, head of JP Morgan’s Private Bank, exchanged approximately 1,200 emails with Epstein from his company’s email account. The communications show a close relationship and friendship and “even suggest that Staley may have been involved in Epstein’s sex-trafficking operation,” Virgin Islands authorities said, noting that Staley visited Epstein’s island multiple times.In one exchange, Staley said he had arrived at Little St. James, the island. Several months later, Staley said, “Say hi to Snow White.”
“What character would you like next?” Epstein asked.
“Beauty and the Beast,” Staley replied.
“Well one side is available,” Epstein said.
At another point in time, Staley wrote: “I realize the danger in sending this email. But it was great to be able, today, to give you, in New York City, a long heartfelt, hug.”
Several wire transfers also happened soon after Staley visited Epstein in Florida and after Staley asked for something while in London.
2013 Report
Even by 2013, the bank’s report reported “nothing unusual” for Epstein’s transactions. No “unusual ... activity” was happening, it said.The frequency of Epstein’s payments, and how many of them were to women, should have triggered action, Virgin Islands authorities argued.
JP Morgan provided lines of credit to Epstein of up to $50 million just before ending its relationship with him in 2013.
The suit was filed in federal court in New York.
Authorities are asking the court to order the bank to pay fines to the government, and for the court to order the bank to provide restitution of “all ill-gotten gains,” in addition to civil penalties.
The court should also enter an injunction that will prevent “further illegal conduct and any concealment of illegal conduct,” authorities said.
JP Morgan (JPMC) did not respond to a request for comment.
The bank has filed a motion to dismiss, calling the suit “a masterclass in deflection that seeks to hold JPMC responsible for not sleuthing out Epstein’s crimes over a decade ago” even as authorities “had access at the time to the same information, allegations, and rumors about Epstein on which it alleges JPMC should have acted.”
The suit, the motion also states, “proceeds on the untenable theory that JPMC was a participant in an Epstein sex-trafficking venture and was somehow uniquely situated to bring it to a halt.”
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