JPMorgan Executives ‘Joked’ About His ‘Interest In Young Girls,’ Filing Alleges

Topline

Executives at JPMorgan Chase were so well aware of convicted sex offender Jeffrey Epstein’s “interest in young girls” they allegedly “joked” about it, according to a new filing in a lawsuit against the bank, in a case that has embroiled some of the richest and most powerful people in America over Epstein’s ties to the institution.

This March 28, 2017 file photo, provided by the New York State Sex Offender Registry, shows Jeffrey … [+] Epstein. (New York State Sex Offender Registry via AP, File)

Associated Press

Key Facts

The U.S. Virgin Islands argued in an amended complaint against JPMorgan on Monday that “senior executives” told jokes about Epstein, largely citing a 2008 email sent to asset and wealth management CEO Mary Erdoes and a deposition she provided—though both were redacted.

The Virgin Islands—where the now-deceased Epstein owned a property to run his alleged sex trafficking operation—is seeking to expand its suit to secure damages from JPMorgan for violating the Trafficking Victims Protection Act, after a judge dismissed most of its earlier claims, except for the argument that JPMorgan may have knowingly profited from Epstein’s actions.

The territory also claimed JPMorgan executives disregarded anti-money laundering regulations to funnel money to Epstein to keep authorities from learning about the alleged sex trafficking ring.

A JPMorgan spokesman did not respond to a request for comment from Forbes, but the bank has repeatedly denied that executives were broadly aware of accusations against Epstein—except for former investment banking executive Jes Staley, who is facing a lawsuit from the bank.

Key Background

The government of the U.S. Virgin Islands sued JPMorgan over its financial relationship with Epstein last year, and the bank faces a separate lawsuit from an Epstein victim. JPMorgan has pinned all wrongdoing allegations on Staley, who departed the bank in 2013—the same year it severed ties with Epstein, who held around $120 million in assets with JPMorgan in 2008, according to court filings. JPMorgan has accused Staley of concealing Epstein’s behavior from the rest of his executive cohort, even suggesting he may have been an active participant in sex crimes–which Staley has denied. JPMorgan’s suit against Staley argues he should be responsible for paying all damages if it loses Epstein-related lawsuits. Epstein was convicted in Florida of soliciting prostitution from someone under the age of 18 in 2008, which led some bank employees to believe it was about to drop him as a client. The Virgin Islands revealed a 2008 internal email in an earlier filing saying Epstein was about to be dropped “pending Dimon review,” referring to longtime billionaire JPMorgan CEO Jamie Dimon. Epstein died in his jail cell in 2019 as he awaited trial on sex trafficking charges. Authorities ruled the death a suicide.

What To Watch For

Dimon has agreed to sit for a deposition in the case. It’s not clear exactly when that will take place, but the judge overseeing the case has ordered all depositions to wrap up by the end of May.

What We Don’t Know

Billionaires like Google co-founder Sergey Brin, Hyatt Hotels executive chairman Thomas Pritzker and real estate mogul Mortimer Zuckerman have been subpoenaed for information related to the case, though it’s not clear why. Former Disney president Michael Ovitz has also been asked to comply with the investigation.

Topline

Key Facts

Key Background

What To Watch For

What We Don’t Know

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