JPMorgan Sues Former Executive Jes Staley Over Jeffrey Epstein Connections

Topline

JPMorgan Chase filed a lawsuit Wednesday against former investment banking executive Jes Staley, accusing him of concealing the nature of his relationship with late convicted sex offender Jeffrey Epstein, a longtime JPMorgan client whose child sex trafficking has landed the finance giant in legal hot water.

Key Facts

The suit suggests Staley may have been aware of Epstein’s sexual misconduct while he worked at JPMorgan, but he did not disclose that to the bank, alleging Staley “repeatedly abandoned the interests of JPMC in pursuit of his own personal interests and benefits and those of Epstein.”

JPMorgan was previously sued by an unnamed woman and the government of the U.S. Virgin Islands—where Epstein owned a residence—for allegedly helping fund his sex trafficking operation by approving loans on his accounts.

In its lawsuit Wednesday, JPMorgan argued that if it is held liable in either of those two suits brought against the bank, Staley should be financially responsible for paying damages.

The lawsuit filed Wednesday also identified Staley as the subject of a sexual assault complaint involving one of Epstein’s friends, alleging Staley is the “powerful financial executive” referenced in the suit brought by the unnamed woman last year.

Staley could not immediately be reached for comment, but he has repeatedly denied any wrongdoing, claiming he was unaware of Epstein’s sex trafficking.

Key Background

Staley’s career as a high-powered banker has come crashing down over the past few years, as he’s faced increasing scrutiny over his connection to Epstein. Staley left JPMorgan in 2013—also Epstein’s last year as a client at the bank—but he continued to rise in the banking industry, becoming CEO of London-based Barclays before leaving the post in 2021 following a regulatory investigation into his dealings with Epstein. Emails recently made public in the U.S. Virgin Islands’ lawsuit contain bizarre exchanges between Staley and Epstein, such as Staley allegedly telling Epstein, “That was fun,” followed by “Say hi to Snow White.” The suit said Epstein then asked Staley, “[W]hat character would you like next?” to which Staley replied, “Beauty and the Beast.” The U.S. Virgin Islands claims the messages were referring to underage girls the two were sexually exploiting. Staley has not been criminally charged, and Epstein was charged with sex trafficking by federal prosecutors but died by suicide while awaiting trial in 2019.

Further Reading

Barclays Chief Executive Jes Staley Steps Down Over Epstein Investigation (Forbes)

Former Barclays chief Jes Staley’s ‘profound’ friendship with Jeffrey Epstein revealed in trove of emails (Fortune)