A newly-released model of the Virgin Islands’ lawsuit reveals compliance officers urged the financial institution to ditch the predator as a consumer
JP Morgan’s personal compliance officers had been urging the worldwide banking large to chop ties with convicted intercourse offender Jeffrey Epstein for years earlier than it lastly dropped him in 2013, in keeping with a revised felony grievance from the US Virgin Islands made public on Wednesday. The up to date swimsuit provides a cost of obstructing federal regulation enforcement’s prosecution of Epstein.
Epstein and his fondness for younger women had been a supply of snickers amongst senior executives on the financial institution, the submitting confirms. Wealth and asset administration division head Mary Erdoes testified that she obtained an e mail in 2008 asking her if he was at an occasion “with miley cyrus” [sic] – then the 16-year-old star of Disney’s ‘Hannah Montana’.
The swimsuit reveals the financial institution’s Speedy Response Group sought to have Epstein’s account categorized as “excessive danger” as early as 2006, noting he “routinely” made money withdrawals of $40,000 to $80,000 a number of instances a month. In 2010, the danger administration division flagged his account and requested if higher-ups had been “nonetheless snug with this consumer who’s now a registered intercourse offender.”
A senior compliance official known as Epstein a “sugar daddy” in a 2011 account evaluate after he sponsored non-public accounts for 2 18-year-olds. Inside compliance officers reportedly insisted Epstein “ought to go,” whereas anti-money laundering officers informed the financial institution to “exit this relationship.” When Epstein’s since-convicted madam Ghislaine Maxwell tried to open an account in 2011 for a “private recruitment consulting enterprise,” she was flagged as a “Excessive Danger Shopper” on suspicion the exercise was associated to “Jeffrey.”
Erdoes met with former non-public banking head Jes Staley and two different executives between 2008 and 2013 in regards to the dangers he posed, in keeping with the grievance, and eventually dropped him as a consumer in 2013 after she discovered his withdrawals had been “precise money.”
The Virgin Islands, the place Epstein’s non-public island Little Saint James is positioned, sued JP Morgan in December, claiming it benefited financially from his crimes and that it did not report suspicious monetary exercise by way of routine regulatory filings that may in any other case have tipped off the federal government to the abuse happening in its territory.
JP Morgan has in flip sued Staley, accusing him of protecting up for Epstein. The financial institution has demanded he forfeit eight years of compensation and pay for its losses in each the Virgin Islands lawsuit and one other swimsuit filed by a bunch of Epstein’s alleged victims. Courtroom filings present Staley exchanged over 1,200 emails with Epstein, many referencing younger ladies.
The jet-setting predator, who died in a Manhattan jail cell in 2021 whereas awaiting trial on sex-trafficking costs, spent 15 years as a consumer in supposedly good standing at JP Morgan, regardless of his conviction in 2008 on costs of soliciting an underage prostitute.
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