[1/3] Amenities at Little St. James Island, one of many properties of financier Jeffrey Epstein, are seen in an aerial view, close to Charlotte Amalie, St. Thomas, U.S. Virgin Islands July 21, 2019. REUTERS/Marco Bello
NEW YORK, Might 23 (Reuters) – JPMorgan Chase & Co (JPM.N) on Tuesday sought to shift blame for failing to snuff out intercourse crimes dedicated by the late Jeffrey Epstein, accusing the U.S. Virgin Islands of harboring and shielding the disgraced financier as he abused younger girls and ladies over 20 years.
The most important U.S. financial institution made the accusation in a closely redacted submitting in Manhattan federal courtroom, the place the U.S. Virgin Islands is suing to carry it answerable for offering banking providers to Epstein from 1998 to 2013.
JPMorgan stated Epstein had a “quid professional quo” relationship with the U.S. Virgin Islands’ highest-ranking officers, bestowing cash and favors in trade for tens of millions of {dollars} of tax incentives and looking out the opposite approach at his crimes.
Epstein, a registered intercourse offender, allegedly abused girls and ladies on a personal island he owned inside the territory, and purchased a second island close by to maintain individuals from spying on him.
JPMorgan stated he additionally “exerted affect” over native intercourse offender laws, and that inspections of his residence have been “cursory” at finest.
“For 20 years, and for lengthy after JPMC exited Epstein as a shopper, the entity that the majority instantly failed to guard public security and most actively facilitated and benefited from Epstein’s continued felony exercise was the plaintiff on this case—the USVI authorities itself,” the financial institution stated.
A spokesperson for the territory’s legal professional basic’s workplace referred to as the submitting “an apparent try to shift blame away from JPMorgan Chase, which had a obligation to report the proof in its possession of Epstein’s human trafficking, and failed to take action.”
Tuesday’s submitting opposed the U.S. Virgin Islands’ effort to strike 4 JPMorgan defenses to the lawsuit that allegedly “threaten to reveal” its relationship with Epstein, together with that the territory had “unclean fingers.”
Epstein, 66, died in a Manhattan jail in August 2019 whereas awaiting trial for intercourse trafficking. New York Metropolis’s health worker referred to as his loss of life a suicide.
‘CLOSE TIES’
JPMorgan stated Epstein had “shut ties” to the territory’s final three governors, together with incumbent Albert Bryan.
It additionally stated Epstein’s “major conduit” for spreading cash and affect had been former First Woman Cecile de Jongh, whose husband was governor from 2007 to 2015. She didn’t instantly reply to an e mail request for remark.
In keeping with the submitting, Epstein additionally backed Congresswoman Stacey Plaskett, the territory’s delegate to the U.S. Congress, who as soon as labored for company that awarded his tax advantages.
“Jeffrey Epstein’s conduct was despicable,” Plaskett stated in a press release. “As I’ve said up to now, contributions made by Jeffrey Epstein to my marketing campaign have been donated to girls and children-focused non-profits within the Virgin Islands.”
Bryan is scheduled to testify below oath in a June 6 deposition. The legal professional basic’s workplace had no touch upon his behalf.
JPMorgan additionally faces a proposed class motion by girls who say Epstein sexually abused them and that the financial institution ought to have lower ties to Epstein sooner.
The financial institution is individually suing Jes Staley, who as soon as led its asset administration enterprise and had been pleasant with Epstein, to have him cowl its losses within the different two lawsuits.
Staley has expressed remorse for befriending Epstein however denied figuring out about his crimes, and accused JPMorgan of constructing him a scapegoat for its personal supervisory failures.
The three lawsuits are scheduled for an Oct. 23 trial.
Deutsche Financial institution AG (DBKGn.DE), the place Epstein was a shopper from 2013 to 2018, final week settled a lawsuit by his accusers for $75 million.
The case is Authorities of the U.S. Virgin Islands v. JPMorgan Chase Financial institution NA, U.S. District Court docket, Southern District of New York, No. 22-10904.
Reporting by Jonathan Stempel in New York; Enhancing by David Gregorio
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