© Reuters. FILE PHOTO: JPMorgan Chase Financial institution is seen in New York Metropolis, U.S., March 21, 2023. REUTERS/Caitlin Ochs//File Photograph
By Luc Cohen
NEW YORK (Reuters) – A lawyer for the U.S. Virgin Islands mentioned on Thursday that JPMorgan Chase (NYSE:) advised U.S. authorities it processed greater than $1 billion for Jeffrey Epstein over 16 years.
JPMorgan reported the transactions as suspicious to the U.S. Treasury Division following Epstein’s suicide in 2019, Mimi Liu, a lawyer for the territory, mentioned at a listening to regarding its lawsuit in opposition to the most important U.S. financial institution.
Reuters didn’t view the financial institution’s disclosures to the Treasury, which aren’t public. A JPMorgan spokesperson declined to remark.
Epstein had been a JPMorgan consumer from 1998 to 2013, when the financial institution fired him. The disgraced financier had been awaiting trial on intercourse trafficking costs on the time of his loss of life.
The U.S. Virgin Islands, the place Epstein owned two personal islands, is suing JPMorgan for at the very least $190 million and sure rather more, saying it ignored crimson flags that Epstein was operating a intercourse trafficking operation as a result of he was a profitable consumer.
JPMorgan has denied understanding that Epstein was operating a intercourse trafficking operation, and has faulted the territory for having a comfortable relationship with him.
Liu talked about the $1 billion quantity, which had not been beforehand disclosed, in arguing that U.S. District Decide Jed Rakoff in Manhattan ought to discover earlier than the case goes to trial that the financial institution participated in Epstein’s intercourse trafficking.
She mentioned no cheap juror may discover that JPMorgan was at the hours of darkness about its jet-setting consumer.
“JPMorgan was a full service financial institution for Jeffrey Epstein’s intercourse trafficking,” Liu mentioned.
Felicia Ellsworth, a lawyer for JPMorgan, mentioned it was not acceptable for the decide to find out the query of the financial institution’s information earlier than trial, as a result of present and former workers have testified that they had been unaware of Epstein’s intercourse trafficking.
She mentioned JPMorgan notified the Treasury Division at the very least six instances about Epstein’s transactions, together with as early as 2002.
Ellsworth additionally disputed the U.S. Virgin Islands’ declare that JPMorgan obstructed investigations into Epstein, saying the financial institution had requested federal authorities about their very own probes into his conduct.
That’s “the polar reverse of making an attempt to impede,” she mentioned.
An Oct. 23 trial is scheduled. Rakoff mentioned he would determine by the top of September whether or not to resolve main authorized disputes sooner.
In June, Rakoff preliminarily authorised JPMorgan’s $290 million settlement with ladies who say Epstein abused them.
Deutsche Financial institution, the place Epstein was a consumer from 2013 to 2018, had earlier reached a $75 million settlement along with his accusers.
