Global Courant
JPMorgan Chase has agreed to settle a lawsuit accusing the Wall Street giant of facilitating financier Jeffrey Epstein’s sex trafficking venture.
The preliminary settlement would resolve a lawsuit filed last year in federal court by a woman identified as “Jane Doe 1,” who claimed the financial institution was “turning a blind eye” to Epstein’s conduct. The lawsuit also alleged that the bank had failed to comply with federal laws for years while providing him with services and profiting from his business.
“The parties in Jane Doe 1 v. JPMorgan Chase Bank, NA have notified the court that they have reached an agreement in principle to settle the alleged class action lawsuit related to the crimes of Jeffrey Epstein, which is subject to court approval ,” JPMorgan Chase and the victims’ attorneys said in a joint statement.
“The parties believe that this settlement is in the best interests of all parties, especially the survivors who were victims of Epstein’s terrible abuse,” the bench and attorneys said.
The unnamed woman filed the lawsuit on behalf of a “large number” of Epstein victims. The judge overseeing the case ruled Monday morning that the case could proceed as a class action lawsuit.
“Any association with him was a mistake and we regret it. We would never have continued to do business with him if we believed he was using our bank in any way to help commit heinous crimes,” JPMorgan Chase said in a separate statement.
Epstein was a client of JPMorgan Chase for 15 years until the bank cut ties with him in 2013.
In 2008, Epstein was convicted of acquiring a child for prostitution. He later died by suicide in 2019 at a Manhattan correctional center, where he was held on federal sex trafficking charges.
“The settlements reached are both life-changing and historic for the survivors,” said Sigrid McCawley, the victims’ attorney and managing partner at Boies Schiller Flexner. sex trafficking company and Wall Street’s largest banks, is resolutely used for good.”
McCawley added: “The settlements indicate that financial institutions have an important role to play in detecting and stopping sex trafficking.”
The settlement comes just over a week after JPMorgan Chase head Jamie Dimon was ousted in the case. During his statement, Dimon said he never met Epstein or even heard from him until Epstein’s arrest in 2019.
JPMorgan Chase is still facing a similar lawsuit filed in the US Virgin Islands over its ties to Epstein. The convicted sex offender had a residence on the territory. The lawsuit will go to court in October and seek damages.
JPMorgan Chase has denied liability.
Brad Edwards, another attorney for the victims, said that “the information and support that the U.S. Virgin Islands and its legal team provided to the survivors was immensely valuable, and we recognize the importance of the government’s ongoing litigation against JPMorgan Chase to prevent future crimes. ”
The spokesman for the Attorney General of the Virgin Islands said they were “pleased to hear about the settlement,” adding that the territory “will continue with enforcement efforts to ensure full accountability for JPMorgan’s violations of law and prevent the bank from helping and benefits from human trafficking in the future.”
The bank is also litigating its own case against former JPMorgan Chase CEO Jes Staley. The financial institution sued Staley in March, saying he must be held liable for any financial penalties imposed by the lawsuits accusing the bank of enabling Epstein’s conduct.
