JPMorgan could face expanded lawsuit over Jeffrey Epstein ties


By Jonathan Stempel

NEW YORK (Reuters) – The U.S. Virgin Islands desires to increase its lawsuit accusing JPMorgan Chase & Co of aiding in Jeffrey Epstein’s intercourse trafficking in women and younger ladies, including a brand new obstruction cost and a declare that financial institution executives joked concerning the late financier.

In a Monday submitting in Manhattan federal courtroom, the territory mentioned Epstein’s habits had been “so broadly identified” at JPMorgan, the place he was a shopper from 2000 to 2013, that senior executives “joked about Epstein’s curiosity in younger women.”

The obstruction cost issues JPMorgan’s alleged effort to thwart enforcement of a U.S. anti-trafficking legislation by processing giant money withdrawals for Epstein and his associates, with the “function” of serving to Epstein evade felony legal responsibility.

Among the many beneficiaries of Epstein’s largesse was his former girlfriend Ghislaine Maxwell, who obtained greater than $23 million from 1999 to 2002, the territory mentioned.

JPMorgan didn’t instantly reply to requests for remark after market hours.

The U.S. Virgin Islands wants permission from U.S. District Choose Jed Rakoff in Manhattan to amend its grievance.

Its lawsuit seeks unspecified damages for Epstein’s alleged sexual abuse of younger women and girls on Little St. James, a personal island he owned.

The proposed grievance refers to a latest deposition from Mary Erdoes, JPMorgan’s head of asset and wealth administration, in closely redacted type.

Chief Govt Jamie Dimon is predicted to be deposed in Could. Neither Dimon nor Erdoes has been accused of wrongdoing.

JPMorgan is individually suing Jes Staley, its former non-public banking chief and later Barclays Plc’s chief government, for concealing what he knew about Epstein.

On March 20, Rakoff rejected JPMorgan’s bid to dismiss lawsuits by the U.S. Virgin Islands and Epstein’s accusers.

He additionally refused to dismiss a lawsuit by Epstein’s accusers towards Deutsche Financial institution AG, the place Epstein was a shopper from 2013 to 2018.

Epstein killed himself at age 66 in a Manhattan jail cell in August 2019 whereas awaiting trial on intercourse trafficking costs.

Maxwell is interesting her conviction and 20-year jail sentence, which she is serving, for aiding in Epstein’s abuses.

The circumstances within the U.S. District Court docket, Southern District of New York are: Jane Doe 1 v Deutsche Financial institution AG et al, No. 22-10018; Jane Doe 1 v JPMorgan Chase & Co, No. 22-10019; Authorities of the U.S. Virgin Islands v JPMorgan Chase Financial institution NA, No. 22-10904; and JPMorgan Chase Financial institution NA v Staley, in Nos. 22-10019 and 22-10904.

(Reporting by Jonathan Stempel in New York; Enhancing by David Gregorio)

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