JPMorgan & Chase (JPM) announced Tuesday that it has reached a $75 million settlement with the US Virgin Islands, culminating a legal battle over alleged involvement in a sex trafficking scheme led by convicted sex offender Jeffrey Epstein. The settlement allocates $20 million for attorney fees to the Motley Rice firm, while the remaining $55 million will be directed towards charities and support for victims of the Epstein case.
In a signed agreement, JPMorgan explicitly acknowledged no wrongdoing and expressed regret over any association with Epstein. The institution asserted that it would not have sustained business ties with Epstein had they suspected any use of the bank for criminal activities.
The resolution follows the US Virgin Islands’ filing of a lawsuit against the JPMorgan in December 2020, seeking reparations of up to $190 million. The lawsuit contended that JPMorgan disregarded warnings and evidence concerning the disgraced financier.
Under the settlement’s terms, JPMorgan will contribute $30 million to charitable organizations aiding survivors of sexual exploitation and combatting sex trafficking. An additional $25 million will be directed towards the US Virgin Islands government to bolster infrastructure and law enforcement efforts against human trafficking and related criminal endeavors within its jurisdiction.
A separate settlement was also reached with JPMorgan executive James “Jes” Staley, who collaborated with Epstein during his tenure overseeing the asset management unit at the firm. Staley’s legal representatives contested allegations that he had provided misleading information to executives regarding his dealings with Epstein.
Previously, the bank had already settled a US class action lawsuit for $290 million, filed by hundreds of alleged victims of Epstein. They claimed harm resulting from the bank’s association with Epstein. JPMorgan, alongside Deutsche Bank, will collectively disburse $365 million in a comprehensive settlement, closing their connections to Epstein, which ceased in 2013.
JPMorgan CEO Jamie Dimon, in a May 26 deposition addressing his knowledge of Epstein’s financial transactions during the latter’s extended tenure as a JPMorgan customer, affirmed he had never met or conversed with Epstein.
This settlement represents a pivotal step towards rectifying the repercussions of billionaire Jeffrey Epstein’s criminal acts. Epstein, who pleaded guilty in 2008 to solicitation of a minor for prostitution, faced renewed legal action in 2019 on child sex trafficking charges. His subsequent demise in prison was deemed a suicide.
The agreement signifies a concerted effort to redress the victims of Epstein’s offenses by providing financial relief. Moreover, it underscores a dedication to preventing future transgressions through investments in infrastructure, law enforcement, and comprehensive services for survivors and victims.
Source: Yahoo Finance
