JP Morgan reaches settlement with Epstein victims after class action lawsuit reveals how bank ignored warnings he was a ‘high-risk customer’ and for years
- The bank has done business with Epstein for years despite being designated a ‘high-risk client’ in 2006
- A lawsuit was filed on behalf of a woman, but the settlement rewards up to 100
JP Morgan has settled a lawsuit brought on behalf of victims of Jeffrey Epstein which revealed how the bank ignored warnings that he was a ‘high risk’ customer and continued to do business with him for years.
The bank announced the settlement on Monday without disclosing the amount it agreed to pay.
The lawsuit was filed on behalf of a woman, but the settlement rewards anyone victimized by Epstein, a known pedophile who killed himself in prison in 2019.
The number of victims likely to benefit from the settlement could reach 100.
The bank announced the settlement on Monday without disclosing the amount it agreed to pay
“The parties believe that this settlement is in the best interests of all parties, especially the survivors who were victims of Epstein’s horrific abuse,” said a statement issued Monday morning by JP Morgan.
Epstein was a client of the bank between 1998 and 2013 – seven years after he was arrested and convicted of using underage prostitutes in Palm Beach, Florida.
Bank workers were concerned about Epstein’s large cash withdrawals, some of which were used to pay underage girls in exchange for sex, but he was allowed to remain a customer for years.
According to depositions that were part of the trial, he regularly withdrew between $40,000 and $80,000 a month.
Epstein is shown with former private banking chief Jef Staley (far left), Larry Summers, Bill Gates (second right) and Boris Nikolic (far right)
The withdrawals raised alarm bells among compliance officials, but he explained them by saying they were fuel and landing charges for his private plane.
The bank is still embroiled in a separate lawsuit brought by the government of the US Virgin Islands, where Epstein kept a house and allegedly abused dozens of girls.
Last year, the same lawyers successfully sued Deutsch Bank – which took on Epstein as a client after JP Morgan finally severed ties with him in 2013 – over the same allegations.
Deutsch Bank settled a provisional sum of $75 million and was fined $100 million by New York regulators.
Epstein died in custody awaiting trial on sex trafficking charges. In his absence, the only person to face criminal charges for his crimes is Ghislaine Maxwell.
She is currently serving a 20-year prison sentence after being found guilty of facilitating the abuse.
“The parties believe that this settlement is in the best interests of all parties, especially the survivors who were victims of Epstein’s horrific abuse,” said a statement issued Monday morning by JP Morgan.
