In a recent filing to Manhattan federal court, the US Virgin Islands has accused JP Morgan Chase of paying Jeffrey Epstein, the disgraced late financier, $25 million and turning a blind eye to his involvement with "nymphettes." The US territory has been investigating Epstein's ties to the bank for several months and has uncovered hundreds of thousands of pages of internal bank documents. The investigation also involved depositions of current and former banking staff.
JP Morgan Chase responded to the allegations by claiming that the US Virgin Islands was also culpable for enabling Epstein's sexual abuse of young women and teenage girls. The bank accused the territory of facilitating visas that allowed Epstein to bring victims and of ignoring his arrival at local airports accompanied by young women and girls. Both parties presented their accusations in dueling Monday night filings.
The US Virgin Islands is suing JP Morgan Chase for a minimum of $190 million, alleging that the bank disregarded warning signs about Epstein's illicit activities due to his wealth and profitability as a client from 1998 to 2013. The territory is seeking a judge's declaration that JP Morgan Chase participated in Epstein's sex trafficking and obstructed law enforcement. A trial is scheduled for October 23.
The US Virgin Islands' filing included new and disturbing details about the bank's alleged conduct. It revealed that JP Morgan Chase made payments totaling over $25 million to Ghislaine Maxwell, Epstein's associate, and hundreds of thousands of dollars to his victims. Additionally, the filing quoted a September 2012 email from a senior JP Morgan Chase executive to Mary Erdoes, the bank's current asset and wealth management chief, comparing another client's house to Epstein's. The executive remarked that the client's house reminded him of Epstein's residence, but was more tasteful and had fewer "nymphettes." Erdoes responded with a shocked "Wow."
JP Morgan Chase, on the other hand, is seeking a judge's declaration that the US Virgin Islands should not be allowed to seek monetary relief, and that the territory's claim of the bank obstructing law enforcement should be denied. The bank has criticized the US Virgin Islands for maintaining a close relationship with Epstein, alleging that top officials granted him tax breaks and waived sex-offender monitoring requirements in exchange for financial contributions and gifts. Epstein owned two private islands within the US territory and allegedly purchased the second island to prevent surveillance of his sexual abuses on the first.
It is worth noting that the US Virgin Islands has already received over $105 million from Epstein's estate and reached a settlement with billionaire Leon Black, a former friend of Epstein. Furthermore, JP Morgan Chase agreed last month to pay $290 million to settle a separate lawsuit brought by dozens of Epstein's accusers. Epstein himself died in a Manhattan jail in August 2019 while awaiting trial for sex trafficking charges.
