JPMorgan To Pay $75 Million To USVI To Settle Jeffrey Epstein Lawsuit

JPMorgan Chase (JPM.N) has reached a $75 million settlement agreement with the United States Virgin Islands (USVI) to resolve a lawsuit in which the bank has been accused of facilitating the sex trafficking activities of the late billionaire Jeffrey Epstein.

The settlement, achieved merely a month before the planned trial, is being celebrated as a momentous victory for survivors and state enforcement.  JPMorgan Chase is the latest bank in the United States.

US Virgin Islands Attorney General Ariel Smith said it serves as a stark reminder to Wall Street to fulfill their legal responsibilities in detecting and preventing human trafficking.

As part of the settlement with the United States Virgin Islands, JPMorgan has agreed to make several payments, including $30 million to support charitable organisations, $25 million to aid in the fight against human trafficking, and $20 million allocated for the territory’s lawyers.

Additionally,  JPMorgan reached a confidential settlement with Jes Staley, a former private banking chief who had a close association with Epstein – the bank held responsible for maintaining him as a client. From 1998 to 2013, Epstein had been a client of JPMorgan.

Epstein, who died in a New York prison cell in August  2021, was a wealthy financier charged with sex trafficking and conspiracy. He was accused of running a “vast network” of underage girls for sex.

The American owned properties in the United States, Paris and Little St. James Islands in the United States Virgin Islands.

Lawsuits filed against JPMorgan raised concerns about the bank’s supervision of clients. These legal actions allege that the bank disregarded warning signs and internal alerts regarding Epstein, such as suspicious withdrawals supposedly intended for payment to young women and teenage girls.

While not admitting any wrongdoing, JPMorgan reached a settlement in June to resolve claims made by numerous individuals who accused Epstein. The settlement amount agreed upon was $290 million.

The estate of Epstein reached a separate settlement with the United States Virgin Islands, amounting to at least $105 million.