JPMorgan’s Settlement with Epstein Accusers Faces Objection from US States
JPMorgan’s Settlement Draws Objection from US States
JPMorgan Chase’s $290 million settlement with Jeffrey Epstein’s accusers has been met with objection from several U.S. states. These states argue that the agreement could limit their ability to seek compensation for victims of sexual abuse. The attorneys general of 16 states and Washington, D.C. expressed their concerns in a letter filed in Manhattan federal court.
Settlement Language Criticized
The attorneys general raised issues with the settlement language that prevents any sovereign or government entity from pursuing damages related to sex trafficking by Epstein and his associates. They argue that including such language without their consent would discourage them from seeking justice for sex trafficking victims, not just those associated with Epstein, under the federal Trafficking Victims Protection Act. They also highlighted that Deutsche Bank’s $75 million agreement with Epstein’s accusers did not contain this problematic wording.
States Demand Compensation for Victims
New Mexico Attorney General Raul Torrez emphasized the importance of fully compensating Epstein’s surviving victims for the significant harm they have endured. However, he criticized the settlement agreement for seeking to release the states’ claims for victim-specific relief. The attorneys general of Arizona, California, Connecticut, Delaware, the District of Columbia, Hawaii, Illinois, Maryland, Minnesota, Mississippi, New York, Oregon, Pennsylvania, Tennessee, Utah, and Vermont also signed the letter, expressing their support for seeking appropriate compensation for the victims.
Response from JPMorgan and Epstein’s Accusers
JPMorgan has not responded to requests for comment regarding the objection raised by the states. Similarly, lawyers representing Epstein’s accusers have not provided any immediate response to these concerns.
Approval Process and Hearing
The settlement requires approval from U.S. District Judge Jed Rakoff. In response to the states’ objection, Judge Rakoff has ordered JPMorgan and Epstein’s accusers to address the concerns by November 6. A hearing to consider final approval of the settlement is scheduled for November 9, as indicated in court records.
The Settlement Background
The settlement resolves claims that JPMorgan, the largest bank in the United States, turned a blind eye to Epstein’s sex trafficking activities due to his status as a lucrative client from 1998 to 2013. JPMorgan terminated his accounts in 2013. Last month, JPMorgan separately agreed to pay $75 million to settle related claims from the U.S. Virgin Islands, where Epstein owned a home.
Epstein’s Death and Case Information
Jeffrey Epstein died in August 2019 while awaiting trial for sex trafficking in a Manhattan jail cell. The New York City medical examiner ruled his death a suicide. The case related to the settlement is Doe 1 v JPMorgan Chase & Co (NYSE:), U.S. District Court, Southern District of New York, No. 22-10019.
