Breaking News & Top Stories


JPMorgan sues Jes Staley for damages tied to Epstein lawsuits

JPMorgan Chase is suing Jes Staley, a former prime government, in an try to make him responsible for any penalties the US financial institution might need to pay whether it is discovered to have facilitated Jeffrey Epstein’s intercourse trafficking crimes in two high-profile lawsuits.

Staley, who’s alleged within the lawsuits to have “personally noticed” Epstein abusing ladies, and to have “hung out” with younger women on the disgraced financier’s properties, didn’t disclose this to JPMorgan, the financial institution claimed in a courtroom submitting made in Manhattan federal courtroom on Wednesday.

He didn’t make the disclosures “regardless of having a fiduciary obligation” to inform JPMorgan and regardless of the financial institution “asking him to supply his views as as to whether [it] ought to retain Epstein as a shopper”, the lender alleged.

Within the criticism, attorneys for JPMorgan declare the lender was deceived by Staley, who allegedly protected Epstein’s relationship with the financial institution and in doing so violated its code of conduct.

“Staley repeatedly deserted the pursuits of [the bank] in pursuit of his personal private pursuits and advantages and people of Epstein,” the criticism stated.

Kathleen Harris, a lawyer for Staley, declined to touch upon JPMorgan’s swimsuit.

The lawsuit from JPMorgan marks the most recent escalation in an more and more contentious authorized battle over the Wall Avenue financial institution’s connections to Epstein, who died by suicide in 2019 whereas awaiting trial on federal expenses that he sex-trafficked underage women.

The JPMorgan criticism insists the underlying allegations are “misplaced and with out benefit” however argues that if the lender is discovered liable then it’s Staley who ought to be on the hook for any damages. It is usually asking the courtroom to order Staley to return his compensation from what the financial institution described because the “time interval of his disloyalty”, from no less than 2006 till 2013.

JPMorgan paid Staley greater than $80mn from 2006 to 2011, in keeping with regulatory filings.

“The plaintiffs have made troubling allegations in regards to the conduct of our former worker Jes Staley, and if true he ought to be held liable for his actions,” JPMorgan stated in an announcement. “On the time, we couldn’t have imagined any of our staff would have interaction in the kind of conduct alleged.”

The detailed allegations about Staley had been first made in two separate civil instances towards JPMorgan, one introduced by an alleged Epstein sufferer and the opposite by the US Virgin Islands, the place the late financier had a house. Staley shouldn’t be a defendant in both lawsuit.

The alleged Epstein sufferer, generally known as Jane Doe, says in her lawsuit {that a} good friend of Epstein sexually assaulted her utilizing drive. JPMorgan stated on Wednesday that it believed the good friend was Staley.

Staley, a 66-year-old American, acquired to know Epstein whereas managing his cash at JPMorgan, the place he labored for greater than 30 years till 2013 — the identical 12 months that the financial institution terminated its relationship with Epstein.

Staley grew to become chief government of Barclays in 2015 however resigned six years later following a regulatory investigation within the UK into the way in which he characterised his relationship with Epstein.

Final month, the contents of a number of the 1,200 emails exchanged by Staley and Epstein had been made public as a part of the lawsuits, by which the 2 males made indirect references to Disney princesses and Staley talked in regards to the “hazard” in speaking his emotions to Epstein.

The partially redacted criticism additionally claimed Epstein had twice despatched Staley photos of younger ladies, though the photographs weren’t made public.

Brad Edwards, a lawyer for Jane Doe, stated the criticism towards Staley was JPMorgan “trying to deflect” blame.

“Each prime government knew precisely who Jeffrey Epstein was and selected to maintain him as a result of he was making them cash and cash was extra essential than the ladies being abused,” he stated.

Attorneys for Doe and the Virgin Islands have sought to acquire communications from longstanding JPMorgan chief government Jamie Dimon, in addition to drive him to supply sworn testimony. The financial institution has stated Dimon “was not concerned in any choices relating to Epstein’s account” and declined to touch upon Edwards’ assertion.

A federal choose on Thursday granted the Virgin Islands’ request at hand over extra paperwork associated to Dimon.