by The victims of disgraced financier Jeffrey Epstein formally petitioned a US federal judge in New York on Thursday night to approve a $290 million settlement with JPMorgan Chase over allegations that the bank turned a “blind eye” to Epstein’s conduct and continued to finance him.
Attorneys for the victims said the cash settlement is “within the range of reasonable resolutions” and is “appropriate and in the best interest” of their clients, according to a memorandum filed in the case in US District Court. for the Southern District of New York.
The request comes after victims of Epstein and the Wall Street giant agreed last week to settle a lawsuit filed in federal court last year by a woman identified as “Jane Doe 1,” who alleged that the bank allowed the Epstein’s sex trafficking enterprise.
The unidentified woman sued on behalf of a large number of Epstein’s victims. A judge overseeing the case ruled last week that it could move forward as a class action lawsuit.
Epstein, who was convicted in 2008 of hiring someone under 18 for prostitution, was a client of JPMorgan Chase for 15 years until the bank severed ties with him in 2013.
He died by suicide in 2019 at a New York City correctional facility, where he was being held on federal sex trafficking charges.
JPMorgan Chase has denied responsibility, saying in a statement last week that it “would never have continued to do business with him if we believed he was using our bank in any way to help commit heinous crimes.”
If the judge approves the settlement, a claims administrator will be selected to administer the settlement to victims, according to the court document. The parties recommended Simone Lelchuk, who was named administrator of Deutsche Bank’s settlement with Epstein’s victims that amounted to $75 million.
Lelchuk, according to the filing, is “uniquely positioned to ensure cost efficiencies that will allow the maximum amount of settlement funds to be distributed” to victims.
It will evaluate the victims’ claims considering the severity, type and duration of their alleged abuse, their cooperation with investigations and litigation, and the degree of recovery in the settlement with Deutsche Bank, according to the court document.
Lawyers for the victims said they planned to request 30% of the settlement amount. The lawyers said they reviewed hundreds of thousands of documents, conducted 15 fact witness statements and four expert statements amid litigation, according to a court document.
Any remaining amount will be distributed to a charity agreed upon by both parties.
JPMorgan Chase’s legal woes are far from over, as it is still facing a similar lawsuit brought by the US Virgin Islands, where Epstein had a residence. The lawsuit is scheduled to go to trial in October and seeks money damages. The bank has denied its responsibility.
Earlier this week, JP Morgan Chase alleged in a court filing that the Virgin Islands gave Epstein more than $300 million in tax incentives and waived sex offender monitoring requirements in exchange for money and gifts to top officials. territory range.
Venetia Velázquez, a spokeswoman for the USVI AG office, said that “JPMorgan Chase is once again attempting to select information to divert and deflect blame for its failure to share information in its possession about the illegal activities of Jeffrey Epstein.”
The Virgin Islands alleges that JPMorgan Chase CEO Jamie Dimon may have ordered the 2019 review of the bank’s ties to Epstein, according to court documents filed this week. In Dimon’s May statement, he said that he had never met Epstein and had never heard of him until Epstein’s arrest in July 2019.
This week, the Virgin Islands featured a slew of internal emails from JPMorgan Chase as evidence in the case, including an email written in July 2019 by the bank’s head of financial crime compliance, which said “senior management” requested an “analysis” of the bank’s relationship with Epstein.
The emails also included messages between Epstein and former JPMorgan Chase executive Jes Staley. The bank sued Staley in March saying he should be held responsible for the financial penalties he faces from the lawsuits. He did not respond to a request for comment on Friday.
JPMorgan Chase declined to comment late Friday.
