Jes Staley Asks Court to Dismiss JPMorgan Lawsuit Linked With Epstein

Then-Barclays' CEO Jes Staley arrives at 10 Downing Street in London, on Jan. 11, 2018. Peter Nicholls/Reuters

Former JPMorgan Chase executive Jes Staley has asked a U.S. court to dismiss a lawsuit filed against him by the bank that sought to hold him responsible for liabilities arising from Jeffrey Epstein’s sex-trafficking operations.

JPMorgan wants Staley to forfeit eight years of his compensation as well as cover the bank’s losses in two lawsuits it’s facing due to working with Epstein. In a filing made Monday night at a federal court in Manhattan, Staley, who befriended Epstein, said he wasn’t facing allegations that his services at JPMorgan acted as a “lifeblood” of Epstein’s sex-trafficking operations or that he knew about any related suspicious activity in Epstein’s accounts.

Facing failures in its anti-money laundering compliance, the bank is now seeking to “change the narrative and deflect blame” by accusing Staley, his attorney Brendan Sullivan said in the filing, according to Bloomberg.

Even though criminal inquiries related to Epstein’s sex-trafficking operations emerged several years back, JPMorgan is only making claims against Staley now, the filing said.

“After all, numerous JPMorgan employees knew that Mr. Staley had a relationship with Epstein, and the bank had access to Mr. Staley’s communications from his tenure that JPMorgan now alleges reflect that relationship.”

While arguing that JPMorgan’s case against Staley be dismissed, Sullivan pointed out that his client’s employment contract with the bank precludes him from indemnification claims. Staley also had no decision-making powers over Epstein’s accounts with JPMorgan, the filing stated.

“What is certain is that the bank cannot treat Mr. Staley as its public relations shield by asserting claims that lack any legal (or factual) basis.”

Of the two lawsuits facing JPMorgan, one was filed by the U.S. Virgin Islands where Epstein owned a private island. The other lawsuit was filed by a woman accusing Epstein of sexual abuse. Both lawsuits seek monetary damages.

JPMorgan’s lawsuit against Staley is scheduled for trial on Oct. 23. On the same day, the two lawsuits against JP Morgan will also enter trial.

The Female Plaintiff Case

The female plaintiff’s lawsuit against JPMorgan was filed in late 2022. It accused Staley of allegedly protecting Epstein while also participating in sexual assaults against her when Staley was employed at the bank. Staley worked with JPMorgan between 1979 and 2013.

JPMorgan then filed a lawsuit against Staley on March 8, insisting that if the allegations about his ties with Epstein are proven true, Staley should be held liable in the lawsuit the bank faces from the female plaintiff.

JPMorgan wants Staley to return back his compensation between 2006 and 2013, which amounts to more than $80 million.

The female plaintiff also accused JPMorgan of aiding Epstein’s trafficking operations by allowing him to remain a client and enabling Epstein to pay off his victims.

Virgin Islands Lawsuit

The lawsuit by the U.S. Virgin Islands was filed against JPMorgan in January. It alleges that Epstein sent funds to his victims by wiring the money from a JPMorgan account with full knowledge of executives like Staley.

The bank reportedly managed 55 separate accounts for Epstein between 1998 and 2013. JPMorgan cut off Epstein’s accounts in 2013, just after Staley had left the bank.

However, authorities from the Virgin Islands claim that JPMorgan had three opportunities in 2006, 2010, and 2011 to cut off ties with Epstein, but chose not to do so.

“JPMorgan knew early on that Epstein was an extremely high-risk client, but decided, at multiple points during the relationship, to continue servicing Epstein’s accounts because of his vast wealth and connections with other high-net-worth individuals,” prosecutors state.

The Epoch Times has reached out to JPMorgan for comment.