Bank of America and BNY Mellon Face Lawsuit Over Jeffrey Epstein Financial Ties

Post by : Saif Nasser

Two of the largest banks in the United States — Bank of America and the Bank of New York Mellon (BNY) — are facing serious legal trouble after being accused of helping the late financier and convicted sex offender Jeffrey Epstein. A woman who says she was one of Epstein’s victims filed a lawsuit claiming that these banks supported his crimes by allowing him to use their financial systems for years without raising alarms.

The lawsuit, filed in New York, alleges that both banks “knowingly provided financial services” that helped Epstein carry out his sex trafficking operations. The woman, known only as Jane Doe to protect her identity, is seeking compensation for the suffering she endured over many years.

Victim Claims Banks Helped Epstein’s Operations

Jane Doe said she first met Jeffrey Epstein in 2011 when she was living in Russia. According to her complaint, Epstein used his money and power to control her life. She said he sexually abused her many times and forced her to engage in sexual acts with other women over several years, from 2011 to 2019.

In her lawsuit, Jane Doe argues that the bank should have noticed signs that something illegal was happening. She said she opened a Bank of America account in 2013 under the instructions of Epstein’s accountant, Richard Kahn, who often sent her money through that account to pay her rent and other expenses.

Later, in 2015, Kahn’s assistant informed her that she would be added to the payroll of a fake company linked to Epstein. Jane Doe said she received payments through her account but had no idea what the purpose of those transactions was.

Her lawyers argue that Bank of America should have recognized these payments as suspicious because Epstein had already been convicted of sex-related crimes in Florida in 2008. According to the lawsuit, the bank failed to report these suspicious transactions to authorities.

BNY Mellon Accused of Supporting Epstein’s Modeling Agency Links

Jane Doe also filed a separate lawsuit against BNY Mellon, accusing the bank of giving financial support to a modeling agency known as MC2. This agency, she said, was a front for Epstein and French modeling agent Jean-Luc Brunel, who used it to traffic young women.

The lawsuit claims that BNY Mellon handled $378 million in payments linked to Epstein’s network of trafficked women. The bank also allegedly provided a line of credit to MC2, even though it should have recognized warning signs of exploitation.

Brunel, who was later arrested in France in 2020 for his connection to Epstein, was found dead in his jail cell two years later.

Both lawsuits state that these bank should have filed Suspicious Activity Reports with the U.S. Treasury Department. Such reports are mandatory when a financial institution sees transactions that could involve illegal activities. According to Jane Doe’s lawyers, if the banks had reported these activities, law enforcement might have been able to stop Epstein much earlier.

Background on Epstein’s Crimes

Jeffrey Epstein was a wealthy financier who was known for his connections to powerful figures in business and politics. In 2019, he was arrested on federal charges of sex trafficking of minors. While awaiting trial in a New York jail, Epstein died by suicide, according to official reports.

His death sparked widespread public anger and several conspiracy theories, as many believed that influential people connected to him wanted to keep secrets hidden.

Since then, dozens of women have come forward accusing Epstein and his network of years of abuse. Several lawsuits have been filed against his estate and against companies that allegedly helped him move money used to fund his crimes.

Other Banks Have Already Paid Settlements

The law firms representing Jane Doe — Boies Schiller and Edwards Henderson — have already won settlements from other banks involved in similar cases. In the past two years, they secured a $75 million settlement from Deutsche Bank and a $290 million settlement from JPMorgan Chase.

These banks were also accused of ignoring suspicious financial activity linked to Epstein. Although they agreed to pay large sums to victims, they did not admit to any wrongdoing.

Bank of America and BNY Mellon both declined to comment on the new lawsuits.

Congress Investigates the Epstein Case

Epstein’s story continues to cause political problems for the U.S. government. President Donald Trump’s administration has been criticized for not keeping its promise to release full details of the Justice Department’s investigation into Epstein’s network.

During his 2024 presidential campaign, Trump said he would make these files public. But this year, his administration reversed that decision, leading to anger among his supporters and lawmakers.

The House Oversight Committee in Congress has now launched an investigation to uncover how Epstein was able to operate for so long and whether government agencies or financial institutions failed to act.

Attorney Sigrid McCawley, one of Jane Doe’s lawyers, said the new lawsuits are part of a broader effort to hold powerful institutions accountable. “As Congress works to uncover how Jeffrey Epstein managed to run his criminal network for decades without detection, this lawsuit takes another important step toward justice for survivors,” she said in a statement.

Why This Case Matters

The new lawsuits raise serious questions about how much responsibility large banks have when dealing with wealthy clients who may be committing crimes. Banks are legally required to monitor for illegal activity, especially when customers have a known criminal history.

If Bank of America and BNY Mellon are found to have ignored warning signs, they could face large financial penalties and serious damage to their reputations.