Bank of America reaches $72.5m settlement in Epstein victims lawsuit

Bank of America has agreed to pay $72.5 million to settle a lawsuit brought by victims of Jeffrey Epstein, who accused the financial institution of enabling the disgraced financier’s sex trafficking operation.

The proposed class-action lawsuit, filed in October by a Florida woman, alleged that the bank ignored clear warning signs about Epstein’s activities. The plaintiff, who says she was abused by Epstein on at least 100 occasions between 2011 and 2019, held two accounts at Bank of America at the direction of Epstein’s business team.

The lawsuit claimed the bank possessed “a plethora of information regarding Epstein’s sex trafficking operation but chose profit over protecting the victims.”

In court documents, Bank of America stated that the settlement represents “no admission of liability” or “wrongdoing” on its part.

The agreement was reached earlier this month, though details remained undisclosed until documents were filed Friday in federal court in New York. The settlement now awaits judicial approval.

Sigrid McCawley, an attorney representing the victims, described the resolution as “one more step on the road to much deserved justice” in a statement to the BBC.

This marks the third major settlement between a financial institution and Epstein’s victims. JPMorgan Chase previously agreed to a $290 million payout, while Deutsche Bank settled for $75 million.

The lawsuit, filed on behalf of a plaintiff identified as “Jane Doe,” cited what it described as “incredibly alarming and erratic banking behaviour” in her Bank of America accounts, which were managed by Epstein’s team.