Jeffrey Epstein property nearing agreement with US Virgin Islands

Attorneys for the property of infamous intercourse wrongdoer Jeffrey Epstein advised a decide withinside the U.S. Virgin Islands this week that they are “highly close” to resolving a civil case filed via way of means of the authorities of the island territory in opposition to the overdue financier’s property, as soon as worth over $650 million.
“We’ve been having extreme negotiations and talks for agreement. We are very, very, very close,” stated Gordon Rhea, a legal professional for Richard Kahn, a former accountant for Epstein and one of the property’s co-executors. “And I suppose one extra push … and we may be on the end line.”
The information of a ability deal got here on Wednesday in the course of a digital convention in Superior Court in St. Thomas, wherein the events endured to spar over the property’s prison costs and different fees. The listening to became the primary because the case became filed extra than years in the past via way of means of Denise George, the lawyer standard of the U.S. Virgin Islands.
Carol Thomas-Jacobs, a deputy lawyer standard, mentioned talks are ongoing and that development is being made, however stated there have been a few “sticky issues” that continue to be.
“We continue to be open to conducting agreement discussions till there may be a few resolution,” Thomas-Jacobs advised Superior Court Judge Harold Willocks. “We desire we are able to attain a resolution.”
Epstein died via way of means of suicide in jail in 2019 at the same time as looking ahead to trial in New York on conspiracy and infant intercourse trafficking charges.
The authorities’s case in opposition to the property, filed in January 2020 below the U.S. Virgin Islands’ racketeering statute, alleged that Epstein created a community of shell companies, charitable businesses and people that participated in and conspired with him in a decadeslong sample of crook interest tied to alleged intercourse trafficking of stripling ladies and younger girls.
“Epstein, thru and in affiliation with defendants, trafficked, raped, sexually assaulted and held captive underage ladies and younger girls at his residences withinside the Virgin Islands,” the grievance stated.
The authorities additionally contends that one in all Epstein’s U.S. Virgin Islands-primarily based totally businesses, Southern Trust Company, misrepresented the character of its paintings to fraudulently reap extra than $seventy three million in tax incentives.
After submitting the lawsuit, George located liens on all of Epstein’s residences, inclusive of non-public islands off the coast of St. Thomas, in addition to the property’s financial institution accounts, which correctly gave her workplace manage over the property’s cash.
The authorities has in view that despatched dozens of subpoenas to monetary establishments and people round the sector formerly related to Epstein, inclusive of billionaire traders Leon Black and Glenn Dubin, in addition to Epstein’s former paramour Ghislaine Maxwell, who became convicted of intercourse trafficking in federal courtroom docket overdue ultimate yr. Maxwell has a pending movement for a brand new trial primarily based totally on alleged juror misconduct.
The property, which filed a movement to brush aside the authorities’s lawsuit in 2020, has up to now refused to interact in any pretrial exchanges of files with the authorities, arguing that it’d be wasteful and needless to achieve this till a courtroom docket regulations on its movement to brush aside the claims.
The authorities filed an amended grievance ultimate yr that delivered the property’s co-executors, Khan and Epstein’s long-time lawyer Darren Indyke, as man or woman defendants, alleging that the pair have been “fundamental captains” in Epstein’s crook organization, who had “profited appreciably from their dating with Epstein.”
“This consists of their direct participation in surely all the commercial enterprise operations and monetary sports of Epstein’s trafficking community, inclusive of facilitating pressured marriages amongst Epstein’s sufferers to stable their immigration fame,” George stated in a announcement early ultimate yr.
Indyke and Kahn have been decided on via way of means of Epstein as co-executors in a will he up to date days earlier than his death. The files stipulate that every of them be paid $250,000 yearly for his or her control of the property. The men, thru their attorneys, have denied the allegations withinside the lawsuit and deny any involvement in misconduct via way of means of Epstein.
Daniel Weiner, an lawyer for the co-executors, advised ABC News via way of means of electronic mail in 2021 that Indyke and Kahn “categorically reject the allegations of misconduct made for the primary time these days via way of means of the Attorney General of the Virgin Islands concerning their purported roles withinside the so-called ‘Epstein Enterprise.'”
“Neither Mr. Indyke nor Mr. Kahn had any involvement in any misconduct via way of means of Mr. Epstein of any kind, at any time,” Weiner wrote. “It is distinctly regrettable that the Attorney General selected to degree fake allegations and to unfairly malign the Co-Executors’ recognition with none evidence or authentic foundation to achieve this.”
The authorities’s lawyer, Thomas-Jacobs, expressed challenge in the course of the listening to that the property’s price have been significantly dwindled over the past years, and defined a number of the fees of the property, inclusive of extra than $15 million in prison costs to date, as “extraordinarily outrageous.” Since its preliminary valuation of $656 million, the property’s coffers have diminished to $166 million, in step with the property’s maximum latest accounting in probate courtroom docket.
“We are actually worried that withinside the end, there may be no cash left for the human beings of the Virgin Islands,” she stated.
Those remarks drew a pointy rebuke from property lawyer Marc Weinstein, who cited that the property had paid $a hundred seventy five million in taxes and $one hundred fifty million to Epstein’s sufferers, which he stated accounted for the majority of the property’s fees over the past years.
“I count on no person at the authorities facet is announcing we should not pay the taxes and we should not pay out to the sufferers,” Weinstein stated. “They simply maintain throwing out the numbers to make it sound bad.”
The property currently filed an emergency movement for a launch of $1.three million in prison costs incurred normally for mediation with Epstein’s sufferers, that the authorities has to this point declined to pay, in step with courtroom docket records.
In a announcement to ABC News, George declined to touch upon the fame of negotiations, however stated the authorities is “determined, amongst different things, to deal with tax advantages that Epstein fraudulently received from the Government and People of the Virgin Islands and to defend property for Epstein sufferers who might not have resolved their civil claims.”
George’s announcement cited that the property has additionally refused to reveal the information of numerous trusts installed via way of means of Epstein, inclusive of the “1953 Trust,” the only entity indexed in Epstein’s ultimate will and testament. The beneficiaries of that believe have now no longer been publicly disclosed.
“These worries, in conjunction with the alleged behavior of the co-executors … in facilitating Epstein’s behavior, inclusive of thru marriages allegedly pressured upon his sufferers, boost sizable worries approximately the appropriateness in their control of the Estate,” George wrote.
Given the suggested development in agreement talks, Willocks located the case on maintain for at the least ninety days to permit for the events to attempt to attain a negotiated resolution. He set a listening to for early May at the dispute over the prison costs.
Weinstein, however, anticipated that the case may be resolved with out the want to be in courtroom docket again.
“This case is unbelievably near resolution,” he advised the decide. “I suppose if the events recognition on that effort, this can be done, and also you likely might not see us again — until they do not pay our costs and our fees. That’s the simplest cause we are going to be earlier than you.”