This is an FBI investigation document from the Epstein Files collection (FBI VOL00009). Text has been machine-extracted from the original PDF file. Search more documents →
FBI VOL00009
EFTA01158339
31 pages
Pages 21–31
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At just about this point in the narrative, the incredulity about Epstein began to circulate in social circles. Epstein had acquired the major symbols of wealth but without position, public holdings, or obvious paper trails. His is a questionable substrata of wealth, without institutional credentials or bona fides. He's a freelancer. That's the rub: he doesn't work for anyone. There is no clear alternate narrative. No one is accusing him of anything, except sometimes guilt by association. (In addition to Robert Maxwell, who will be accused of fraud, there's Steven Hoffenberg, briefly a New York high flyer, who went to jail for a Ponzi scheme, for whom Epstein acted as a consultant—along with, he points out, Paul Volcker.) But the characterization persists: if it's not clear, it must be murky. Sure, Goldman Sachs partners and tech geniuses, they might have stratospheric wealth, but what to make of a Coney Island, Zelig-like no-namer? In 1994, just at the moment when Prince Charles was on television acknowledging his love for Camilla Parker Bowles, Jeffrey Epstein was sitting with his arm around Princess Diana at a dinner at the Serpentine Galley in London (Diana wearing her "revenge" dress that evening). Graydon Carter, in his second year as editor of Vanity Fair, was also at the dinner. Epstein's rise and Carter's rise are not, with a little critical interpretation, that different. Both are a function of the age of new money, both are helped by strategic EFTA01158359
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relationships with the exceptionally wealthy, both have
made themselves up. To say that Epstein, in the
company of the Princess, stuck in Carter's craw would
be an understatement. Epstein became one of the "what
do you know about him" figures in Carter's gossip
trail—a story waiting to happen. Carter advised me not
to go to Epstein's house or accept a ride in his car least I
risk being blackmail. ("For what?" I asked Carter. "You
can't even begin to imagine," said Carter.)
Epstein is private and secretive, but grandly so. He
joined the board of Rockefeller University. He was
suddenly on the Trilateral commission, that cabal of
business people who fancy themselves, and who are
fancied by conspiracy buffs, as running the world. He
bought, from his client Limited Founder Les Wexner,
the largest private house in Manhattan. (Rumors will
continue for many years, that Wexner owns the house
and Epstein is just squatting in it—an 18-year squat.) He
bought an airplane. Then another. He expanded his
holdings in New Mexico. He began a Xanadu-like
refurbishment of his Caribbean Island.
He befriended Bill Clinton in his new after-office
life--and that. And would prove to be quite the fatal
pairing.
The post-Monica Clinton, now having pardoned the
on-the-lam financier Marc Rich—at this point, before
his own rehabilitation, Clinton really is the world's
ultimate sleaze ball—was suddenly being ferried around
in the jet of...who exactly? The New York Post was the
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first to take formal media note of the Clinton-Epstein connection, hinting at a sex and money bromance. "I suppose travel with Clinton changed the arc of my life," Epstein tells me. "There were, I knew, lots of obvious reasons not to do it, but having the ability to spend 100 hours with a former president just doesn't happen to many people." I met Epstein around this time, on the flight out to TED. (Epstein had become an active backer of advanced scientific research and a TED fixture.) A small group assembled at the private plane terminal at JFK, most of us unfamiliar with our benefactor, and as we headed in the direction of the discreet private plans we were gently pointed to our ride: Epstein's 727. It was like something out of a men's magazine fantasy of the luxe life. The quiet of the plane, engineered into acoustic perfection, seemed spooky. Epstein was accompanied by three young women who were witty, poised, helpful, as well as powerfully alluring. And Epstein, tanned, relaxed, with a wide open smile, was an attentive host, soliciting every guest's story and views. (One more thing about this trip: Google founders, Larry Page and Sergey Brin, with their company still in its infancy, came out to see the plane on the Monterey tarmac and, with a few other Googlers, literally ran whooping from one end of the plane to the other. Then they described for Epstein, in what I cannot now remember was a put-on or entrepreneurial brainstorm, a brand extension in which they would EFTA01158361
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market a line of Google bras with the Os as convenient cups. In fact, the name Google, they said, was invented out of the belief that men would focus on a word with two Os in it.) Not long after this trip, Epstein's assistant called to invite me for tea at his house in New York, where Epstein, with what seemed to me little understanding of the subject, began to ask me about media—the upside, downside, and nature of media coverage. New York magazine was then soliciting him for a profile, as was Vanity Fair, who had assigned the British journalist, Vicki Ward, to the job. Both profiles—New York's by Landon Thomas—pivot on the Clinton connection and detail the same quandary, how a man without clear institutional bona fides nevertheless achieved such wealth and influence. Epstein, sensing that he might be exposing himself, called Carter and said he was having second thoughts about being a public figure. "Then you should live in a two bedroom apartment in Queens," responded Carter. And then the real troubles began. Epstein, in man- who-can-have-everything fashion, has, for many years, ordered up a daily massage following his workout sessions. "Often these were massage massages," says Epstein matter of factly, "but sometimes these were happy ending massages, especially in Palm Beach, where there are many massage parlors—`Jack Shacks,' they're EFTA01158362
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called—that do outcalls. There was no sex. An often there was no happy ending. Often I would be on the phone for the entire massage. There were however a lot of massages and a lot of girls, with one girl recommending others." He says all this in a straightforward manner that seems utterly tone-deaf to its effect, as if he suffers from a sort of cultural autism. After Epstein's round of publicity and widely touted association with Clinton, the stepmother of one of the massage parlor girls who went to Epstein's house, identified as "SG" in court documents, called the police. The police interviewed the girl [WHO WAS HOW OLD AT THE TIME?] who supplied the names of other girls, some of whom were younger than 18. In the end, the police tracked down 18 girls—nine of whom were under 18 [THIS IS IMPORTANT: HOW OLD WAS THE YOUNGEST?]; the others were in their 20s and 30s; one woman was in her 60s—a number of whom gave statements describing scenarios not terribly different from Epstein's description above, except in this version of events a cold and forceful Epstein demanded that unwitting juveniles perform repulsive acts on him. (Although the nature of the allegations will dramatically grow into threesomes and forced sexual encounters, nobody at this point alleged anything more than Epstein masturbating.) A shadowy rich man, friend of the louche and disgraced president, at all times surrounded by a retinue of young and gorgeous women doing his bidding, is EFTA01158363
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found to have gathered a network of wrong-side-of-the- tracks Palm Beach girls to provide him with weird sexual services. (It somehow reads weirder that he doesn't have sex with them.) To boot, his former girlfriend, Ghislaine Maxwell—the daughter of the disgraced Robert Maxwell—encouraged at least one of the girls to come to Epstein's home (and is henceforth known as the procurer or madam for Epstein and, later, his friends). It certainly doesn't look good. Epstein called in Dershowitz, who flew into Palm Beach to put the local authorities in their place— alienating Palm Beach officialdom—and, further amping up the profile of the case, also brought in Roy Black, the famous criminal attorney who defended William Kennedy Smith in his rape trial in Palm Beach. Epstein might have just been hit with solicitation charges and paid a fine even though some of the girls were underage; prostitution charges in Florida (as in most places) have no age limits and the Palm Beach grand jury proposed solely a solicitation charge. But Epstein's flamboyance and his friendship with Clinton invited the scrutiny of the Bush FBI, and ultimately Epstein and his legal team decided to go for a plea deal. The result was a baroque set of agreements with both the Feds and Palm Beach county, which mandated jail time (Epstein was sentenced to 18 months, of which he served 13—nearly all Florida prisoners serve only 70% of their officially sentenced time) and sex offender status. The deal also provided for an unusual, if not EFTA01158364
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unprecedented, arrangement by which he agreed to pay the legal fees for 40 girls specified by the FBI in civil suits against him and not to oppose their claims, resulting in an overall settlement costs that may be as high as $20 million. It is in part this impossible-to-explain weird-justice outcome that has made some people think he was covering for someone else--one person in particular. "So?" I ask directly, one day late in our interviews. "Explain this. It does make it look like you were covering for you-know-who." "Covering?" He chuckles. "First, by the way, you- know-who was never there. Never came to the island. Not once. Not ever. But you're right, the settlement was preposterous. Nobody has ever heard anything like it. But while it was breathtaking and perverse and, well, Kafka-esque, it was also straightforward: you sign this or else we will federally indict you in ways that will threaten your property, the people who work for you, and put you in jail for ten years. I took the deal." A bit more baroqueness: one of the lawyers representing some of the plaintiffs, Scott Rothstein, would also go to jail for recruiting investors to pay for these suits on the fraudulent basis that settlements had already been reached and that many of the listed women had agreed to take reduced immediate cash payments. Epstein got out of jail in 2009. The experience does not seem to have much dented his general bonhomie. One evening over dinner he and the former director of EFTA01158365
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ports in the semi-rouge state of Djibouti, who had fallen afoul of the regime and found himself in prison, exchanged jail stories--they agreed, not as bad you'd think. Epstein, having done his time, moved almost seamlessly back into his life, to the shock-shock of tabloids whenever they seemed to be reminded of his existence (notably, when Epstein's payment of Fergie's debts slipped out, likely leaked by Fergie herself). Some things changed. While surprising few others dropped him, the Clinton's did, an irony of the present tabloid interest in his old address book with its many Clinton contacts. And his sex offender status transformed him from libertine and playboy to paedophile, a distinction in the current climate it is almost impossible to argue. While he has reguarly entertained PR proposals aimed at his public rehabilitation, until Gates prodded him, and then until this recent renwed tabloid fever, he had concluded that he was perfectlysatisfied living behind high walls and in his own exclusive club. Even now, this new Dershowitz-Prince Andrew chapter seems like a parralel distubance rather than something that is actually effecting his world. "Bad press is not something actually bad," he notes, trying to balance perception and reality. And, indeed, the tabloid narrative and his own narrative rather define wholly separate universes. The, the ongoing case, with the filings that introduced the Dershowitz and Prince Andrew EFTA01158366
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allegations, he notes, was brought by the imprisoned Rothstein's former partner, Brad Edwards, part and parcel of the settlment industry that has grown up around him. This new chapter relies entirely on the testimony and the memoir—excel is of which were published by the Daily Mail—of , who claims that Ghislaine Maxwell met her, when she was 17, at Donald Trump's Palm Beach resort and got her a job in the Epstein house, which she held for several years, traveling in the Epstein entourage. It is Roberts—who refused to cooperate with the FBI's 2007 investigation of Epstein—who has propounded the "sex slave" narrative. She claims that "massage" was a code word for sexual acts, and that she worked for Epstein for TK years for $TK, having sex with him and his friends, and reporting on the details to Epstein so he would have blackmailable details about them. In the laundry list of big names, she also claims to have met (though not had sex with) Bill Clinton and Al and Tipper Gore through Epstein. This is all, says Epstein, utterly false, including that she met Clinton and the Gores, who Epstein says he has never met. Indeed, there has been no corroboration of the Roberts charges nor any new evidence or further prosecution and Dershowitz is suing her for libel. Roberts who was part of the original settlement is now seeking an additional suing Epstein for an additional $50 million from Epstein, and planning a book on her EFTA01158367
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life and the scandal. It is a curious attribute of his character that, other than perhaps being more circumspect about what legal advice to follow, Epstein would not have done anything differently. (When I suggested recently to Epstein that one obvious way to blunt the animus bearing down on him would be to get married, he said he'd rather go back to jail.) His life, living it as he wants, seems to him to be an extraordinary accomplishment. Being on the wrong side of morality, custom, politics, feminists, the media, that's just a bit of bad luck. And it is perhaps this attitude of his that irks his critics the most. Although he has spent more than a year in jail and paid out what may be as much as $20 million, he yet seems somehow to have gotten away with it— that worst sin of all. He is the unrepentant catchall of up-to-the-minute badness: the financier whose wealth is a product of Wall Street math rather than work; a rich middle-age white man who not only parades his wealth and entitlement, but has a Peter Pan complex to boot; an insistent Playboy (excuse me, peadophile) in a correct and prudish world—someone who somehow didn't get the memo about vast changes in mores and culture. But Epstein's friends—and I think that is, in the end, the best word for the powerful people who orbit him—are willing to take him as he comes. Epstein is their confidant. Not the only nexus of them, but one of them. Dr. Epstein. Lay on my couch. As he is everybody's confident, everybody becomes his EFTA01158368
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confident. This is a back and forth, a power loop. His expertise is knowing what other people know. Which surely offers a unique sense of confidence that it is possible to understand how the world works. And in a time of such radical flux and existential instability, everybody wants to seek out someone who might have some answers or at least make you feel like he does— even, and maybe especially, the rich. The fact that he's an outsider, even a pariah, nobody you have to fear, in his own way a secret (and all powerful people like secrets) is—if you're not caught in his company— reassuring too. In the last days of my interviews with Epstein, he was called by a particular world-stage individual, indeed among the richest and most powerful—proudly louche himself—who, feeling out of his depth in a world of crashing oil prices and wild currency fluctuation, had come to believe he might benefit from some private tutoring. And so the math teacher got on his plane. EFTA01158369
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