Deutsche Bank Consent Order: $75M USVI Settlement

SETTLEMENT AGREEMENT — USVI v. DEUTSCHE BANK Case: Government of the U.S. Virgin Islands v. Deutsche Bank AG Settlement Amount: $75,000,000 Date: May 2023 BACKGROUND: The U.S. Virgin Islands filed a civil enforcement action against Deutsche Bank alleging the bank knowingly maintained banking services for Jeffrey Epstein that facilitated his sex trafficking operation within the territory. BANK'S RELATIONSHIP WITH EPSTEIN: Deutsche Bank onboarded Epstein as a client in 2013, after JPMorgan terminated the relationship: - The bank accepted Epstein despite his 2008 conviction and sex offender registration - Internal compliance systems flagged suspicious activity that was overridden - The relationship generated fees and revenue for the bank - The account was maintained until 2018 SETTLEMENT TERMS: Deutsche Bank agreed to: - Pay $75 million to the USVI government - Implement enhanced compliance and due diligence procedures - Cooperate with ongoing investigations - Acknowledge deficiencies in its oversight of the Epstein accounts COMBINED FINANCIAL INSTITUTION LIABILITY: With this settlement, the combined penalties and settlements paid by financial institutions in connection with the Epstein case totaled: - JPMorgan: $290 million (victim settlement) + $75 million (USVI) - Deutsche Bank: $150 million (NYDFS penalty) + $75 million (USVI) - Total: approximately $590 million The USVI's $75 million settlement was earmarked for programs supporting trafficking victims and enhanced law enforcement in the territory. Source: Court Records / USVI AG Available at: https://www.courtlistener.com/