Deutsche Bank Pays $75 Million to Settle Epstein Victim Lawsuit
On November 7, 2023, Deutsche Bank agrees to pay $75 million to settle a class action lawsuit brought by victims of Jeffrey Epstein's trafficking network. The bank had taken Epstein as a banking client after JPMorgan terminated the relationship in 2013 and maintained him until approximately 2018. Earlier, in July 2020, Deutsche Bank had paid a $150 million fine to New York State financial regulators for failures related to its Epstein relationship, making its total accountability more than $225 million.
People Involved
Deutsche Bank’s $75 million settlement with victims came alongside significant prior accountability through the 2020 DFS penalty.
Deutsche Bank’s Epstein Relationship
After JPMorgan terminated Epstein’s banking relationship in 2013, Deutsche Bank accepted him as a client. This decision was made with knowledge of his sex offender conviction and public profile. Between approximately 2013 and 2018, Deutsche Bank processed transactions for Epstein’s accounts that banking regulators later found to have shown suspicious patterns.
The 2020 DFS Penalty
In July 2020, the New York State Department of Financial Services (DFS) fined Deutsche Bank $150 million for failures in:
- Anti-money laundering compliance related to Epstein accounts
- Hiring practices related to Epstein (via his referrals)
- Suspicious transaction monitoring
This was the first major financial enforcement action against a bank for its Epstein relationship.
The 2023 Civil Settlement
The subsequent $75 million settlement in the class action brought by trafficking victims held Deutsche Bank directly accountable to the people harmed by the operation its banking services had enabled.
The Total Deutsche Bank Cost
Deutsche Bank’s total accountability:
- $150 million: 2020 DFS regulatory penalty
- $75 million: 2023 civil settlement
- Total: approximately $225 million
This total placed Deutsche Bank’s accountability in the same magnitude as JPMorgan’s, though Deutsche Bank’s relationship with Epstein was shorter. Per year of the relationship, Deutsche Bank paid more.