Government of the United States Virgin Islands v. JPMorgan Chase Bank, N.A., No. 122-cv-10904 (S.D.N.Y. 2022)/326-147.pdf

EXHIBIT 147 Case 1:22-cv-10904-JSR Document 326-147 Filed 09/08/23 Page 1 of 5 Case 1:22-cv-10904-JSR Document 326-147 Filed 09/08/23 Page 2 of 5 From: Sent: To: Duffy, John R [john.r.duffy@jpmorgan.com] 6/10/2013 3:27:56 PM Perry, Bonnie K [bonnie.k.perry@jpmorgan.com] CC: McCleerey, Kevin [kevin.mccleerey@jpmorgan.com]; Dalessio, James [james.dalessio@jpmorgan.com]; Conlin, Pat [pat.conlin@jpmorgan.com]; Dellosso, Donna [donna.dellosso@jpmorgan.com]; Diiorio, Phil [phil.diiorio@jpmorgan.com] Subject: Thank you .John R. Duffy 1P. Morgan Epstein CEO, U.S. Private Bank 2.70 Park Avenue New York, NY 10017 Tel: 2.12--464--1468 Email: john.r.duffy@jpmorgan.com J.P. Morgan Securities LLC From: Perry, Bonnie K Sent: Monday, June 10, 2013 10:03 AM Eastern Standard Time To: Duffy, John R Cc: McCleerey, Kevin; Dalessio, James; Conlin, Pat; Dellosso, Donna Subject: RE: KYC Approval Requested for High Risk Clients John, Your comments have been added to the KYC Thanks! Bonnie From: Duffy, John R Sent: Monday, June 10, 2013 6:44 AM To: Perry, Bonnie K Cc: McCleerey, Kevin; Dalessio, James; Conlin, Pat; Dellosso, Donna Subject: RE: KYC Approval Requested for High Risk Clients These are all approved. Regarding Hyperion, a Jeffrey Epstein entity, please reflect the following in the KYC. Duffy, as part of continued due diligence, met with Jeffrey Epstein on April 24, 2.013 at his residence. The purpose of the meeting was to discuss his current business activities and his related account activity with us. Mr. Epstein is a felon. His current work involves advising clients of substantial wealth on broad issues or specific goals/transactions. As an example he was recently involved with advising Leon Black of Apollo during the purchase and financing of a prized work of art at auction (.$140MM}. Mr. Epstein routinely advises clients and prospects of the private bank. Mr. Epstein agreed to another Confidential JPM-SDNYLIT-00231636 Case 1:22-cv-10904-JSR Document 326-147 Filed 09/08/23 Page 3 of 5 meeting to further discuss his business. His demeanor was transparent and open. Subsequent to this meeting Donna Dellosso inquired regarding our account activity w ith Mr. Epstein. She spoke with Phil Diiorio, and w ill speak with Mary Erdoes. We will discuss Mr. Epstein and Risk Committee meeting i n the near future. From: Perry, Bonnie K Sent: Fr iday, June 07, 2013 2: 18 PM To: Duffy, John R Cc: McCleerey, Kevin; Dalessio, James; Conlin, Pat Subject: KYC Approval Request ed for High Risk Clients Hi John, Below are high r isk PB client KYCs that require your approval. The list includes (6) Existing Client undergoing annual review, (8) Existing relationship cl ients, and (3) New clients flagged as high risk. Please note that the below client s have undergone a review by Risk Management and are considered ok for approval. If you have further questions, please let me know. Regards, Bonnie Confidential JPM-SDNYLIT-00231637 Case 1:22-cv-10904-JSR Document 326-147 Filed 09/08/23 Page 4 of 5 Hyperion Air Inc. -This is a private corporation created by existing client, Jeffrey Epstein, to handle the maintenance and upkeep of his personal aircraft. He travels ext ensively overseas and prefers to use cash to pay fuel ex penses in foreign countries. From June 5, 2012 to June 5, 2013, he made cash withdrawals of $280K in total. Jeffrey is currently a priva te investor, but worked previously as a money manager for wealthy individuals. • Banker - Justin Nelson • High Risk Category -Cash Intensive & Derogatory Information • Jeffrey Epstein is the DM of the relationship with a current AUM of $155.6MM, of which t his entity has a DOA with a zero balance. • Relationship established in 1992 • Previous Area Head approval, 06/26/2012 • Region Manager Approval, Marc Sheridan • The derogatory information noted pertained to Jeffrey Epst ein's indictment in Flori da in 2008 on felony charges of soliciting underage prostitutes. He served 13 months in jail and is now required to register as a sex offender. He has also settled a dozen civil lawsuits out of court from his victims regarding solicitation. Jes Staley conferred with Stephen Cutler and the decision was made to keep Mr. Epstein as a PB client. Staley and PB t hen decided that his PB relationship will be for banki ng and custody only. We no longer provide brokerage execution capabilities for his accounts. Bear Stearns w ill hold the brokerage relationship. Confidential JPM-SDNY LIT-00231638 Case 1:22-cv-10904-JSR Document 326-147 Filed 09/08/23 Page 5 of 5 II. Existing Client Relationship - Recently Flagged as High Risk (1} Bonnie K Petty, Vi>, CAMS I JPMorgan f--,:iv'.lt>: 1~,,nk 1 UHN\, ' lti, k 1'f~f,,,g,~n,~ut 712 :\'¾~:.:]~ -4~h 'F\ LI<>n~:fi::,n~ ·r .K 77fi02 (fX.~·NO-t~· 1 ) Td: n·>. :::Hi•:il% Confidential JPM-SDNYLIT-00231639