Private equity titan Leon Black reached a deal to avoid a public legal battle with the US Virgin Islands over his past business ties with sex offender Jeffrey Epstein.
The Apollo Global Management Inc. co-founder agreed in January to pay $62.5 million to the territory after a mediation session, the New York Times reported, citing a copy of the accord obtained through a public records request. In a statement Friday, a spokesperson for Black acknowledged the settlement, saying it mirrors deals banks have reached for doing business with Epstein while maintaining they had no involvement in his crimes.
“Mr. Black engaged and made payments to Jeffrey Epstein for legitimate financial advisory services, which based on everything now known, he very much regrets,” the spokesperson said in a statement. “Consistent with settlements of other major US banks, Mr. Black resolved the USVI’s potential claims arising out of the unintended consequences of those payments. There is no suggestion in the USVI settlement that Mr. Black was aware of or participated in any misconduct.”
Black, 71, defused the potential lawsuit as the US territory was embarking on a high-profile legal fight with JPMorgan Chase & Co. — accusing it of providing financial services that enabled Epstein’s activities. That case has put a harsh spotlight on the firm by publicly unearthing past communications between its executives and the disgraced financier. The New York-based bank agreed last month to pay $290 million to settle a separate class-action lawsuit filed on behalf of Epstein’s victims.
Black retired as Apollo’s longtime chief executive officer in 2021 amid public revelations over his past business ties to the sex offender.
Epstein, convicted in 2008 for soliciting prostitution from a teenage girl, was found dead in his jail cell in August 2019 after he was arrested on sex-trafficking charges. He had a private retreat in the US Virgin Islands, where he brought several of his victims.
Though a review conducted by law firm Dechert found no evidence that Black was involved with Epstein’s criminal activities, it revealed that the Apollo co-founder had paid Epstein $158 million from 2012 to 2017 for tax advice and financial services, an amount much larger than previously known.
JPMorgan also has said it regrets allowing Epstein to remain its customer for years but that it didn’t help him commit any crimes.
