Latest / The Vault: The Epstein Files / JP Morgan Responds To The USVI's Motion To Strike Affirmative Defenses (Part 2) (9/26/26)

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JP Morgan Responds To The USVI's Motion To Strike Affirmative Defenses (Part 2) (9/26/26) · The Vault: The Epstein Files

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  Speaker 1: What's up everyone and welcome back to the Epstein Chronicles.
• 0:04
  Speaker 1: In this episode we're picking right back up where we
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  Speaker 1: left off with the JP Morgan response to the motion
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  Speaker 1: to strike their affirmative defenses. B. USVI paid returns on
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  Speaker 1: Epstein's investment. Epstein got what he paid for. For example,
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  Speaker 1: Epstein's donations to Congresswoman Plaskett bought him easy access. In fact, Ms.
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  Speaker 1: Plaskett went to New York and met with Epstein at
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  Speaker 1: his townhouse in Manhattan and less than a year before
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  Speaker 1: his arrest on federal sex trafficking charges in 2019. Other
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  Speaker 1: USVI officials, including Governor Mapp, Don Henry, and First Lady DeJong,
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  Speaker 1: visited Epstein's Islands, Little St. James, and Great St. James
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  Speaker 1: with regularity. But the far more lucrative return on Epstein's
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  Speaker 1: investment came in the form of tax breaks given to
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  Speaker 1: his companies by the USVI EDA through its Economic Development
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  Speaker 1: Commission Tax Incentive Program. Epstein received these benefits through two entities,
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  Speaker 1: Financial Trust Company, which was later renamed Southern Trust Company.
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  Speaker 1: The EDA's relationship with Epstein began on December 18, 1998,
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  Speaker 1: when Epstein's FTC applied for EDC program benefits. FTC's application
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  Speaker 1: was approved in 1999 and granted him tax incentives spread
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  Speaker 1: over 10 years, set to terminate in 2009. In 2012,
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  Speaker 1: FTX tax incentives were extended to spread over five years
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  Speaker 1: from 2009 to 2014. Epstein's STC was granted tax incentives
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  Speaker 1: spread over 10 years from 2013 to 2023. First Lady
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  Speaker 1: DeJong routinely interacted with the EDA on behalf of the
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  Speaker 1: FTC regarding the company's benefits under the EDC program. Indeed,
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  Speaker 1: Sandra Best, the EDC program compliance officer, Asked, with ensuring
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  Speaker 1: FTC's and later STC's compliance with the terms of the
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  Speaker 1: EDC's program, tax benefit grants identified Ms. DeJong as the
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  Speaker 1: FTC and STC compliance person and office manager. Yet, when
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  Speaker 1: Governor DeJong was contacted by a reporter regarding the potential
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  Speaker 1: conflict of interest inherent in the USVI government granting millions
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  Speaker 1: in tax incentives to his wife's employer, the First Lady
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  Speaker 1: suggested to Epstein that they respond with the following statement.
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  Speaker 1: Cecile Dijon currently works for Financial Trust Company in the
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  Speaker 1: capacity of office manager. She had nothing to do with
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  Speaker 1: Financial Trust Company receiving EDC tax benefits. The EDA was
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  Speaker 1: well aware of Epstein's past, even requesting an assessment on
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  Speaker 1: the potential impact on the SDC's business in light of
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  Speaker 1: current media discussions surrounding a principal of Southern Trust Company.
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  Speaker 1: Example 70. Yet despite the numerous red flags, STC continued
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  Speaker 1: to enjoy EDA benefits for five more years. By 2019,
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  Speaker 1: after months of public scrutiny, EDA employees began to acknowledge
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  Speaker 1: their role in enabling Epstein. On October 2, 2019, Margarita Benjamin,
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  Speaker 1: the managing director of the EDA, wrote to her colleagues,
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  Speaker 1: I personally think the questions about STC and FTC are
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  Speaker 1: opening us up to public scrutiny. Even still, the EDA
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  Speaker 1: never revoked STC benefits. Instead, STC's EDA incentives ended on
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  Speaker 1: December 31, 2019 because STC itself requested early termination. In
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  Speaker 1: addition to the more than redacted million in tax benefits
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  Speaker 1: from the EDA, Epstein was given inside information about executive
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  Speaker 1: branch deliberative process on banking regulations related to international banking entities.
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  Speaker 1: See example 73. First Lady de Jong forwards Epstein the
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  Speaker 1: email exchange between Governor de Jong and the Office of
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  Speaker 1: the Lieutenant Governor regarding status of IBE rules and regulations.
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  Speaker 1: Epstein had been attempting since 2013 to take advantage of
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  Speaker 1: tax benefits provided by creating an IBE, see Example 74,
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  Speaker 1: a status which appears to have been conferred beginning in
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  Speaker 1: December of 2014 and January 2015, Example 75. Approving Epstein's
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  Speaker 1: Entity Financial Strategy Group, LTD, as an IBE, Example 76,
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  Speaker 1: Certificate for Tax Benefits for Epstein's Entity, FSG. Part C.
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  Speaker 1: USVI aided Epstein's criminal activity. In addition to accepting payments
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  Speaker 1: from Epstein and giving him loyalty and access along with
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  Speaker 1: over-redacted million in tax incentives, USVI government officials actively facilitated
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  Speaker 1: Epstein's crimes. Though discovery is ongoing, documents obtained to date
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  Speaker 1: show this happened in two primary ways. First, USVI permitted Epstein,
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  Speaker 1: a registered sex offender, under its supervision to redact it. Second,
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  Speaker 1: USVI granted visas, licenses, and loose customs enforcement that allowed
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  Speaker 1: Epstein to bring young women in and out of the
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  Speaker 1: USVI with impunity. One, Epstein exerted influence over USVI sex
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  Speaker 1: offender legislation and received lax monitoring. In 2011, the USVI
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  Speaker 1: legislature took up a bill to update its sex offender
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  Speaker 1: monitoring laws and bring them in line with federal standards.
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  Speaker 1: On May 15, 2011, while the language of the bill
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  Speaker 1: was still being drafted, First Lady DeJong emailed Epstein the
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  Speaker 1: draft language for the proposed bill, writing, This is the
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  Speaker 1: suggested language. Will it work for you? Example 77 at 24493.
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  Speaker 1: Epstein responded, we should add out of country for more
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  Speaker 1: than seven days. Otherwise, I cannot go for a trip
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  Speaker 1: to Tortola at the last minute. ID at 24492. And
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  Speaker 1: these files could also be accessed by the press if
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  Speaker 1: we are not careful. A list of who I stay
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  Speaker 1: with should violate my privacy, restrict my business and livelihood.
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  Speaker 1: The First Lady responded she did not want to email
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  Speaker 1: back and forth and that this needs to be settled
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  Speaker 1: by Thursday because Governor DeJong goes away for a week
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  Speaker 1: and AG Vincent Frazier needs to submit by June 1st.
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  Speaker 1: Epstein monitored the progress of the legislation closely. See Example
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  Speaker 1: 78 at 25-219. Epstein writes to the First Lady regarding
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  Speaker 1: the Attorney General's comments on the legislation at a Rules
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  Speaker 1: Committee hearing. Example 79. First Lady DeJong writes Epstein, Is
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  Speaker 1: there anything you want me to do about the hearing tomorrow?
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  Speaker 1: I'm going to try and find out if anyone from
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  Speaker 1: justice has been asked to testify again on Monday. Epstein's
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  Speaker 1: personal attorney, Maria Hodge, exchanged emails and phone calls with
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  Speaker 1: the USVI DOJ and the Attorney General regarding changes to
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  Speaker 1: the bill. Example 80 at 25 to 22. Ms. Hodge
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  Speaker 1: emailed to USVI DOJ officials, arguing that a proposed version
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  Speaker 1: of the legislation by the Attorney General would create many
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  Speaker 1: complications and problems, and referencing a phone call I received
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  Speaker 1: from the AG today. Ultimately, the law passed on June 28, 2012.
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  Speaker 1: Epstein was disappointed by the final form of the bill,
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  Speaker 1: but First Lady DeJong offered him comfort. I know this
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  Speaker 1: was a horrible week, and I'm really sorry about how
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  Speaker 1: things panned out. Not being able to take someone at
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  Speaker 1: their word is incredibly frustrating. However, all is not lost,
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  Speaker 1: and we will figure something out by coming up with
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  Speaker 1: a game plan to get around these obstacles. By obstacles,
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  Speaker 1: by the way, she meant the sex offender laws. First
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  Speaker 1: Lady DeJong was correct. All hope was not lost for Epstein.
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  Speaker 1: She crafted a plan to facilitate Epstein's easy travel to
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  Speaker 1: and from the USVI, specifically. We will need to work
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  Speaker 1: through when USVI Senator Carlton Dowd and then USVI Senator
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  Speaker 1: Celestino White to get this accomplished. In the meantime, we
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  Speaker 1: will work with the USVI Attorney General, Vincent Frazier, give
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  Speaker 1: the discretion for status quo for you. That's the least
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  Speaker 1: he can do. This next part, completely redacted. Such accommodations
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  Speaker 1: were supposed to be based on reasonable and reliable proof. Redacted, redacted, redacted.
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  Speaker 1: In fact, Epstein was afforded this leniency despite redacted, redacted,
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  Speaker 1: and redacted. And the next section, same thing, redacted, redacted,
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  Speaker 1: and redacted. 2. USVI officials knew of and facilitated Epstein's crimes.
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  Speaker 1: Despite the direct infusions of lucrative tax incentives, redacted, and
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  Speaker 1: lax enforcement, Epstein still could not freely transport and exploit
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  Speaker 1: young women without assistance from the USVI government officials. First
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  Speaker 1: Lady de Jong, once again, proved to be a ready partner.
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  Speaker 1: For example, several of Epstein's victims needed visas. To that end,
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  Speaker 1: First Lady de Jong arranged for Epstein to meet with
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  Speaker 1: a local immigration lawyer to assist at least one woman,
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  Speaker 1: example 95, and contacted the University of the Virgin Islands
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  Speaker 1: to find out whether three young women could enroll there
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  Speaker 1: to obtain student visas. First Lady de Jong asking Epstein
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  Speaker 1: what visas the ladies have and trying to arrange English
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  Speaker 1: as a second language classes for them. Example at 96,
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  Speaker 1: First Lady de Jong corresponding with Vice President Epstein for
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  Speaker 1: institutional advancement at UVI about enrolling students for English as
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  Speaker 1: a second language classes at USVI. Epstein suggested to First
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  Speaker 1: Lady de Jong to enroll three young women. Example 97,
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  Speaker 1: showing that two of the women's forms were sent to
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  Speaker 1: the UVI, the women had to enroll in person to
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  Speaker 1: show their ability to pay through a letter. Perhaps cognizant
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  Speaker 1: of the risk in having a registered sex offender sign
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  Speaker 1: the letter, First Lady de Jong wrote to Epstein that
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  Speaker 1: he should think about whether he should sign the letter
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  Speaker 1: or one of us. Example at 99. Ultimately, UVI structured
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  Speaker 1: a bespoke class to enroll victims and provide cover for
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  Speaker 1: their presence in the territory the same year Epstein donated
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  Speaker 1: 20 Gs to the university through one of his companies.
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  Speaker 1: In addition to visas, some of the young women Epstein
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  Speaker 1: brought to the island also needed employment. One of their
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  Speaker 1: stories is representative. To find employment in the USVI, the
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  Speaker 1: young woman needed a dental license. First Lady de Jong
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  Speaker 1: reached out to the director for the Office of Professional
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  Speaker 1: Licensure and Health Planning at the USVI Department of Health
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  Speaker 1: regarding a new practice act that would have significant changes
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  Speaker 1: and allowances for reciprocity. The director wrote to Ms. DeJong
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  Speaker 1: that once the act went before the Senate committee, she
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  Speaker 1: would have a clearer idea on what the young women's
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  Speaker 1: options would be moving forward. First Lady DeJong also reached
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  Speaker 1: out to her contacts at the Attorney General and Solicitor
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  Speaker 1: General's offices about the new rules. Example 103. First Lady
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  Speaker 1: DeJong writing, Bad news, i.e. the dental licensure rules and regulations.
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  Speaker 1: The AG's office does not have them. but that the
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  Speaker 1: acting Solicitor General is a good friend of mine, so
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  Speaker 1: she will alert him to get fast-tracked. Ultimately, First Lady
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  Speaker 1: Dijon was successful. The young women eventually set up a
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  Speaker 1: local dental practice in the USVI and shared an office
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  Speaker 1: with Epstein's companies. Finally, to get to Epstein's Island, the
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  Speaker 1: victims needed to fly to and from the airport run
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  Speaker 1: by the USVI Port Authority, where Epstein leased hangar space.
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  Speaker 1: Given the extent of his use of the airport services,
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  Speaker 1: Epstein met with VIPA leadership often, sometimes meeting with them
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  Speaker 1: just after he landed at the airport. Example 109. First
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  Speaker 1: Lady de Jong, writing to Epstein that his wheels downtime
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  Speaker 1: is at 2.45 and the executive director of VIPA said
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  Speaker 1: that he can meet with you at the hangar at
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  Speaker 1: that time. In particular, Epstein had close ties to the
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  Speaker 1: executive director of VIPA, First Lady DeJong asking Epstein, on
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  Speaker 1: her husband's behalf, if he would support then-USVI Senator Carlton
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  Speaker 1: Dow's bid to go back to Vipa, who would be
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  Speaker 1: a good person for us there. Based on his government connections,
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  Speaker 1: when traveling through the USVI's airport accompanied by young women
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  Speaker 1: as a registered sex offender, Epstein could count on his
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  Speaker 1: great friendship and relationship with the officials there to avoid
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  Speaker 1: scrutiny or detection. See Example 111. Epstein emailing Ms. DeJong
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  Speaker 1: in 2010 to ask who is in charge of customs
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  Speaker 1: in the V.I. I used to have a great relationship
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  Speaker 1: with Gloria Lambert, the airport supervisor. There is a Mr.
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  Speaker 1: Carpenter who has been difficult lately. And when he did
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  Speaker 1: encounter difficulties, Epstein had but to email the U.S. V.I.
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  Speaker 1: 's First Lady, who gamely intervened on his behalf by
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  Speaker 1: reaching out to the future governor. Example 112. November 15, 2012.
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  Speaker 1: Epstein to Dijon regarding all 78 USVI customs agents of
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  Speaker 1: Turkey as a Thanksgiving gift. In sum, in exchange for
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  Speaker 1: Epstein's cash and gifts, USVI made life easy for him.
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  Speaker 1: The government mitigated any burdens from his sex offender status,
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  Speaker 1: and it made sure that no one asked too many
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  Speaker 1: questions about his transport and keeping of young girls on
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  Speaker 1: his island. All right, we're going to wrap up this
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  Speaker 1: episode here, and in the next episode, we're going to
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  Speaker 1: pick up where we left off, and that's with Section D.
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  Speaker 1: All of the information that goes with this episode can
• 13:02
  Speaker 1: be found in the description box.