Bank of America to Pay $72.5 Million to Settle Epstein Sex-Trafficking Lawsuit

Bank of America agreed Friday to pay $72.5 million to settle a civil class-action lawsuit brought by women who accused the financial giant of facilitating Jeffrey Epstein's sex-trafficking operation, making it the fourth major U.S. bank to reach a financial resolution over its alleged role in enabling the disgraced financier's crimes.

The proposed class action, filed in October 2025 by a woman using the pseudonym Jane Doe, accused the second-largest U.S. bank of ignoring suspicious financial transactions related to Epstein despite a "plethora" of information about his crimes, because it valued profit over protecting victims. The case expanded to a class action and was filed in Manhattan federal court, where U.S. District Judge Jed S. Rakoff presided.

Judge Rakoff will hold a hearing in April to determine whether to approve the settlement. The deal does not include an admission of liability by the bank. Court filings revealed the financial terms after the parties had announced only a settlement in principle on March 16, without disclosing a dollar figure.

The allegations go beyond routine banking relationships. The lawsuit alleges Bank of America provided banking services to Epstein and his sex-trafficking operation, along with accounts used by associates including Ghislaine Maxwell and Leon Black, the former CEO of Apollo Global Management. Black had been scheduled for an eight-hour deposition the day before the settlement terms were disclosed; his lawyer successfully sought a ten-day postponement before Judge Rakoff, arguing the parties were close to a deal.

Rakoff ruled in January that Bank of America must face Doe's claims that it knowingly benefited from Epstein's sex trafficking. In court filings tied to the settlement, plaintiffs' lawyers said the agreement represented the best available result "given that many Class Members suffered harm many years ago and are in need of financial relief now." Bank of America, through counsel, maintained the bank "did not facilitate sex trafficking crimes" but said the settlement "allows us to put this matter behind us and provides further closure for the plaintiffs."

The $72.5 million figure lands this resolution in familiar territory for Epstein-related bank litigation, though it trails the largest prior deal by a considerable margin. JPMorgan Chase agreed in June 2023 to pay Epstein victims $290 million to settle a similar lawsuit, a deal that came one month after Deutsche Bank agreed to pay victims $75 million. JPMorgan separately agreed in August 2023 to pay the government of the U.S. Virgin Islands $75 million. The same legal team, anchored by attorneys David Boies and Bradley Edwards, secured all four settlements.

How much of the $72.5 million ultimately reaches survivors remains an open question. Filings suggest plaintiffs' lawyers may seek roughly 25 to 30 percent of the total in fees, a common arrangement in large class actions. Administrative costs would further reduce the net distribution to class members, making the April hearing before Judge Rakoff a critical moment for anyone who joined the suit.

Plaintiffs' attorney Sigrid McCawley highlighted the "brave and fearless voices" of the victims and noted the long road to accountability. Senator Ron Wyden, ranking member of the Senate Finance Committee, called the settlement "a step towards justice" and a vindication of congressional investigations into how banks handled Epstein-related transactions, referencing his staff's work documenting large wire transfers that banks allegedly overlooked.

For the broader financial industry, the four settlements collectively represent more than $500 million paid out over Epstein-related allegations and carry a clear compliance message: large institutions that process transactions for high-net-worth clients flagged as unusually risky now face sustained civil litigation exposure, potentially years after the underlying conduct. Bank regulators and compliance officers tracking the case will look closely at any remediation conditions Judge Rakoff may attach to his final approval order.