EFTA01480799.pdf

Provide detailed and specific information. Jeff Epstein is an entrepreneur. He made his wealth managing money for wealthy individuals. Epstein began his financial career in 1976 as an options trader at Bear Steams. Ho specialized in mathematical models such as the Black-Scholes option-pricing model and later worked in the special products division. advising high net worth clients on tax strategies. In 1980. Epstein became a partner at Bear Steams. In 1982. Epstein founded his own financial management firm, J. Epstein 8 Co.. managing the assets of clients with more than a billion in net worth. In 1987. Leslie Wexner. founder and chairman of the Columbus. Ohio-based Limited chain of women's clothing stores became a well-known client. In 1996, Epstein changed the name of his firm to The Financial Trust Company and based it in the US Virgin Islands Which counby(les)islare) the Client's primary Source of UNITED STATES Wealth or Income denved? Is this an Operating Company? No Total Net Worth S 500000000.00 What was the total net worth based on? Financial Statements Is this client a Professional Service Provider acting as a No financial intermediary (Gatekeeper/Financial Liaison), with assets held on behalf of one or more unidentified underlying clients unknown to the bank? Is this entity a Private Equity Fund (Venture Capital Fund or No Leveraged Buyout)? Is this a Hedge Fund? (Pooled investment vehicles (often No partnerships) that primarily invest financial capital of third party investors in enterprises that are too risky for the standard capital markets or bank loans.) Is this a Cash Intensive business? (Cash-intensive No businesses/entities exist in various industry sectors and include, but are not limited to convenience stores, grocery stores, restaurants, bars, retail stores, liquor stores, cigarette distributors, privately owned ATMs, vending machine operators and parking garage operators.) Is this entity any of the following business types? ma. None of the above Is the Entity a Personal Holding Company (PHC) or Personal Yes Investment Company (PIC) located in an offshore jurisdiction? Is the PHC/PIC managed by JPMC? (Trustees of the entity are No JPMC employees, e.g., PHC managed In NassaulGenevalDelaware) Have you received copies of the shares or listing of shares? Yes Are the shares registered or in bearer form? Registered PHCIPIC Location VIRGIN ISLANDS. U.S. Did the client conflrrn with you that the beneficial ownership Yes Is as stated within this KYC? Cold the client conflrm that he/she would inform you if Yes beneficial ownership changes? Was the "Confirmation of Beneficial Ownership" document Yes received from the beneficial owner? Please attach the J.P. Morgan Confirmation of Beneficial Ownership document to the KYC. List the number of shares that have been issued 1000.00 Business Case Please specify why you are comfortable with this client given We are currently in the process of exiting the Epstein relationship. the Identified risk factor(s). Your answer is your "business case and should detail all mitiqabnq factors. Provide client history/detail, including when the relationship Jeffrey Epstein has been a client of the Private Bank for over ten was established, how it came to be in P8IPWM, client's years. association with other JPM LOBS. etc. Client known to whom (JPMorgan employees), how well, and Epstein is known to sernor management. including John Duffy and how long: Mary Erdoes for many years. Overall PB/PWM relationship size and type of accounts: The Epstein relationship was over 5200MM. but we are in the process of exiting and the relationship is now under 540MM and soon to be zero. Is this a shared client, what other LOB has a relationship with Not to my knowledge the client? Provide relationship manager name (if known), client of other LOB since (date), and relationship size? When was the last time you met the client? What was the I saw Jeffrey this summer. reason for the meeting? Describe any significant changes in the client's information We are exiting the Epstein relationship. or material events that may have occurred over the last year (Examples: address changes, change in authorized persons on accounts, change in account type, change in business. change in net worth, etc.). Cash Activity: Summarize client cash activity during the Cash activity is minimal as we are exiting the relationship. period reviewed and explain the purpose / use of the funds: Wire Activity: Summarize client wire activity during the Wire activey is minimal and current activity is us sending mom:: period reviewed and explain the purpose I use of the funds, out to Deutsche Bank to exit. including any international/cross border wires: Before answering the following question please review the Yes Annual Account History Activity Summary Report that has been attached in the Summary tab. Did the actual transaction activity appear reasonable, normal, and expected for the type of business or industry in which the client engages? Confidential Treatment Requested by JPM-SDNY-00003021 JPMorgan Chase CONFIDENTIAL SDNY_GM_00272219 EFTA01480799