Billionaire Wexner attempts to save face: 'Epstein swiped millions from Wexner family fortune'

Tamar Lapin
New York Post
Wed, 07 Aug 2019 23:12 UTC

© Photo-Illustration: Intelligencer. Photos: Getty Images

The billionaire behind Victoria's Secret said Wednesday that Jeffrey Epstein "misappropriated" more than $46 million of his personal fortune while serving as his money manager more than a decade ago, according to a report.

In a letter to his foundation, Leslie Wexner, the founder and chief executive of L Brands Inc., said the missing cash was discovered after he decided to sever ties with the convicted pedophile in 2007, The Wall Street Journal reported.

"We discovered that he had misappropriated vast sums of money from me and my family," Wexner, 81, wrote in the letter. "This was, frankly, a tremendous shock, even though it clearly pales in comparison to the unthinkable allegations against him now."

The close relationship between the men spans two decades. In 1991, Wexner granted Epstein power of attorney, allowing him to have sweeping control over the mogul's finances and legal matters.

The financier made more than $200 million from Wexner, according to the Journal.

But in 2007, when allegations began surfacing in Florida that Epstein had sexually abused underage girls, his benefactor began to distance himself.

In January 2008, Epstein transferred $46 million worth of investments to a Wexner charitable fund, tax records obtained by the paper show.

That cash was only a slice of the funds that Epstein misappropriated, Wexner said.

"All of that money — every dollar of it — was originally Wexner family money," the businessman wrote.

Epstein in 2008 pleaded guilty to less severe state charges of soliciting prostitution from one minor, even though the feds found 36 girls he'd potentially molested. Under a cushy deal, Epstein was sentenced to 13 months in jail but was allowed out on a near-daily basis.

Epstein, 66, was arrested last month for allegedly sex trafficking dozens of underage girls — some as young as 14 — between 2002 and 2005.

Prosecutors say he ran a sex ring in his Palm Beach and Manhattan homes, including an Upper East Side mansion formerly owned by Wexner.

Epstein has pleaded not guilty and is in federal custody. If convicted, he faces up to 45 years in prison.

Comment: Wexner's letter to the Wexner Foundation Community:

Dear Wexner Foundation Community,

For 35 years, the work we have achieved together in this community has continued to be one of the great honors of my life, and that is why I am writing to you now.

In recent weeks, there has been considerable media attention on my past connection to Jeffrey Epstein. To be clear, I never would have imagined that a person I employed more than a decade ago could have caused so much pain. I condemn his abhorrent behavior in the strongest possible terms and am sickened by the revelations I have read over the past weeks. I sincerely value your trust, and that is why it is important you hear details and context from me directly.

I first met Mr. Epstein in the mid-1980s, through friends who vouched for and recommended him as a knowledgeable financial professional. Mr. Epstein represented that he had various well-known and respected individuals both as his financial clients and in his inner circle. Based on positive reports from several friends, and on my initial dealings with him, I believed I could trust him.

Eventually, he took over managing my personal finances. He was given power of attorney as is common in that context, and he had wide latitude to act on my behalf with respect to my personal finances while I focused on building my company and undertaking philanthropic efforts.

In the early 1990s Mr. Epstein became a trustee of The Wexner Foundation, but he had no executive responsibilities in the running of the Foundation. He did not work directly with Foundation staff, and he did not engage with leadership initiatives in any way.

As the allegations against Mr. Epstein in Florida were emerging, he vehemently denied them. But by early fall 2007, it was agreed that he should step back from the management of our personal finances. In that process, we discovered that he had misappropriated vast sums of money from me and my family. This was, frankly, a tremendous shock, even though it clearly pales in comparison to the unthinkable allegations against him now.

With his credibility and our trust in him destroyed, we immediately severed ties with him. We were able to recover some of the funds. The widely reported payments Mr. Epstein made to the charitable fund represented a portion of the returned monies. All of that money - every dollar of it - was originally Wexner family money.

I am embarrassed that, like so many others, I was deceived by Mr. Epstein. I know now that my trust in him was grossly misplaced and I deeply regret having ever crossed his path.

As the story has unfolded further, and the extent of the pain caused by Mr. Epstein continues to grow, I have spent time reflecting and searching for answers as to how this could have happened. My heart goes out to each person who has suffered unthinkable pain and I pray for their healing.

Well Wexner, an organised network of likeminded individuals would certiainly facilitate such heinous crimes to occur. The group would probably have similar predilections for chidlren and/ or a thirst for power over others, prone to using tactics such as "sextortion".

I want to convey my gratitude to the many who have written to express your trust. Abigail and I deeply appreciate your well wishes.

As I reflect on the situation, I know that we will together seek the wisdom that can be gleaned even from such troubling events. And, my friends, I want you to know that I remain fully committed to supporting your amazing and enduring leadership across the globe. Keep leading.

Les

Will Wexner's attempts to save his own skin and avoid being dragged down with the sinking ship lolita express, pay off? Only time will tell, especially with new reports surfacing showing his links to organised crime, murder and the shady Mega group.