The US Virgin Islands Attorney General’s office has asked a court to freeze Jeffrey Epstein’s dwindling and “mismanaged” estate assets following revelations that it’s running low on cash and can’t currently replenish a victims’ compensation fund, new court papers show.
Victims’ Compensation Program administrator Jordana Feldman announced Thursday that she would have to stop making compensation offers to the dead sex perv’s sexual assault victims, at least through March, after the estate failed to provide additional money to the fund citing liquidity issues amid the pandemic.
“The Estate has found its way to pay for lawyers, landscaping, and helicopter fees, but not the brave women who have stepped forward to participate in the compensation fund,” AG Denise George said in a statement. “It is, unconscionably, another promise made and broken by Epstein and now, his estate.”
George’s office filed the emergency motion Thursday asking a judge to freeze the estate’s assets while the court, her office and victims’ “determine an appropriate plan for proceeding to protect the estate’s assets and to ensure that its commitments are met,” according to papers filed in the Virgin Islands Superior Court.
George’s office claimed that the estate executors had “mismanaged” the money, the court documents show.
“In the not even 18 months that the estate has been open, its value has dropped by hundreds of millions of dollars,” the court filing says.
Estate lawyer Daniel Weiner said Thursday that Epstein’s assets — once valued at $634 million — are now worth just $240 million after the estate paid taxes, funded the victim compensation fund and defended against multiple lawsuits.
Weiner added that the estate has been having difficulty selling off illiquid assets — like Epstein’s properties, aircrafts and investments — amid the COVID-19 pandemic.
But the AG’s court docs still allege “the estate has breached its commitment to fund the Epstein Victims’ Compensation Program.”
Ever since the program started in June, George’s office has been “promptly” releasing liens it placed on the estate as part of its lawsuit, so that victims can be paid, the court filing claims.
“If the co-executors had properly managed the estate’s assets and its expenditures, or even promptly communicated any liquidity issues, the estate’s assets and obligations could have been managed in a way that would have avoided this default at the expense of Epstein’s victims,” the court papers charge.
George’s office also asked that the executors be barred from paying any other expenses in the meantime.
“The only expense by the estate that should be permitted is its satisfaction of amounts owed to the Epstein Victims’ Compensation Program,” the court papers say.
On Friday, Weiner called the AG’s motion, “both factually and legally unsupportable” noting that George’s office allegedly declined to release liens on two islands in St. Thomas so that the estate can sell them off to help replenish the program’s coffers.
And, Weiner argued, many of the expenses for upkeep of aircraft and residences — which were already reviewed by George’s office and the judge — are necessary to help sell them off. For example, “the estate would not have been able to successfully sell its G550 aircraft without first performing required maintenance to keep the plane airworthy,” Weiner said.
Weiner also noted that the estate has already provided the program with $87 million not including money for the costs to run the fund. He said that $55 million has already been paid out to victims just seven months after the program began, which shows its “remarkable efficiency.”
Weiner says the estate plans to respond in court to the emergency motion.
Epstein committed suicide by hanging in a Lower Manhattan jail cell in August 2019 while he was awaiting trial on sex-trafficking charges.








