| 2. Account Ownership Summary | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Account Name: | Southern Financial, LLC | Acct. Number (if available) | |||||||||||
| Account Manager: | Paul Morris | ||||||||||||
| What is the purpose of the account (e.g. portfolio management, advisory account, custody services, long-term investment, payment/expense account)? Money Market. To hold funds for the company. | |||||||||||||
| Indicate from where the assets are expected to arrive? ☐ DB Group: Same Booking Center (indicate account number); ☐ DB Group: Other Booking Center (indicate DB location and account details); ☑ Other Institution (indicate name & location): JP Morgan, NYC ☐ Physical Deposits (specify cash, securities, cheques, ...) | |||||||||||||
| What is the expected size and frequency of regular inflows and outflows for the account (indicate estimated number and volume per month)? Roughly 2 inflows & outflows per month ranging from $1000 to $10,000. | |||||||||||||
| What is the expected volume of assets and currency for the account approx. 90 days after opening? | |||||||||||||
| What is the expected volume of assets and currency for the account approx. one year after opening? | |||||||||||||
| Does/will the client have Assets Under Management (AuM) within DB under Eur. 3M? | |||||||||||||
| Yes ✔ No | |||||||||||||
| Please list all parties related to the account. For each party: • Check if a source of wealth description is required for the party. • Check the appropriate box to describe the relationship of the party to this account (> 1 can be selected). • If none of the check boxes apply, describe the party's relation to the account in the 'Other' column. • Always describe the relationship between the parties in the last column. • Please drill down to the ultimate/underlying Beneficial Owner(s). | |||||||||||||
| Legal Entity of Source of Wealth Required | Description of Parties related to this account | Account Holder | DIC Owner | Sector of Trust / Founder Foundation | Ultimate Beneficiator Full POA | Limited POA | Financial Intermediary (FIM) | Significant Shareholder (>=25%) Non-PIC entity (Endate ownership %) | Legal Representative | Grantor/Settter | Founding Donor | Other please describe other roles/journals/or indicate relationship between parties) | |
| 1 | ☐ | ✓ | Jeffrey Epstein | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | Sole shareholder of Southern Trust; | |
| 2 | ☐ | ✓ | Southern Financial LLC | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ||
| 3 | ✓ | ✓ | Southern Trust Company, Inc. | ☐ | ☐ | ☐ | ☐ | ☐ | 100 | ☐ | ☐ | ☐ | Southern Trust is the sole member of Southern Financial and Jeffrey Epstein is the sole shareholder of Southern Trust. |
| 2. Account Ownership Summary | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Account Name: | Southern Trust Company, Inc. | Acct. Number (if available) | |||||||||||||
| Account Manager: | Paul Morris | ||||||||||||||
| What is the purpose of the account (e.g. portfolio management, advisory account, custody services, long-term investment, payment/expense account)? Checking account. To hold funds for company | |||||||||||||||
| Indicate from where the assets are expected to arrive? ☐ DB Group: Same Booking Center (indicate account number); ☐ DB Group: Other Booking Center (indicate DB location and account details); ☑ Other Institution (Indicate name & location): JPMorgan, NYC ☐ Physical Deposits (specify cash, securities, cheques, ...) | |||||||||||||||
| What is the expected size and frequency of regular inflows and outflows for the account (indicate estimated number and volume per month)? Roughly 10 inflows and 10 outflows per month ranging from $1,000 to $10,000 | |||||||||||||||
| What is the expected volume of assets and currency for the account approx. 90 days after opening? | Currency | USD | |||||||||||||
| What is the expected volume of assets and currency for the account approx. one year after opening? | 100,000 | Currency | USD | ||||||||||||
| Does/will the client have Assets Under Management (AuM) within DB under Eur. 3M? | ☐ Yes ☑ No | ||||||||||||||
| Please list all parties related to the account. For each party: • Check if a source of wealth description is required for the party. • Check the appropriate box to describe the relationship of the party to this account (>1 can be selected). • If none of the check boxes apply, describe the party's relation to the account in the “Other” column. • Always describe the relationship between the parties in the last column. • Please drill down to the ultimate/underlying Beneficial Owner(5). | |||||||||||||||
| Legal Entity | Description of Source of Wealth required | Parties related to this account | Account Holder | PIC Owner | Settlor of Trust / Founder of Foundation | Ultimate Beneficial Owner | Signatory or Full POA | Limited POA | Financial Intermediary (FIM) | Significant Shareholder (>=25%) Non-PIC entity (Indicate ownership %) | Legal Representative | Grantor/Settler | Founding Donor | Other please describe other roles and/or indicate relationship between parties) | |
| 1 | ☐ | ✓ | Jeffrey Epstein | ☐ | ☐ | ☐ | ☐ | ✓ | ☐ | ☐ | ☐ | ☐ | ☐ | Sole shareholder of Southern Trust; | |
| 2 | ✓ | ✓ | Southern Trust Company, Inc. | ✓ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | Sole shareholder of Southern Trust; | |
| 2. Account Ownership Summary | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Account Name: | Jeffrey Epstein | Actt. Number (if available) | ||||||||||||
| Account Manager: | Paul Morris | |||||||||||||
| What is the purpose of the account (e.g. portfolio management, advisory account, custody services, long-term investment, payment/expense account)? Money Market account to hold Jeffrey Epstein's personal funds. | ||||||||||||||
| Indicate from where the assets are expected to arrive? ☐ DB Group: Same Booking Center (indicate account number): ☐ DB Group: Other Booking Center (indicate DB location and account details): ✔ Other Institution (indicate name & location): JPMorgan Chase. New York, NY ☐ Physical Deposits (specify cash, securities, cheques, ...) | ||||||||||||||
| What is the expected size and frequency of regular inflows and outflows for the account (indicate estimated number and volume per month)? Roughly 1-2 inflows and outflows per month ranging from $1,000 to $20,000 | ||||||||||||||
| What is the expected volume of assets and currency for the account approx. 90 days after opening? | 100,000 | Currency | USD | |||||||||||
| What is the expected volume of assets and currency for the account approx. one year after opening? | 200,000 | Currency | USD | |||||||||||
| Does/will the client have Assets Under Management (AuM) within DB under Eur. 3M? | ☐ Yes ✔ No | |||||||||||||
| Please list all parties related to the account. For each party: • Check if a source of wealth description is required for the party. • Check the appropriate box to describe the relationship of the party to this account (>=1 can be selected). • If none of the check boxes apply, describe the party's relation to the account in the “Other” column. • Always describe the relationship between the parties in the last column. • Please drill down to the ultimate/underlying Beneficial Owner(s). | ||||||||||||||
| Legal Entity | Description of Source of Wealth required | Parties related to this account | Account Holder | PIC Owner | Settler of Trust / Founder of Foundation | Ultimate Beneficial Owner | Signatory for Full POA | Limited POA | Financial Intermediary (FIM) | Significant Shareholder (>=25%) Non-PIC entity (indicate ownership %) | Legal Representative | Grantor/Settler | Founding Donor | Other please describe other roles and/or indicate relationship between parties) |
| 1 | ☐ | ✔ | Jeffrey Epstein | ✔ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ☐ | ||
| 3A. Individual Details (for all parties) | |||||||
|---|---|---|---|---|---|---|---|
| Individual's Name: | Jeffrey Epstein | Date of Birth: | 1/20/1953 | ||||
| Country of Residence: | USVI | Country of Citizenship: | USA | ||||
| Address of primary residence: | Little Saint James Saint Thomas 00802 US Virgin Islands | Has client resided outside of his/her country of nationality for 5 years or more? | □ Yes ☑ No | ||||
| Profession/Occupation: | Self Employed | Tax ID / SSN: | |||||
| Current Employer: | Southern Financial LLC | Position/Title/Rank: | President | ||||
| Address of employer: | 6100 Red Hook Quarter B3 St. Thomas, USVI 00802 | ||||||
| Does the person work as senior executive of a DB-recognized regulated entity in the financial industry? or an entity listed on a DB-recognised exchange? (Not applicable for operating entities) | |||||||
| Is the individual a Politically Exposed Person (PEP)?(if Yes, describe) | |||||||
| To the best of your knowledge, is the individual related to an employee of the DB group?(if Family or Friendship, describe) | |||||||
| To the best of your knowledge, is the individual party to a non-banking relationship with Deutsche Bank (e.g., external legal counsel, client referral source, supplier of goods or services)?(if Yes, describe) | |||||||
| If applicable, indicate which bank officers have met the person: | Indicate where and when the client meeting(s) took place: | ||||||
| Bank Officer Name(s) | Bank Office: | Client Private Domicile: | Client Place of Business: | Other Location (specify): | Date: | ||
| Paul Morris | □ | □ | ☑ | 4/3/2013 | |||
| □ | □ | □ | |||||
| □ | □ | □ | |||||
| 3B. Wealth Details (Only for parties requiring source of wealth description as indicated in Section 2) | |||||||
|---|---|---|---|---|---|---|---|
| Nature of the Individual's Business: | Private investments | ||||||
| Primary Country of source of wealth/source of Funds? | |||||||
| Primary industry of source of Wealth/Source of Funds? | |||||||
| Summarize Source of Wealth: | Business Owner □ Salary/Earnings ✓ Investment □ Inheritance/Gifts □ Other: | ||||||
| Further Describe Source of Wealth /Detail the history of wealth for each of the sources: (e.g. For trusts, how did settlor accumulate wealth? For inheritance, how did family accumulate wealth?For business owners, how long in business, how many employees, level of profitability? Indicate type of business, countries of major activities, important business partners.) Epstein began his financial career in 1976 as an options trader at Bear Stearns and became a partner n 1980. In 1982, Epstein founded his own financial management firm, J. Epstein & Co., managing the assets of clients with more than a billion in net worth. In 1996, Epstein changed the name of his firm to The Financial Trust Company and based it on the island of St. Thomas in the US Virgin Islands, which merged into Southern Financial LLC. All of his clients were anonymous except for the very wealthy businessman Leslie Wexner. His wealth has come from his days at Bear Stearns and his financial management firms | |||||||
| Estimated Annual Income($): | 10,000,000.00 | Estimated amount of investable assets($): | $50 MM - 100 MM | ||||
| Estimated Net Worth($): | $100 MM - 500 MM | Amount of assets planned to invest with PWM($): | 10,000.00 | ||||
| Other Known Financial Institutions: | |||||||
| Institution: | JPMorgan | Country: | USA | Est. Assets Under Mgt: | 20,000,000.00 | ||
| Institution: | Country: | Est. Assets Under Mgt: | |||
| Institution: | Country: | Est. Assets Under Mgt: | |||
| Please indicate the family situation of the individual (marital status, other family members, etc.): Single | |||||
| 3C. Legal Entity Details(For all Legal Entities) | |||
| Legal Entity Name: | Southern Financial LLC | ||
| Type of Entity: | Foundation/Association Trust Company Estate Partnership | Purpose of Entity: | Private Investment Philanthropic/Charitable Commercial |
| Type of Entity Other(specify): | Purpose of Entity Other(specify): | ||
| Country of incorporation/registration: | US Virgin Islands | Date of incorporation/ registration:2/25/2013 | |
| Volcker Status: | Volcker Flag: | ||
| Address(city, street, post code): | 6100 Red Hook Quarter B3 St Thomas 00802 US Virgin Islands | U.S. TIN/EIN: | |
| Provide a description of the entity's organizational structure, its ownership structure and its Top Management. For trusts/foundations, include information about revocability, settlor and beneficiaries, etc.; Southern Trust Company Inc is the sole member of Southern Financial LLC. Jeffrey Epstein is the sole shareholder of Southern Trust Company Inc | |||
| Please indicate how ownership of the legal entity is reflected: | |||
| Special attention: Bearer Shares - Indicate where shares are custodied: | |||
| Describe the chain from the direct owner of the entity to the ultimate beneficial owner(if not the same persons): | |||
| To the best of your knowledge, is the entity party to a non-banking relationship with Deutsche Bank(e.g. external legal counsel, client referral source, supplier of goods or services)? | |||
| Describe Nature of Entity's Primary Business and Investment Activities | |||
| Nature of the business: | This business is funded by Jeffrey Epstein's wealth. This company was formed to hold Mr. Epstein's personal wealth and invest in different ventures. This company invests in real estate, equities, commodities, etc and gets its revenue from the gains it makes in these investments. It is a company formed to invest the assets of Mr. Epstein | ||
| Countries where business is transacted: | US Virgin Islands | ||
| Number of employees: | 3 | ||
| 3D. Wealth Profile(Only for parties requiring source of wealth description as indicated in Section 2) | ||||||
| Primary Country of source of wealth/source of Funds? | ||||||
| Primary industry of source of Wealth/Source of Funds? | ||||||
| Provide Evidence of Corporate Assets(e.g. balance sheet or equivalent summary of assets/liabilities):The initial funding in February 2013 was $1,000 from the sole shareholder of the sole managing member(Jeffrey Epstein)。 | ||||||
| Estimated gross receipts p.a.($): | 2,000,000.00 | |||||
| Estimated net profit p.a.($): | 1,500,000.00 | |||||
| Estimated investable assets($): | <$1MM | |||||
| Potential Amount to be invested with PWM($): | 300,000.00 | |||||
| Other Known Financial Institutions: | ||||||
| Institution: | JPMorgan | Country: | USA | Est. Assets Under Mgt: | 1,000,000.00 | |
| Institution: | Country: | Est. Assets Under Mgt: | ||||
| One sheet must be established for EACH LEGAL ENTITY in Section 2. Account Summary | ||||
| 3C. Legal Entity Details(For all Legal Entities) | ||||
| Legal Entity Name: | Southern Trust Company, Inc. | |||
| Type of Entity: | Foundation/Association Trust Company Estate Partnership | Purpose of Entity: | Private Investment Philanthropic/Charitable Commercial | |
| Type of Entity Other(specify): | Purpose of Entity Other(specify): | |||
| Country of incorporation/registration: | US Virgin Islands | Date of incorporation/ registration: | 11/18/2011 | |
| Volcker Status: | Volcker Flag: | |||
| Address(city, street, post code): | 6100 Red Hook Quarter B3 St Thomas 00802 US Virgin Islands | U.S. TIEN/EIN: | ||
| Provide a description of the entity's organizational structure, its ownership structure and its Top Management. For trusts/foundations, include information about revocability, settlor and beneficiaries, etc. | ||||
| Please indicate how ownership of the legal entity is reflected: | ||||
| Special attention: Bearer Shares - Indicate where shares are custodied: | ||||
| Describe the chain from the direct owner of the entity to the ultimate beneficial owner(if not the same persons): | ||||
| To the best of your knowledge, is the entity party to a non-banking relationship with Deutsche Bank(e.g. external legal counsel, client referral source, supplier of goods or services)^{a}$ | ||||
| Describe Nature of Entity's Primary Business and Investment Activities | ||||
| Nature of the business: | Consulting Services relying on Financial and Biomedical algorithms. Southern Trust is a private consulting company that invests the assets of their clients and gets their revenue from the return of these investments. Southern Trust invests in different portfolios catered to their clients and makes their revenue based on the returns and the fees associated with managing their clients assets | |||
| Countries where business is transacted: | US Virgin Islands | |||
| Number of employees: | 4 | |||
| 3D. Wealth Profile(Only for parties requiring source of wealth description as indicated in Section 2) | ||||||
| Primary Country of source of wealth/source of Funds? | ||||||
| Primary industry of source of Wealth/Source of Funds? | ||||||
| Provide Evidence of Corporate Assets(e.g. balance sheet or equivalent summary of assets/liabilities):Consult and invest client funds and gain revenue based on fees and returns | ||||||
| Estimated gross receipts p.a.( $ ): | 2,000,000.00 | |||||
| Estimated net profit p.a.( $ ): | 1,500,000.00 | |||||
| Estimated investable assets( $ ): | $2MM-5MM | |||||
| Potential Amount to be invested with PWM( $ ): | 300,000.00 | |||||
| Other Known Financial Institutions: | ||||||
| Institution: | JPMorgan | Country: | USA | Est. Assets Under Mgt: | 2,000,000.00 | |
| Institution: | Country: | Est. Assets Under Mgt: | ||||
| Institution: | Country: | Est. Assets Under Mgt: | ||||
| Relationship Name | EPSTEIN, JEFFREY RELATIONSHIP | ||||||
| Risk Rating Comments: | |||||||
| Booking Center | NY | NY/Offshore | Offshore | Moderate Risk | High Risk | Jacqueline Lightbody | |
| (Compliance Signature) | |||||||
| DB Employee | DB Managed PIC | DB is Trustee/Co-Trustee | Bearer Shares | ||||
| (Compliance Signature) | ||||
|---|---|---|---|---|
| □ DB Employee | □ DB Managed PIC | □ DB is Trustee/Co-Trustee | □ Bearer Shares | |
| 4. Attachments | ||||
| A. | Type of Photo ID Provided | Drivers License | Passport | National/State ID Other |
| B. | Checklist of names (individuals and/or entities) that were submitted for database searches is attached | Yes | No | |
| C. | Please indicate the results of the database searches performed | |||
| RDC searches complete | Yes | No | negative results found | |
| PCR checks complete | Yes | No | negative results found | |
| OFAC checks complete | Yes | No | negative results found | |
| BIS searches complete (Lexis/Nexis, Factiva, Reuters, Dow Jones, D&B) | Yes | No | negative results found | |
| Denial Orders checks complete | Yes | No | negative results found | |
| Martindale-Hubbell searched (Lawyers/Law Firms only) | Yes | No | negative results found | |
| Please summarize any negative results from the database searches indicated above: JEFFREY EPSTEIN: RDC Alert #1 -- Cleared & APPROVED by Chip Packard, AML Compliance, and Pat Harris PCR Alert #1/2 -- Not our client All Cases Closed | ||||
| SOUTHERN FINANCIAL LLC: No negative media No court cases | ||||
| SOUTHERN TRUST INC: No negative media Court Case -- Not our client. | ||||
| FINANCIAL INFORMATICS INC: No negative media No court cases | ||||
| J. Epstein & Co. All Negative Media is our client. He has been cleared of posing a reputational risk as shown by the AML Clearance attached Court Cases have been closed | ||||
| FINANCIAL TRUST & CO RDC/PCR alert is associated with Southern Financial, the company it merged into. This alert has been cleared by Compliance and is attached Court Cases are closed | ||||
| E. | To the best of your knowledge, has the client ever been convicted of a criminal offense? Yes No | |||
| F. | To the best of your knowledge, has the customer ever been involved in any past litigation against Deutsche Bank AG or any of its subsidiaries or is the customer threatening litigation against Deutsche Bank AG or any of its subsidiaries? If Yes, provide details below and contact Quality Mgmt. (LatAm/Intl) or the Regulatory Control Group and notify Compliance immediately) | |||
| G. | Does the client or related party have any financial or other association / interactions within countries or regimes sanctioned by the Office of Foreign Assets Control (OFAC)? Yes No | |||
| H. | Does the client or related party have any financial or other association / interactions within high risk countries? | |||
| I. | Corporate Documentation Attached (Legal Entities Only) Yes No Not Applicable | |||
| J. Undisclosed Principal Form Complete(Intermediaries Only) | Yes No Not Applicable |
| K. If Lexis/Nexis Search Results, Corporate Documents or Other Supporting Documentation is not in English, please provide an English summary of the nature/content of the non-English Documentation: | |
| L. Special Risk Factors | |
| Does the account have Nexus to Special Risk Countries? | Yes No |
| Is the account structure unusually complex? | Yes No |
| Is there any indication the client set up a non operating company expressly for the purpose of transferring shares to third parties? | Yes No |
| Is there any indication this could be a prohibited business relationship? | Yes No |
| Are the bearer shares identified subject to acceptable controls? | Yes No |
| M. Case Comments | ||
| Created By | Date | Comments |
| Janice Franklin | 9/5/113 11:56 AM | See KYC 1082293 for Senior Business Management's approval to go forward with client adoption process. |
| ONSHORE APPROVALS | |||
| Client Facing Professional(CFP): | Paul Morris | (Signature) Paul Morris | 9/4/2013 |
| Office Director/Business Head: | Brian M. Biggar | (Signature) Brian M. Biggar | 9/4/2013 |
| Regional Office Director: | (Signature) | ||
| AML Business Risk: | (Signature) | ||
| AML Compliance: | Janice Franklin | (Signature) | 9/5/2013 |
| Janice Franklin | |||
| Jacqueline Lightbody | Jacqueline Lightbody | 9/5/2013 | |
| LATAM/INTERNATIONAL APPROVALS | |||
| Client Facing Professional(CFP): | (Signature) | ||
| Account Manager: | (Signature) | ||
| Global Market Team Head(GMTH)/Sub-Market Team Head(SMTH): | (Signature) | ||
| AML Business Risk: | (Signature) | ||
| AML Compliance: | (Signature) | ||