The fund created to compensate victims of billionaire sexual predator Jeffrey Epstein has ceased payouts due to a lack of liquidity.
The Epstein Victims Compensation Fund was set up to payout victims of the deceased financier using money from his estate, which was valued at more than $600 million in early 2020, according to NBC news. After 150 claims and more than $50 million paid out to victims, the fund is now pausing compensation due to uncertainty about cash flow, NBC reported.
The fund set up to compensate women who were sexually abused by Jeffrey Epstein is temporarily suspending payouts due to uncertainty around its cash flow, the administrator says. https://t.co/uhRGK2pRz1
— NBC News (@NBCNews) February 4, 2021
Administrator Jordana Feldman said in a statement that the fund had to pause payments because Epstein’s estate did not have the necessary cash to satisfy their most recent request for replenishment. “Although I sincerely regret having to take this action, I have concluded that it is necessary to protect the interests of eligible claimants who have not yet resolved their claims through the program.”
Assets in the estate were valued at about $240 million at the end of 2020, but attorneys are struggling to turn things like residential properties, private aircraft, and private investments into liquid cash, according to NBC. “Regrettably, the Co-Executors’ efforts to sell these assets have been hampered by the now nearly-year-long coronavirus pandemic, and its enormous adverse effect on local and global economies,” said lawyer Daniel Weiner.
“In addition, the Estate has been forced to expend substantial funds in defending against multiple civil lawsuits and administrative proceedings, including attempting to clear recent fraudulent claims on title to the Estate’s Palm Beach property,” Weiner added. (RELATED: Ghislaine Maxwell Asks Judge To Dismiss Her Case, Complains Jurors Are Not Diverse Enough)
Epstein’s estate recently settled with the federal government for nearly $200 million. The victims’ fund will continue to accept claims and is expected to still eventually make all of the necessary payouts, NBC reported. (RELATED: FBI Wanted To Arrest Epstein In 2007. USAO Of Southern Florida Said No — And Epstein Wasn’t Arrested Until 12 Years Later)