As we previously reported, on October 22, 2024, an indictment charging former Abercrombie & Fitch CEO Mike Jeffries and his partners Matthew Smith and James Jacobson was unsealed in the Eastern District of New York, revealing sixteen counts of sex trafficking and interstate prostitution.
The indictment alleged that Jeffries, Smith, and Jacobson, with others, “operated an international sex trafficking ring and prostitution business,” naming John Does #1-15 as victims. Jeffries was further accused of using his position as CEO as a source of power over his victims. This position of power and wealth coupled with other sources of financial backing and power provided the foundation for Jeffries’ criminal venture.
The indictment also alleged that Jeffries and Smith provided the finances for John Does #1 through #15, among others, to travel within the United States and abroad for the purposes of engaging in commercial sex acts with Jeffries and Smith. Potential candidates had to “try out” to attend Jeffries and Smith’s so-called “Sex Events,” which typically required engaging in commercial sex acts with Jacobson.
On December 3, 2024, Smith pleaded not guilty to the charges. He was released on $10 million bail. While his co-defendants Jeffries and Jacobson had already pleaded not guilty and were released on bail, Smith was originally detained because, as a dual U.S.-British citizen, prosecutors were worried he would try to flee the U.S. However, bail was ultimately set, and Smith must turn over his passport, face a $125,000 limit in monthly trust withdrawals, and comply with home detention and GPS monitoring.
As for Jeffries’, in late December 2024, his attorneys filed a letter claiming that Jeffries may be unfit to stand trial due to a late-onset Alzheimer’s and dementia diagnosis. One of Jeffries’ attorneys “questioned [his] competency to rationally assist—on a sustained and consistent basis—counsel in connection with the possible factual and legal defenses to the allegations he was facing.” A competency hearing has been scheduled for June 2025 to determine whether Jeffries is fit to stand trial.
If convicted, Jeffries, Smith, and Jacobson each face minimum sentences of 15 years in prison and maximum sentences of life in prison for the sex trafficking charge. The interstate prostitution charges carry a maximum sentence of 20 years’ imprisonment.
This is not the first time we have seen someone in a position of power leverage their wealth, influence, or authority to exploit others. As we have previously discussed in connection with this case, the CSE Institute believes that holding Jefferies, Smith, and Jacobson accountable for their crimes is an important demonstration that perpetrators in positions of power should not be insulated or immunized by their status.
The CSE Institute praises the victims and survivors in this case who bravely came forward and spoke out against Jefferies, Smith, and Jacobson.
We will continue to provide updates as this matter unfolds.
All views expressed herein are personal to the author and do not necessarily reflect the views of Villanova University Charles Widger School of Law or of Villanova University.