Financial regulators would publish Epstein records and investigate financial firms

Financial regulators would give congressional committee leaders their covered oversight records and make those records public. Covered records concern current or former financial firms with known or alleged ties to Epstein, entities he controlled, Maxwell, or their associates, and relate to those people or entities. Public releases would hide victims’ identifying information and personal or medical files. Regulators would explain each withholding or redaction in writing. Regulators would send physical copies to specified congressional committee leaders within 90 days of enactment and publish records within 120 days.

Financial regulators would investigate covered firms and those firms’ senior executives. Covered firms include current or former institutions with known or alleged ties to Epstein, entities he controlled, Maxwell, or their associates. Their senior executives include current or former leaders and staff with substantial management, compliance, investment, or client relationship duties. Employees who had no role in managing the firm are excluded. Regulators would refer a matter to the Attorney General if they reasonably find that a federal crime may have occurred. Investigations would begin immediately after enactment.

Bank regulators would impose industry bans, financial penalties, or both; the SEC would seek or impose them. These requirements cover senior executives at federally insured banks and listed securities businesses, including brokers and investment advisers. Executives would receive notice and an opportunity for a hearing before the required findings. The findings must involve violations or help with violations tied to Epstein’s accounts or transactions, or other conduct that allows sanctions under the named banking or securities laws. These duties would apply when regulators make the required findings during investigations required by this proposal.