Top Goldman Lawyer Quits After Epstein Revelations

High-Profile Exit at Goldman Sachs Amid Epstein Scandal

Goldman Sachs has announced the resignation of its chief legal officer, Kathy Ruemmler, following revelations about her past interactions with Jeffrey Epstein, a late sex offender. CEO David Solomon confirmed the news on Thursday, citing recent documents from the U.S. Justice Department that showed Ruemmler accepted gifts from Epstein and advised him on how to handle media inquiries related to his crimes.

Ruemmler's departure marks one of the most high-profile exits in the banking sector since the release of new Epstein documents by the U.S. Justice Department last month. These revelations have sparked widespread scrutiny of several major banks, including UBS, which was found to have opened accounts for Epstein associate Ghislaine Maxwell in 2014, just months after JPMorgan Chase severed ties with the financier.

Solomon expressed deep respect for Ruemmler’s contributions during her tenure at the firm, stating: "As one of the most accomplished professionals in her field, Kathy has also been a mentor and friend to many of our people, and she will be missed." He added that he had accepted her resignation and respected her decision.

According to a source familiar with the matter, Ruemmler informed Solomon of her intention to resign on Thursday. Her resignation is set to take effect on June 30, though the source requested anonymity due to the sensitivity of the issue.

In an interview with the Financial Times, Ruemmler explained her decision, saying, "I made the determination that the media attention on me, relating to my prior work as a defence attorney, was becoming a distraction."

Ruemmler did not immediately respond to a request for comment from Reuters. Prior to joining Goldman Sachs, she served as global chair of the white-collar defense and investigations practice at Latham & Watkins LLP. She also held the position of White House counsel during the Obama administration.

The newly released documents reveal that Ruemmler referred to Epstein as "Uncle Jeffrey" and received various gifts from him, including wine and a handbag. Additionally, Epstein called Ruemmler's phone on the night of his arrest in July 2019, according to two documents citing notes from law enforcement officials.

A separate FBI document noted that Epstein asked, "Is this about sex trafficking? Is this about underage?" on the same day. The author of the FBI document, who remains unnamed, reported that Epstein also said, "Oh this is bad, this is pretty bad."

Epstein was arrested on sex trafficking charges in July 2019. He died in his Manhattan jail cell the following month, with the New York City chief medical examiner ruling it a suicide.

Ruemmler had extensive communication with Epstein from 2014 to 2019, even after his 2008 guilty plea for procuring a person under the age of 18 for prostitution. These communications included advising Epstein on how to respond to media inquiries in 2019 regarding alleged special legal treatment due to his connections.

In a statement to Reuters on February 3, Ruemmler clarified, "I was a defence attorney when I dealt with Jeffrey Epstein. I got to know him as a lawyer and that was the foundation of my relationship with him. I had no knowledge of any ongoing criminal conduct on his part and I did not know him as the monster he has been revealed to be. These decade-old private emails you are selectively referencing and pruriently reporting on have nothing to do with my work at Goldman Sachs."

The newly released documents provided further insight into Epstein's connections with prominent figures in politics, finance, and academia, both before and after his 2008 guilty plea.

In 2018, a third party, whose name was redacted by the government, emailed Ruemmler to express Epstein's desire to purchase a band for her Apple Watch. Ruemmler responded enthusiastically, saying, "I love the Hermes one! If truly okay with him to do the Hermes, I would love the 40 mm, stainless Hermes with bleu indigo swift leather double tour."

In 2019, she expressed gratitude for more gifts from Epstein, writing, "Am totally tricked out by Uncle Jeffrey today! Jeffrey boots, handbag, and watch!"