Former Abercrombie & Fitch CEO, Mike Jeffries and his partner, Matthew Smith, have been arrested and charged with running an international sεx trafficking and prostitution operation.
It was gathered that authorities arrested Mike Jeffries, Matthew Smith, and their alleged recruiter, James Jacobson, on Tuesday morning, October 22, 2024.
Federal prosecutors claimed the men used force, deception, and coercion in violent sexual acts, but Jeffries and Smith have previously denied any wrongdoing.
Jeffries’ lawyer stated that they would respond to the charges once the indictment is made public.
A&F has declined to comment on the situation.
The FBI launched an investigation after a BBC report in 2023, which revealed allegations that Jeffries and Smith exploited men at events they hosted at various locations, including their New York residences.
The report found that a middleman, Jacobson, and a network of recruiters played key roles in finding men for these events.
According to U.S. attorney Breon Peace, Jeffries used his wealth and status as A&F’s CEO “to traffic men for his own sexual pleasure” and for the pleasure of his partner, Mr Smith.
Prosecutors also claim Jacobson recruited men, some of whom were made to engage in sex acts for money.
Once selected by Jeffries, these men were flown to New York, where they were allegedly pressured to consume alcohol, Viagra, and muscle relaxants.
Prosecutors further allege that Jeffries and Smith either directed others or personally injected the men with erection-inducing substances if they were unwilling or unable to participate.
Prosecutors claim Jeffries spent millions to fund the operation, covering travel, accommodations, and staff. They identified 15 victims but believe many more were involved.
Following a court appearance, Jeffries was released on a $10 million bond, while Jacobson was released on a $500,000 bond. Smith was detained and remains in custody.
Federal prosecutors confirmed that the investigation began after media reports surfaced.
A civil lawsuit was also filed, accusing Jeffries and Smith of trafficking, rape, and sexual assault. The lawsuit claims A&F played a role in funding the trafficking operation during Jeffries’ time as CEO.
Brad Edwards, a civil lawyer representing some of the victims, called the arrests a significant step towards justice for those exploited by the scheme.
He said: “These arrests are a huge first step towards obtaining justice for the many victims who were exploited and abused through this sex-trafficking scheme that operated for many years under the legitimate cover Abercrombie provided.
“The unprecedented reporting of the BBC, coupled with the lawsuit our firm filed detailing the operation, are to credit for these monumental arrests. This was the result of impressive investigative journalism.”
The BBC interviewed several men who attended the events, and many described being recruited by Jacobson.
Some reported being misled about the nature of the gatherings, while others said they knew sex would be involved but were unsure of what was expected of them. They were all paid, and some were even promised modeling opportunities with A&F.
One aspiring model, David Bradberry, claimed that he was told he needed to perform sexual acts with Jacobson to meet Jeffries.
Bradberry later attended a party at Jeffries’ mansion, where he said he had sex with the former CEO. He explained that he didn’t feel safe declining due to the secluded location and the presence of Jeffries’ staff.
After the BBC’s initial report, A&F announced an independent investigation but has not revealed its findings. The company has been fighting to dismiss the civil lawsuit, arguing that it was unaware of the alleged trafficking operation.
Earlier this year, a U.S. court ruled that A&F must cover Jeffries’ legal expenses for the civil case, as the allegations are connected to his role as CEO.
A&F has condemned the alleged conduct, stating that its current leadership had no prior knowledge of the accusations.
Mike Jeffries stepped down as CEO in 2014 after a decline in sales, leaving with a retirement package worth $25 million. He was a controversial figure throughout his career, facing allegations of discrimination, excessive spending, and the influence of his partner, Smith, in the company.
KanyiDaily had also reported how British rapper and YouTuber, Yung Filly was arrested in Australia on suspicion of raping a woman in a hotel.