Former Apollo Global Management CEO Leon Black, in prepared testimony before the House Oversight and Government Reform Committee, stated that Jeffrey Epstein deceived him out of more than $60 million in financial advisory fees by falsely claiming the payments were tax-deductible [1]. Black emphasized that he had no involvement in Epstein's sex-trafficking operation, did not pay Epstein for access to women, and was not blackmailed, stating, 'I have never abused a woman. I have never been with an underage woman. I have never engaged in sex trafficking. I have never paid Epstein for access to women. I was never blackmailed by Epstein. I was not involved with, and had no knowledge of, any of Epstein's heinous conduct. I knew Jekyll. I didn't know Hyde' [1].
Black referenced the 2021 Dechert report, which found he had paid Epstein $158 million for financial advice and tax and estate planning services. According to Black, the report concluded that Epstein performed 'highly valuable and legitimate' services for Black's family office, resulting in billions of dollars in tax savings, and that all of Epstein's work was vetted by reputable law and accounting firms [1]. Black explained that Epstein misrepresented the fees as 'tax-deductible, 60-cent dollars,' leading Black to believe he was paying $95 million in net fees over five years, when the actual amount was $158 million [1].
The House committee, chaired by James Comer, R-Ky., is investigating Epstein's ties to wealthy and influential individuals. Comer described Black's interview as potentially 'the most groundbreaking of all depositions' and 'pretty significant' [1]. Black stated he met Epstein in the mid-1990s through Rockefeller University and noted Epstein's connections to prominent figures such as David Rockefeller, Ehud Barak, Larry Summers, George Mitchell, Bill Richardson, and Ace Greenberg [1].
No immediate market reaction or analyst commentary was reported in the article. The testimony and investigation may have reputational implications for Apollo Global Management (APO), given Black's former leadership role, but no direct financial impact or forward-looking statements were provided [1].
CONCLUSION
Leon Black's testimony before Congress centers on his claim that Jeffrey Epstein misled him regarding millions in fees, while Black denies any involvement in Epstein's criminal activities. The House committee views the deposition as highly significant, but no direct market or financial impacts were reported. The situation may carry reputational risks for Apollo Global Management due to Black's past association.