EFTA01481016

Confidential Due Diligence Report — YHS, LLC Copyright 2006 The Palm Beach Newspapers, Inc. Palm Beach Post (Florida' August 8, 2006 Tuesday FINAL EDITION SECTION: LOCAL; Pg. 1B LENGTH: 638 words HEADLINE: EPSTEIN CAMP CALLS FEMALE ACCUSERS LIARS BYLINE: By LARRY KELLER Palm Beach Post Staff writer BODY: Attorneys and publicists for Palm Beach financier Jeffrey Epstein went on the offensive Monday, contending that teenage girls who have accused Epstein of sexual shenanigans at his waterfront home are liars and saying that the Palm Beach Police Department is "childish." "There never was any sex between Jeffrey Epstein and any underage women," his lead attorney, Jack Goldberger, said from Idaho where he was vacationing with his family. Epstein did have young women come to his house to give him massages, Goldberger said. "Mr. Epstein absolutely insisted anybody who came to his house be over the age of 18. How he verified that, I don't know. The question is, did anything illegal occur. The law was not violated here." He had no explanation as to why Epstein would pay girls or women with no massage training - as the alleged victims said was the case - $200 to $300 for their visits. "The credibility of these witnesses has been seriously questioned," Goldberger said. Epstein, 53, was indicted by a county grand jury last month on a charge of felony solicitation of prostitution. After an 11-month investigation that included sifting through Epstein's trash and surveilling his hone, Palm Beach police concluded there was enough evidence to charge him with sexual activity with minors. When the grand jury indicted Epstein on the less serious charge, Police Chief Michael Reiter referred the case to the FBI to determine whether there were federal law violations. After a spate of stories about the case last week, New vork publicist Dan Klores - whose client list has Included Paris Hilton and Jennifer Lopez - said on Saturday that Epstein's camp was ready "to get their story out." They did that Monday via Goldberger and a Los Angeles publicist for Miami criminal defense attorney Roy Black, who also has represented Epstein in the case. "We just think there has been a distorted view of this case in the media presented by the Palm Beach police," Goldberger said. Reiter has consistently declined to comment on the case and did not respond to a request for comment Monday. The implication that State Attorney Barry Krischer was easy on Epstein by presenting the case to a grand jury rather than filing charges directly against him is wrong, Goldberger said. The Palm Beach Police Department was "happy and ecstatic" that the panel was going to review the evidence. "I think what happened is they weren't happy with the result. They decided to use the press to embarrass Mr. Epstein." But records show that Reiter wrote Krischer on May 1 - well before the case went to the grand jury - suggesting that Krischer "consider if good and sufficient reason exists to require your disqual!ftelt1^,n frem the preseution ef these ',Igen." Confidential - This report is not to be disseminated or photocopied to any third party without the express consent of Global Corporate Security. Confidential Treatment Requested by JPMorgan Chase CONFIDENTIAL JPM-SDNY-00003267 SDNY_GM_00272465 EFTA01481016