Former Abercrombie & Fitch CEO arrested in sex trafficking investigation
Add Axios as your preferred source to
see more of our stories on Google.
Mike Jeffries, former CEO of clothing retailer Abercrombie & Fitch, leaves the store on the Champs Elysees avenue in Paris on October 27, 2012, as some workers protest against their working conditions. Photo: BERTRAND GUAY/AFP via Getty Images
Former Abercrombie & Fitch CEO Mike Jeffries, his partner Matt Smith and another man, Jim Jacobson, were arrested Tuesday as part of a criminal sex trafficking investigation, a spokesperson for the U.S. Attorney's Office for the Eastern District of New York confirmed.
The big picture: Their arrest comes nearly a year after a former model sued the fashion brand, accusing Jeffries of leading a "widespread sex-trafficking operation."
Driving the news: Jeffries, who led the company from 1992 to 2014, was arrested in West Palm Beach Tuesday on charges of sex trafficking and engaging in interstate prostitution after years of sexual misconduct allegations.
- A civil lawsuit filed in October 2023 in the U.S. District Court for the Southern District of New York alleged Jeffries and other men trafficked and sexually abused hopeful models — crimes Abercrombie & Fitch allegedly "knew about, endorsed, and ratified."
- Later Tuesday, Jeffries was released on a $10 million bond and Jacobson was released on a $500,000 bond. They're both scheduled be arraigned Friday.
- Smith, meanwhile, was ordered detained, according to the U.S. Attorney's Office for the Eastern District of New York.
The latest: Breon Peace, the U.S. Attorney for the Eastern District of New York, said in a press conference Tuesday that the three men used "force, fraud and coercion" to traffic men "for their own sexual gratification."
- There are 15 unnamed victims identified in the indictment, he said, but added the prostitution venture involved "dozens and dozens" of men.
- Their scheme lasted from at least 2008 to early 2015, Peace said, and the men spent millions of dollars to support — and cover up — their operation.
Flashback: A BBC investigation told the stories of over a dozen men who described attending events where Jeffries and Smith, his partner, engaged in sexual exploitation.
- Jacobson acted as the couple's "recruiter," Peace said, and would meet with men across the world for "tryouts" where he would pay them for sex acts.
- Those selected would be flown to Jeffries and Smith's homes or to hotels around the world.
James Dennehy, the assistant director in charge of the FBI's New York Field Office, said the defendants allegedly "preyed on the hopes and dreams of their victims by exploiting, abusing and silencing them to fulfill their own desires."
What they're saying: Brian Bieber, Jeffries' attorney, said in a statement provided to Axios that "we will respond in detail to the allegations after the Indictment is unsealed, and when appropriate, but plan to do so in the courthouse – not the media."
Zoom out: The company has faced scrutiny for its hypersexual marketing — and accusations of discriminatory hiring practices — in the '90s and early 2000s.
- The company rebranded in 2019 and was the highest-performing stock on the S&P 500 in 2023.
- It has recently seen a resurgence in sales, along with some other mall retailers.
Read the indictment in full, via DocumentCloud:
Go deeper: Abercrombie & Fitch stock spirals as inflation strikes
Editor's note: This story has been updated with new Jeffries was released on bail.
