Abercrombie & Fitch to pay for ex-CEO's sex trafficking defence
It's alleged that Mike Jeffries sexually exploited and abused young men at parties.
A US court has ruled that Abercrombie & Fitch must pay for the legal fees of former CEO Mike Jeffries as he defends criminal charges of sex trafficking.
Although the fashion brand has attempted to distance itself from the controversy surrounding Jeffries, an agreement was signed in 2014 - at the time when Jeffries resigned from Abercrombie & Fitch - that covered him for the costs of any criminal proceedings which arose from his position.
Trying to avoid liability for the legal costs that Jeffries is now facing, Abercrombie & Fitch argued that the charges relate to the former-CEO's personal life not his work.
However, the court found that the charges that Jeffries is facing are connected to his work in the business and so the company remains liable for a legal bill that is likely to run into the millions.
The investigating authorities allege that Jeffries, his partner Matthew Smith and a third man, Jim Jacobson, ran an international sex trafficking organisation that coerced dozens of men into sexual acts, often for the promise of a modelling career with the clothing retailer.
According to the prosecution, 15 men have made allegations that Jeffries, Smith, and Jacobson were involved in international sex trafficking during the period 2008 until 2015. It's alleged that Jacobson was the recruiter - often requiring sexual auditions before presenting the potential models to Smith and Jeffries. According to the allegations, potential models were flown to destinations around the world where they would be required to have sex with Smith and Jeffries and take part in sex parties.
How did we get here?
Allegations against Jeffries and Smith first surfaced in October 2023 when several men went public with allegations of sexual exploitation at Abercrombie events during the period 2009-2015. The parties specified were held in London, Paris, Marrakech, and the US.
According to the allegations, Jeffries and Smith would engage in sexual contact with the young men or order the men to have sex with each other. All men involved reported being paid after the events.
The men making the allegations explained that they were recruited for the Abercrombie events by a middleman hired by Jeffries and Smith. The middleman allegedly sexually auditioned the men by requesting oral sex or performing it on them.
There seemed to be varying experiences as to what the men making the allegations thought that they were applying for. Some said that they were told that sex would not be expected, others said that they were deceived about the nature of the event that they were attending, others indicated that the prospect of being booked for modelling work for Abercrombie was used to recruit them to attend the events.
One man believes that he was drugged and raped during one of the Abercrombie parties.
Who is Mike Jeffries?
Jeffries was CEO of Abercrombie & Fitch from 1992 to 2014. He is credited with building the clothing brand into an iconic retailer - hugely popular with young shoppers in the 90s and early 2000s.
He stepped down in 2014 following declining sales and left with a retirement package valued at around USD$25m.
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