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The Dictatorship

As Epstein’s longtime lawyer testifies, questions remain about what he knew

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As Epstein’s longtime lawyer testifies, questions remain about what he knew

The second of Jeffrey Epstein’s two estate executors is set to appear before the House Oversight Committee on Wednesday. And after the other executor’s testimony last week raised serious questions about who knew what about Epstein’s abuse and when, the committee’s transcribed interview of Darren Indyke could be explosive.

Indyke served as the de facto in-house counsel to Epstein for decades and will appear in Washington, D.C., on March 19, just a week after Richard Kahn was deposed before the same group of lawmakers.

Kahn worked for Epstein for more than a decade as one of his New York-based accountants before becoming one of two co-executors of his estate upon his 2019 death.

In his opening statement, Kahn insisted that he never witnessed any sexual abuse or trafficking of women and additionally “never received a complaint — either by one of Epstein’s victims or anyone else — of such abuse or trafficking.” He also said that he never saw any minors in Epstein’s presence.

By the end of the deposition, however, at least some members of the committee, including ranking Democrat Robert Garcia, questioned Kahn’s blanket assertion that he never knew about or suspected Epstein of sexual misconduct with girls or women.

“Jeffrey Epstein’s massive sex trafficking ring would not have been possible without the consistent payments and services of his long-time accountant Richard Kahn,” Garcia said in a statement. “It’s not credible that he had no knowledge of Epstein’s activities, and his testimony today only raises more questions.”

MS NOW is unaware of any allegations that Kahn or Indyke participated in or witnessed any sexual abuse committed by Epstein.

And a lawyer for the estate, Daniel Weiner, told MS NOW in a statement, “Both Mr. Indyke and Mr. Kahn reject as categorically false the suggestion that they knowingly facilitated or assisted Mr. Epstein in his sexual abuse or trafficking of women, or that they were aware of that abuse while they provided professional services for him.”

But given the statements provided by certain alleged victims of Epstein and other witnesses to federal law enforcement, Indyke could have an even tougher time convincing Congress that he was ignorant of Epstein’s abuse and trafficking of minor girls and women.

Those statements, which were made during FBI interviews and are included in memos known as “302s” and are found on the Justice Department’s website, have not been verified by MS NOW and are largely uncorroborated.

According to prepared remarks obtained by MS NOW, Indyke told the committee in his opening statement that he “had no knowledge whatsoever of Jeffrey Epstein’s wrongdoings.

“Had I known that he was abusing or trafficking women,” Indyke said, “I would have quit working for him at once and severed all ties to him.”

He added that both he and Kahn have made “extensive efforts … to address the wrongs committed by Mr. Epstein during his lifetime,” including distributing millions of dollars from Epstein’s estate to victims.

James Marsh, an attorney representing multiple survivors, said in a statement that Indyke’s “claimed ignorance … is deeply troubling.”

“His testimony only underscores how much still remains hidden about the vast network of enablers that allowed these crimes to persist for decades,” Marsh added. “Survivors — and the American people — deserve the full undistorted truth about who knew what.”

Several witnesses told federal investigators that Indyke either told them not to talk to law enforcement if questioned about their relationships with Epstein, or was someone Epstein had them directly deal with when it came to personal situations like their schooling or their immigration status.

In July 2019, just days after Epstein’s arrest, federal law enforcement interviewed a Polish ex-model who worked for Epstein as a traveling assistant between 2005 and 2006. She told the FBI and federal prosecutors that in fall 2005, Epstein shared with her that there was an ongoing investigation, that it had “something to do with visas” and that investigators were asking about her parents. According to the documents, she added that Indyke then called her into his office and “told her not to talk to law enforcement.”

That same woman spoke again to the FBI and prosecutors roughly two months later. She mentioned that Epstein encouraged her to seek Indyke’s assistance with her immigration status but that Indyke was unable to help. She reiterated that Indyke had directed her to contact him if she ever needed help and “never talk to the police.” According to the documents, she told investigators this interaction made her think something was “off.”

A second woman who talked to federal law enforcement about Indyke is known only as “Jane,” the pseudonym she used when she testified at Ghislaine Maxwell’s trial.

According to a memo of her September 2019 interview with the FBI, Jane met Epstein and Maxwell in 1994, when she attended a summer program at the Interlochen Arts Academy. Jane told the FBI that when she returned to her hometown of Palm Beach, Florida, Epstein offered her mentorship and scholarship opportunities, only for him and Maxwell to begin sexually abusing her soon after. In her senior year of high school and with Epstein’s urging, she moved to New York City to attend a private performing arts-focused school and lived in an apartment that Epstein paid for.

Jane said she stopped communicating with Epstein and Maxwell in 2001, which angered him. He called her in anger, screaming about how ungrateful she was — and she said she also received a call from Indyke, who told her she owed Epstein $10,000 because Epstein had cosigned for her apartment.

According to documents, Jane also remembered that she would meet with Indyke to discuss paperwork that had to do with her schooling.

In the case of another woman, a foreign-born aspiring model interviewed by federal law enforcement had alleged sexual abuse by Epstein between roughly 2004 and 2007. During a February 2020 interview, she told the FBI that when Epstein told her in 2006 that he had been arrested, he didn’t share any of the details but gave her two instructions: Do not introduce him to anyone new for massages, and to call Indyke if she was contacted by law enforcement.

According to the documents, there were additional witnesses whose statements strongly suggested that Indyke could have — or should have — known that Epstein was involved in unlawful activity.

Lance Calloway served as Epstein’s personal chef between 2006 and 2009, the period when Epstein was under investigation by Florida federal prosecutors. It was also during this time that Epstein negotiated a nonprosecution agreement to serve just 13 months in jail, including home release, after pleading guilty to two state prostitution-related crimes.

When interviewed by the FBI and federal prosecutors in September 2020Calloway told them that in approximately 2008, he learned that Epstein was under investigation while he was living on Little St. James, the Caribbean island Epstein owned. At about that time, Indyke instructed Calloway that if he was approached with something, he should “not accept it because he could be getting served.”

Nearly a year earlier, in October 2019, the FBI interviewed an employee of Deutsche Bank’s asset and wealth management division who led its transaction monitoring team. She told the FBI that through a review of Epstein’s bank accounts, she observed that he was distributing payments directly to “women, who appeared to be models of legal age,” though she did not specify how she knew that. She also noticed that Indyke himself withdrew $7,500 in cash each week.

A now-settled lawsuit filed by the government of the U.S. Virgin Islands against Indyke and Kahn, as executors of Epstein’s estate, among others, similarly alleged that between 2014 and 2016, Indyke cashed almost 45 separate checks, each in the amount of $7,500 and at a pace of two or three each month, from a single account belonging to Epstein. Although the lawsuit does not name the bank, it specifies that $7,500 was that bank’s limit for third-party withdrawals from any account.

The FBI interview documents from the Deutsche Bank’s employee show that she had filed a suspicious-activity information form on Indyke himself after witnessing the withdrawals.

That lawsuit also alleged that between June 2018 and February 2019, almost 100 individual withdrawals of $1,000 were made from one of Epstein’s bank accounts from an ATM that is a short walk from Indyke’s law office. The lawsuit did not specifically allege that Indyke personally made those withdrawals.

Julianne McShane contributed to this report.

Lisa Rubin is MS NOW’s senior legal reporter and a former litigator.

Madeleine Bimonte is a journalist with MS NOW, based in New York.

Sydney Reynolds is a senior assignment editor for MS NOW

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The Dictatorship

Newly created Polymarket accounts bet big on US-Iran ceasefire in hours before Trump’s announcement

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Newly created Polymarket accounts bet big on US-Iran ceasefire in hours before Trump’s announcement

NEW YORK (AP) — A group of new accounts on the prediction market Polymarket made highly specific, well-timed bets on whether the U.S. and Iran would reach a ceasefire on April 7, resulting in hundreds of thousands of dollars in profits for these new customers.

These bets were made even though, in the hours before a two-week ceasefire was announced on Tuesday, President Donald Trump’s rhetoric had escalated sharply and there were few signals that a ceasefire deal was imminent. Early in the day Trump had issued a warning on social media that “a whole civilization will die tonight” if Iran did not meet his demand to open the Strait of Hormuz by his 8 p.m. ET deadline.

An analysis of publicly available blockchain data from Polymarket, using the crypto analytics platform Dune, shows that at least 50 accounts, or wallets, placed substantial “Yes” bets Tuesday before Trump announced the ceasefire in a Truth Social post at around 6:30 pm ET. These were the first bets made by these particular wallets.

One of these wallets, created Tuesday around 10 am ET, placed roughly $72,000 in bets at an average price of 8.8 cents. The buy-in for each betting event ranges from $0 to $1 each, reflecting a 0% to 100% chance of what users think could happen. This Polymarket user then cashed out for a profit of $200,000.

Another, which joined the platform on April 6 and traded on this exact event, shows a win of $125,500.

Another wallet, created 12 minutes before Trump’s post, made $31,908 of “Yes” bets at 33.7 cents, and is estimated to have earned a profit of $48,500. The higher price for “Yes” at that time may have reflected the efforts late Tuesday by the government of Pakistan to get Trump to extend his deadline by two weeks.

There is also the possibility that these individual Polymarket users placed their bets expecting Trump to back down, given his habit during his second term to make bold threats only to retreat — a phenomenon his critics have derided as “Trump Always Chickens Out,” or TACO.

While some users took handsome profits, others must wait for payouts because Polymarket has labeled the April 7 Iran-U.S. ceasefire contract as “disputed,” given that Iran was still placing restrictions on ships passing through the Strait of Hormuz and missile attacks in the region continued. That dispute could take 48 hours to resolve.

Public blockchain data cannot identify who controls the new wallets. Polymarket uses proxy smart contract wallets, meaning a single user can create multiple accounts. Only Polymarket has the internal data needed to determine whether these were new users or existing users opening additional accounts.

Polymarket did not respond to a request for comment.

Rep. Blake Moore, R-Utah, who has introduced legislation to regulate prediction markets, released a statement Wednesday saying: “It’s highly unlikely that these are good-faith trades; it’s much more likely that these are insiders with access to information ahead of the public. Without some kind of restrictions, there is nothing stopping government or military officials from profiting from their positions.”

The trading pattern of newly created Polymarket accounts placing strategic, well-timed bets mirrors earlier episodes on the platform. Newly created accounts placed large wagers hours before the January capture of Venezuelan President Nicolás Maduro, and made hundreds of thousands of dollars in profit. Similar clusters of accounts have also repeatedly profited from well-timed bets on military actions involving Iran.

Such bets have repeatedly raised questions from the public as well as members of Congress about whether some traders are using inside information to profit in these prediction markets. Bipartisan groups of senators as well as representatives have introduced legislation that would broaden the definition of insider trading to include prediction markets.

Even the two biggest platforms in the industry, Kalshi and Polymarket, have said they see a need to broaden the definition of insider trading on their platforms.

“This is why these markets need regulation,” said Todd Philips, a professor at Georgia State University who has written on prediction markets and the industry’s regulations. “We can’t have people trading with inside information and expect other traders are going to be OK being in these markets.”

_____

Keller reported from Albuquerque, N.M.

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The Dictatorship

Trump administration looks to sanitize George Washington’s slavery history

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Trump administration looks to sanitize George Washington’s slavery history

The Trump administration’s fragile white ego is in focus yet again thanks to newly proposed changes for an exhibit in Philadelphia centered on George Washington and slavery.

The administration is being sued by the city over its efforts to whitewash Washington’s history of slave ownership from the President’s House Site, the nation’s first official presidential residence. The push has been put on hold by a judge who compared it to the censorship depicted in George Orwell’s book “1984.”

The attempted alteration of the exhibit came after a Trump executive order demanded a review of national parks and museums to bar any displays that “inappropriately disparage Americans past or living.” Last year, Trump also lobbed a puerile complaint that Smithsonian musuems focus too much on “how bad” slavery was.

And all that kvetching provides context for the changes that Trump’s administration is seeking to impose at the President’s House Site — alterations that The Philadelphia Inquirer said places the first president’s slave ownership “in a more sympathetic light.”

The Inquirer flagged government renderings showing plans for new historical panels to be installed at the site, and it seems clear that the administration’s goal is to make Washington out to be a loving patriot or conscientious objector to slavery, rather than a racist slave driver.

First, note what the Inquirer said has been removed:

The panels taken down by the Park Service in January included displays titled ‘The Dirty Business of Slavery’ and ‘Life Under Slavery,’ as well as illustrations about the Fugitive Slave Act and Ona Judge, who was enslaved by Washington and later escaped.

So the administration wants to omit detailed references to Washington’s slavery history — which Black activists fought for years to include — while also promoting a whitewashed narrative that he was a fundamentally moral man despite the whole “claiming dominion over other human beings” thing. Per the Inquirer:

For instance, on one panel titled ‘Presidents Washington and Adams on Slavery,’ the Trump administration writes that ‘Caught between his private doubts about slavery and his public responsibilities as president, George Washington navigated a nation deeply divided over slavery.

‘Privately, George Washington often expressed discomfort with the institution and a desire to see it abolished,’ the panel continued. ‘Yet as a Virginia plantation owner, his wealth and livelihood were deeply tied to it.’

And another example:

And later in the same panel: ‘Slaves living in the President’s House experienced a greater modicum of autonomy than elsewhere in the South such as to explore the city and sometimes even attend the theater, with Washington buying the tickets.’

When a censorship regime like Trump’s sees fit to tout a slave owner’s generosity — and the “greater modicum of autonomy” he purportedly granted to those he subjected to brutal bondage and forced labor — it leaves little doubt that the fundamental goal is to sanitize history, rather than teach it thoroughly.

A White House spokesperson told the Inquirer that the administration wants to acknowledge “the full breadth of our nation’s history” and that “no piece of history should be washed away.”

But “whitewashing” truly is the most apt descriptor for a plan that includes touting George Washington as some kind of selfless, principled gift-giver while brushing past, or deliberately omitting, details about his well-documented — and extremely lucrative — history of enslaving human beings.

Ja’han Jones is an MS NOW opinion blogger. He previously wrote The ReidOut Blog.

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The Dictatorship

Thursday’s Mini-Report, 4.9.26

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Thursday’s Mini-Report, 4.9.26

Today’s edition of quick hits.

* Crisis conditions in Lebanon: “Prime Minister Benjamin Netanyahu of Israel vowed on Thursday to continue striking Hezbollah in Lebanon, hours after he appeared to make a concession by saying his country would start talks with the Lebanese government about trying to disarm the Iran-backed paramilitary group.”

* In related news: “More than 80 countries — which did not include the U.S. — condemned Israel’s lethal strikes on Lebanon. … Several international leaders have condemned Israel’s intensified strikes on Lebanon, which killed more than 300 people yesterday alone, according to The Associated Press, citing the country’s health ministry.”

* This wasn’t a problem before the war: “Ayatollah Mojtaba Khamenei vowed today to tighten control over the Strait of Hormuz and claimed victory in the ongoing war between his country and Israel and the U.S. ‘We will definitely take the management of the Strait of Hormuz to a new phase,’ Khamenei said in a series of posts on X.”

* Inflation news: “Core inflation held above the Federal Reserve’s target before the recent surge in energy prices, according to a key gauge released Thursday that offers the central bank a snapshot of conditions leading into the Iran war. The core personal consumption expenditures price index, which excludes food and energy, rose a seasonally adjusted 3% in February, the Commerce Department reported. The all-items headline inflation measure increased 2.8%.”

* The good news is, the vaccine saves lives; the bad news is, the Trump administration doesn’t want us to know that: “The acting director of the Centers for Disease Control and Prevention has delayed publication of a CDC report showing the covid-19 vaccine cut the likelihood of emergency department visits and hospitalizations for healthy adults last winter by about half, according to two scientists familiar with the decision.”

* Even for this White House, her remarks were weird: “First lady Melania Trump denied any ties to convicted sex offenders Jeffrey Epstein and Ghislaine Maxwell on Thursday. … ‘The lies linking me with the disgraceful Jeffrey Epstein need to end today,’ the first lady began in remarks delivered from the White House. … It was not clear who or which statements or reporting she was referring to.”

* On a related note, Donald Trump told MS NOW that he didn’t know about his wife’s press statement.

* Trump’s animosity toward the NFL has reached a new stage: “The Justice Department has opened an investigation into whether the National Football League has engaged in anticompetitive tactics that harm consumers, according to people familiar with the situation.”

See you tomorrow.

Steve Benen is a producer for “The Rachel Maddow Show,” the editor of MaddowBlog and an MS NOW political contributor. He’s also the bestselling author of “Ministry of Truth: Democracy, Reality, and the Republicans’ War on the Recent Past.”

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