Former Abercrombie and Fitch CEO accused of sex trafficking

The former CEO of fashion giant Abercrombie & Fitch (A&F) and his British partner have been arrested and face charges of sex trafficking, the BBC understands.

Mike Jeffries, his partner Matthew Smith and the couple's alleged intermediary were arrested on Tuesday morning.

The FBI and the prosecutor's office are expected to announce more details at a news conference soon.

Lawyers for Mr Jefferies and Mr Smith both denied any wrongdoing by either man. In response to the latest news, Mr Jeffries' lawyer told the BBC: “We will respond in detail to the allegations after they are released and when appropriate, but plan to do so in court – not the media.”

A lawyer for Mr Smith has been contacted for further comment. A&F declined to comment on the latest development.

The FBI launched an investigation last year after the BBC claimed that Mike Jeffries and his partner sexually exploited and abused men at events held at their New York residence and hotels around the world.

A BBC investigation There appeared to be a sophisticated operation involving a network of middlemen and recruiters to recruit men for the event.

Following the BBC report, a civil suit was filed in New York accusing Mr Jeffries and Mr Smith of sex-trafficking, rape and sexual assault.

The lawsuit accuses Abercrombie & Fitch of financing a sex-trafficking operation led by its former CEO who was in charge for two decades.

Under US law, sex trafficking involves coercing, tricking or coercing an adult into another state or country to have sex for money.

Confirming the arrests, Brad Edwards of Edwards Henderson, a civil attorney representing one of the alleged victims, said: “These arrests are a huge first step toward justice for the many victims exploited and abused through this sex-trafficking scheme. Many under the legal cover provided by Abercrombie Over the years.

“The BBC's unprecedented reporting, along with our firm's case filing detailing the operation, is a credit to this monumental arrest. It was the result of impressive investigative journalism.”

In its investigation, the BBC spoke to 12 men who described attending or organizing events involving sexual activity conducted for Mr Jeffries, 79, and his British partner Mr Smith, 60, between 2009 and 2015.

Eight people who attended the event said they were hired by an intermediary identified by the BBC as James Jacobson.

Mr Jacobson, 70, previously told the BBC in a statement through his lawyer that he took offense at the suggestion of “any coercive, fraudulent or coercive conduct on my part” and that he had “no knowledge of such conduct by others”.

The BBC interviewed dozens of other sources, including former housekeepers.

Some of those the BBC spoke to said they were confused about the nature of the incident or said no sex was involved. Others said they understood the events would be sexual, but it wasn't exactly what was expected of them. All payments have been made.

Many told the BBC that intermediaries or other recruiters had raised the possibility of modeling opportunities with A&F.

After the BBC's initial investigation was published last year, the A&F announced it was launching an independent investigation into the allegations raised. When we asked recently when that report would be completed — and if the findings would be released — the company declined to answer.

Like Mr Jeffries and Mr Smith, the brand is seeking to have the civil suit against him dismissed, arguing it had no knowledge of the “alleged sex-trafficking enterprise” led by its former CEO – which it allegedly funded.

Earlier this year, a US court ruled that A&F must cover Mike Jeffries' legal defense costs as he continues to fight civil charges of sex-trafficking and rape. The judge ruled that the allegations were linked to her corporate role when she sued the brand for refusing to pay her legal fees.

The brand said it does not comment on legal matters. However, in its defense submitted to the court, A&F said its current leadership team was “not previously aware” of the allegations until contacted by the BBC, adding that the company “abhors sexual harassment and condemns the alleged conduct” by Mr Jeffries and others. .

Mr Jacobson – the mediator – previously said in a statement through his lawyer that he took offense at the suggestion of “any coercive, fraudulent or coercive conduct on my part” and that he had “no knowledge of such conduct by others”.