New York – Kathy Ruemmler, the chief legal officer of Goldman Sachs and a veteran of Washington politics, announced her resignation on , following the release of emails detailing her close relationship with the convicted sex offender Jeffrey Epstein. The move marks a significant development in the fallout from newly disclosed documents related to Epstein’s network and its intersections with powerful figures in finance and government.
Ruemmler, who previously served as White House Counsel under President Barack Obama, had been under increasing scrutiny after the release of emails showing a warmer, more familiar dynamic with Epstein than she had previously acknowledged. In some correspondence, she referred to Epstein as “Uncle Jeffrey,” a detail that fueled criticism and raised questions about her judgment. She will step down from her position at Goldman Sachs on .
The emails, part of a trove of documents released by a U.S. Department of Justice court filing on , revealed a series of exchanges between Ruemmler and Epstein spanning several years. While Ruemmler has publicly condemned Epstein’s crimes, describing him as a “monster,” the earlier correspondence paints a different picture, with expressions of gratitude for gifts and friendly banter. According to reports, these gifts included luxury handbags and a fur coat, received after Epstein’s 2008 conviction for sex crimes.
Goldman Sachs CEO David Solomon initially stood by Ruemmler, describing her as an “excellent lawyer” as recently as December. However, in a statement released on , Solomon acknowledged Ruemmler’s decision to resign, stating, “As one of the most accomplished professionals in her field, Kathy has also been a mentor and friend to many of our people, and she will be missed. I accepted her resignation, and I respect her decision.”
The circumstances surrounding Ruemmler’s departure highlight the complex ethical considerations faced by those who interacted with Epstein, even before the full extent of his crimes became widely known. Wall Street firms generally discourage gift-giving between clients and employees, particularly expensive items that could create conflicts of interest or violate anti-bribery laws. Goldman Sachs’ own code of conduct requires pre-approval for gifts received from or given to clients.
The released documents also reveal that Epstein contacted Ruemmler by phone shortly after his arrest on . FBI notes from that day reportedly document Epstein questioning whether the charges related to sex trafficking and underage prostitution, and expressing concern that the situation was “pretty bad.”
Ruemmler’s communications with Epstein occurred between 2014 and 2019, even after his 2008 guilty plea for procuring a person under the age of 18 for prostitution. The emails reportedly included advice to Epstein on how to respond to media inquiries regarding perceived preferential treatment due to his connections. Ruemmler, in a statement to Reuters on , maintained that she was acting as a defense attorney when dealing with Epstein.
The resignation of Goldman Sachs’ top lawyer is the latest repercussion stemming from the ongoing scrutiny of Epstein’s network. The case has already implicated numerous high-profile individuals and institutions, and continues to raise questions about the extent of his influence and the potential for complicity among those who associated with him. The fallout is likely to continue as further details emerge from the released documents and ongoing investigations.
Ruemmler’s career trajectory included a period as Associate Counsel to President Clinton from 2000 to 2001, and later as a federal prosecutor involved in the Enron Task Force, where she delivered the government’s closing argument in the trial of former Enron executives Kenneth Lay and Jeffrey Skilling. She returned to private practice at Latham & Watkins before joining Goldman Sachs in 2020.
The broader implications of this case extend beyond individual reputations and corporate leadership. It underscores the challenges of navigating ethical boundaries in the world of high finance and the enduring consequences of associations with individuals involved in serious criminal activity. The scrutiny of Wall Street’s connections to Epstein is likely to intensify, potentially leading to further investigations and reforms within the financial industry.
