Former CEO of Abercrombie & Fitch indicted on sex trafficking charges

NEW YORK  (CNN) — Mike Jeffries, the former CEO of Abercrombie & Fitch, has been indicted on sixteen federal counts of sex trafficking and international prostitution in New York, and is accused of leveraging “a network of employees, contractors and security professionals” while he led the retailer.

“While Jeffries was the CEO of one of the most recognizable clothing retailers in the world, he was using his power, his wealth and his influence to traffic men for his own sexual pleasure and that of his romantic partner, Matthew Smith,” Breon Peace, U.S. Attorney for the Eastern District of New York, said in a Tuesday press conference.

Smith, 61, of West Palm Beach, Florida, and another associate of Jeffries, James Jacobson, 71, of Rice Lake, Michigan, were also indicted as part of the case. Jacobson was employed by Jeffries and Smith to recruit, interview and hire men to perform commercial sex acts for Jeffries and Smith, according to the indictment.

The indictment alleges that between December 2008 and March 2015, Jeffries, Smith, and Jacobson engaged in a sex trafficking scheme in which they would recruit men engage in “sex events” at which the alleged victims were given muscle relaxants known as “poppers,” alcohol, lubricant, Viagra, and condoms to perform sex acts. They were allegedly enticed into the acts with modeling and career opportunities at Abercrombie.

Jefferies stepped down as CEO of Abercrombie & Fitch in December, 2014, having run the company since 1992. Abercrombie & Fitch did not immediately respond to a request for comment.

“The message from today’s prosecution is clear, sexually exploiting vulnerable human beings is a crime in doing so by dangling dreams of a future in fashion or modeling or or any other business is no different,” said Breon Peace, at the press conference announcing the indictment.

Jeffries and Smith relied on their vast financial resources, according to the indictment, using Jacobson and a network of employees, contractors, and security professionals, to run a business that was “dedicated to fulfilling their sexual desires and ensuring that their international sex trafficking and prostitution business was kept secret.”

Jeffries and Smith paid for dozens of men to travel within the United States and internationally to various locations, including the Hamptons, New York City and hotels in England, France, Italy, Morocco, and Saint Barthélémy for the purpose of engaging in sex acts with Jeffries, Smith and others, according to the indictment. Some of the men were allegedly paid to attend multiple sex events.

All three defendants were arrested this morning. Jeffries and Smith are scheduled to make their initial appearances this afternoon in federal court in the Southern District of Florida. Jacobson was arrested in Wisconsin and will make his initial appearance in federal court in St. Paul, Minnesota.