Ex-Abercrombie CEO Allegedly Ran ‘International Sex Trafficking Enterprise’ Targeting ‘Vulnerable’ Men: Indictment

Former Abercrombie & Fitch CEO Mike Jeffries, who was arrested on federal charges related to sex trafficking Tuesday, Oct. 22, operated along with two other men an international sex trafficking and prostitution empire, federal prosecutors allege.

Prosecutors claim that the 80-year-old Jeffries, who ran the clothing retailer from 1992 to 2014,  along with his romantic partner Matthew Smith, 61, allegedly paid for dozens of men to travel to New York and around the world to engage in “sex events,” according to a federal indictment obtained by PEOPLE.

The indictment alleges that Jeffries’ employee James Jacobson, 71, also known as “Jim Jake” and “Mrs. Cook,” recruited and interviewed the men for the sex parties.

Jeffries, Jacobson and Smith were each charged with one count of sex trafficking and 15 counts of interstate prostitution.

According to prosecutors, the three men allegedly “employed coercive, fraudulent and deceptive tactics” to traffic men while operating the “international sex trafficking and prostitution enterprise” between 2008 and 2015, per the indictment.

The business, according to the indictment, was “dedicated to fulfilling their desires and ensuring that their international sex trafficking and prostitution business was kept secret, thereby maintaining Jeffries’ powerful reputation.”

The alleged victims, the indictment claims, were required to hand over their clothing, wallets and cell phones during the “sex events.” They were also allegedly made to sign non-disclosure agreements and “pressured” to drink alcohol, take Viagra and muscle relaxants, according to claims made in the indictment.

“Many of the victims, at least one of whom was as young as 19 years old, were financially vulnerable and aspired to be models in the fashion industry,” according to a press release from the U.S. Attorney’s Office, Eastern District of New York.

Jeffries was at the center of a scathing documentary, The Abercrombie Guys: The Dark Side of Cool, which covered the many lawsuits alleging discriminatory hiring practices filed against the company under Jeffries’ leadership.

A 2023 BBC investigation alleged that Jeffries and Smith were part of a “highly [organized] network” that involved a middleman who found young men to participate in sex events.

The BBC reported that eight men who said they attended the alleged sex events claimed they were exploited or abused.

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Last year, a group of models filed a class action lawsuit against Jeffries and Abercrombie, according to Reuters.

A company spokesperson for Abercrombie declined to comment about the arrests. However, the company previously said in an Oct. 2023 statement that they were “appalled and disgusted by the behavior described in the allegations against Mr. Jeffries.”

“The company’s current executive leadership team and board of directors were not aware of the allegations of sexual misconduct by Mr. Jeffries,” says the statement, which was obtained by PEOPLE. “For close to a decade, a new executive leadership team and refreshed board of directors have successfully transformed our brands and culture into the values-driven organization we are today.  We have zero tolerance for abuse, harassment or discrimination of any kind.” 

Jeffries and Smith were arrested in Florida and are scheduled to appear in a federal court in West Palm Beach on Tuesday, Oct. 22, John Marzulli, a spokesman for the U.S. attorney’s office for the Eastern District of New York, tells PEOPLE. Jacobson has a court appearance scheduled for Tuesday, in federal court in St. Paul, Minn., according to Marzulli.

Brian Bieber, a lawyer for Jeffries, said in a statement to PEOPLE, “We will respond in detail to the allegations after the Indictment is unsealed, and when appropriate, but plan to do so in the courthouse — not the media.”

Attorneys for Jacobson and Smith could not immediately be reached for comment.

Brittany Henderson, an attorney representing plaintiffs in a lawsuit filed against Jeffries and Abercrombie, said in a statement to PEOPLE: “News of the monumental arrests of Jeffries, Smith, and Jacobson has brought great validation to many of our clients. In addition to supporting the criminal prosecution, our clients look forward to holding Abercrombie and Fitch liable for facilitating this terrible conduct and ensuring that this cannot happen to other young aspiring models.”

If you or someone you know has been a victim of sexual abuse, text “STRENGTH” to the Crisis Text Line at 741-741 to be connected to a certified crisis counselor.