Class Action Lawsuit Rocks Apollo Global Amid Epstein Scandal

Shareholders have filed a class action lawsuit against Apollo Global Management and its co-founders, accusing them of defrauding investors about handling business with Jeffrey Epstein. The lawsuit claims false denials were made in filings regarding business dealings with Epstein, causing a significant drop in Apollo's stock value.

In a proposed class action lawsuit filed on Monday, shareholders have taken legal action against Apollo Global Management and its billionaire co-founders, Leon Black and Marc Rowan. The complaint centers on allegations that the firm misled investors for nearly five years about its business dealings with the disgraced financier Jeffrey Epstein.

The lawsuit, submitted to the Manhattan federal court, alleges that in multiple 2021 and 2022 regulatory filings, the defendants falsely claimed no business dealings with Epstein occurred. Contrary to these assertions, it is claimed that Epstein was actively engaged with Apollo's senior leadership during the 2010s. This revelation has reportedly led to a significant 15% decline in Apollo's stock, erasing approximately $12 billion in market value over February.

While Apollo's spokespersons for the involved personalities have declined to comment, the firm stated in a letter to clients that no executive, apart from Black, had any business or personal ties with Epstein. Despite assurances that interactions were limited and non-business related, the lawsuit, led by Solomon Feldman, references a January 2021 review which disclosed Epstein's significant monetary dealings, yet stated Apollo retained no services from Epstein.