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The Epstein Chronicles

Episode: Jeffrey Epstein And The Transcript From His 1981 SEC Deposition (Part 4)
Host: Bobby Capucci
Date: July 27, 2026

Episode Overview

In this episode, Bobby Capucci continues his detailed examination of Jeffrey Epstein’s 1981 deposition with the Securities and Exchange Commission (SEC), focusing on Epstein’s departure from Bear Stearns and the investigation surrounding potential insider trading involving St. Joe Minerals. Capucci walks listeners through the transcript, highlighting Epstein's answers to questions about his compensation, claims of expense reimbursement, relationships with colleagues and family, and knowledge (or lack thereof) regarding a possible takeover of St. Joe Minerals by Seagrams.

Key Discussion Points & Insights

Epstein’s Departure from Bear Stearns

Expense Reimbursements & Dispute (01:20 – 05:00)
- Epstein is questioned about his resignation and whether there were irregularities in his expense accounts.
- Notable exchange: When asked if he claimed expenses he wasn’t entitled to, Epstein states it’s possible a ticket was submitted in error by his secretary but insists he never intentionally submitted false claims.
- Quote:
  
  “In fact, since my secretary handles my expenses, I was sure that if someone else's airline ticket was in there, it wasn't asked for reimbursement for two people. It was in fact the wrong ticket. But I never saw the expenses.” (03:10)
Compensation and Bonus Structure (05:00 – 10:30)
- Discussion about Epstein’s salary ($42,000) and subjective year-end bonuses, which could range from $50,000–150,000, depending on commissions and firm performance.
- He lists last year’s total compensation as over $200,000, with $135,000 as bonus.
- Quote:
  
  “It's a subjective bonus, so it's very questionable. It could be anywhere between 50 and 150,000.” (07:10)
  “My total compensation... last year was over 200,000. And of that 200,000, some of it was 135,000 was the bonus.” (08:00)
Limited Partnership Buy-Out (10:30 – 13:30)
- Epstein discusses uncertainty over retrieving his $30,000 limited partnership capital, mentioning firm policies about disbursing such funds over a period of years but believes he’ll get his back in a lump sum due to its relative insignificance.
- Quote:
  
  “The general partnership is structured such that you don't want your partners taking out their capital, so that most partners get their capital distributed over a number of years.” (11:40)

Interpersonal Relationships & Business Dealings

Colleagues and Family Members (13:30 – 15:00)
- Epstein is asked about his siblings. He confirms he has one brother, whose information is redacted, and no business relationship with him outside of Bear Stearns.
- Affirms no business with unnamed individuals (“Redacted”) tied to the investigation.
- Quote:
  
  “No, nor do I anticipate any.” (Regarding future business with redacted individuals, 14:25)

SEC Investigation Queries & Cooperation

Instructions on Disclosure
- Epstein answers firmly that no one at Bear Stearns told him to withhold information from the SEC.
- Quote:
  
  “No.” (On being told not to divulge information about St. Joe Minerals to the SEC, 16:00)
Compensation Not Contingent on Silence
- Epstein denies compensation was in any way tied to his cooperation or silence regarding St. Joe Minerals.
- Quote:
  
  “No.” (On whether his compensation was tied to nondisclosure, 16:30)
Request for Phone Records and Documents (17:00 – 20:30)
- Investigators request access to phone records, bills, resignation letters, and diary entries.
- Epstein agrees to provide whatever is requested upon receipt.
- Quote:
  
  “I could, I guess, get them from the phone company. I don't have them.” (On phone records, 18:10)

St. Joe Minerals Insider Information Allegations

Denial of Possessing or Sharing Inside Information (21:00 – 23:30)
- In the core of the deposition, Epstein is adamant he did not have any information regarding the proposed takeover of St. Joe Minerals by Seagrams between March 9–13, 1981.
- He states he does not know anyone, inside or outside Bear Stearns, who had advance information.
- Quote:
  
  “That’s correct.” (When asked on record whether he possessed or knew of insider information on the takeover, 23:00)

Memorable Moments & Final Statements

Non-Listing in Phone Book (24:00)
- Before the session ends, Epstein interjects to clarify:
- Quote:
  
  “To facilitate a non listing in the phone book, my telephone is listed under Jeffrey Edwards. I just want to make that clear.” (24:10)
Lawyers’ Final Remarks (24:30 – 25:00)
- Epstein’s lawyer asserts:
  
  “I think his testimony was crystal clear that he KNEW Nothing about St. Joe’s Minerals.” (24:45)
Adjournment
- The interviewers reserve the right to recall Epstein if needed, closing the deposition.

Notable Quotes with Timestamps

Expense Claims:

“In fact, since my secretary handles my expenses, I was sure that if someone else's airline ticket was in there, it wasn't asked for reimbursement for two people. It was in fact the wrong ticket.” (03:10, Epstein)
Bonus Discussion:

“It's a subjective bonus, so it's very questionable. It could be anywhere between 50 and 150,000.” (07:10, Epstein)
Compensation Summary:

“My total compensation... last year was over 200,000. And of that 200,000, some of it was 135,000 was the bonus.” (08:00, Epstein)
Partnership Policies:

“The general partnership is structured such that you don't want your partners taking out their capital, so that most partners get their capital distributed over a number of years.” (11:40, Epstein)
Insider Information Denial:

“That’s correct.” (23:00, Epstein, in response to not having inside information about St. Joe Minerals)
Obscured Listings:

“My telephone is listed under Jeffrey Edwards. I just want to make that clear.” (24:10, Epstein)
Lawyer’s Closing:

“I think his testimony was crystal clear that he KNEW Nothing about St. Joe’s Minerals.” (24:45, Layman – Epstein’s lawyer)

Episode Flow & Tone

Bobby Capucci maintains his trademark no-nonsense tone, guiding listeners meticulously through the technicalities of the deposition. He highlights inconsistencies, provides context for arcane financial terms, and underscores the evasiveness present in Epstein’s answers, all while dissecting the culture of silence and plausible deniability that pervaded Wall Street during this era.

Conclusion

This episode wraps up Capucci’s deep dive into Epstein’s 1981 SEC deposition, with a focus on the intersection of corporate accountability, personal ethics, and power dynamics in high finance. The transcript reveals not only the details of Epstein’s exit from Bear Stearns, but also hints at the broader networks of silence and self-interest that facilitated his meteoric rise—big questions about oversight, complicity, and the culture surrounding figures like Epstein remain salient.

For listeners seeking context on the full deposition or related documents, Bobby refers them to the episode description box for supplementary materials and future coverage.

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Transcript1 lines

[00:00]
A
What's up everyone? And welcome to another episode of the Epstein Chronicles. In this episode, we're going to pick up where we left off with Jeffrey Epstein and his deposition with the SEC from 1981. Question have you communicated orally by smoke signal? Answer Nothing to do with St. Joe. Question I didn't ask if it was restricted to St. Joe. I'm asking if you had any communication with the executive committee other than Exhibit 2 and Exhibit 3. I have spoken again as I've stated to redacted afterward, after I handed in the resignation. Regarding the resignation circumstances, did redacted come up with this conversation or come up in this conversation only my feelings for Redacted being as he's someone who's helped me along. Question. Would help you in what way? Answer. You know that he had helped me. Question. That he had helped you? Answer yeah, and I felt that remorse at leaving the firm. Question how had redacted helped you? Answer he had explained many things to me in the firm. He'd been a friend. Question Completely redacted. Question Was there any discussion in connection with the circumstances of your leaving concerning expense accounts and claims for reimbursement of expenses by you against Bear Stearns? Answer There was a discussion on March that second discussion, March 9th regarding they had asked me what the situation was with some expenses I had put in and it was my recollection that none of the expenses went back to 1978. And then they came back and said yeah, in fact, someone who is the financial officer had said the expenses did go back to 1978. That's all. Question how much was involved in expenses back into 1978? In 78? Yeah. I don't really know. I have never seen the expenses that they gets cut off by the guy asking questions. Who was it that you spoke to about this Epstein? Question Was there any allegation or suggestion that there may have been putting in claims for reimbursement that you are not entitled to? Answer There was discussion whether in fact I had ever put in an airline ticket for someone else and not myself. And I said that, that it was possible. In fact, since my secretary handles my expenses, I was sure that if someone else's airline ticket was in there, it wasn't asked for reimbursement for two people. It was in fact the wrong ticket. But I never saw the expenses. It wasn't shown. Do you know how much was in dispute? Well, if it was an airline ticket, it, it couldn't have been much money. But I don't really know. I don't think it was any money in dispute. They asked me whether or not I had put it in for someone else. I said, not to my recollection. And they came back and said, someone remembers seeing a different airline ticket. And that's the extent of it. Question this was someone had remembered seeing a different airline ticket. Did they tell you how long ago? Answer no. Question. Do you know why that subject was brought up? At the time, there was a fact about again, going over that had gone on. I think this is fine. Regarding the violation of fee is ridiculous. I think it's excessive. And there was a fact about carelessness. You've been careless in the past. That's how it was brought up. Do you have an understanding that anyone other than the people that we've mentioned in this testimony have traded in St. Joe's stock or options? No. Question. Upon your termination or resignation at Bear Stearns, were you promised or did you come to expect any sort of compensation package? I. In fact, I get paid on a yearly basis. I get a salary plus a bonus. I was paid normally in May, and in fact, he said that I would get paid for my work until March 12th. What about the bonus? That's when I draw the money. Question. So you anticipate receiving that bonus in May? Sometimes, yes. How substantial is that bonus? I don't know what you mean by substantial. It's a lot of money. How much money is involved? It's a subjective bonus, so it's very questionable. It could be anywhere between 50 and 150,000. What are your expectations? It's unclear. My guess is about 100. What is the bonus based on? Answer. The system with the firm works is based on many different factors. Commissions generated. I don't have. Salaried employees are given a low. A very low salary and then compensated at the end of the year, broadly based on how the firm does as a total entity and your participation towards those profits. Question. You're a salaried employee or were a salaried employee, is that right? Answer. I was a salaried employee and I received commissions and a bonus. What was your salary? 42,000. You understood that in connection with your resignation, you would receive your salary through March 12th. Is that correct? Yes, sir. Did you have any understanding that you would receive any additional salary beyond March 12th? No, sir. Question. Was that ever discussed? No, sir. Question. With anyone? No, sir. Again, the bonus was in fact discussed. And how much of a bonus did you make the previous year? In total? Well, bonus. In total. My total compensation. You see, we discussed things in terms of total compensation and last year was over 200,000. And of that 200,000, some of it was 135,000 was the bonus. 135 was the bonus. And do you know how you came to expect 100,000 in bonus for your employment through March? Answer Again, it's a subjective thing. I felt that I had done a good job this year as last year. But you've only been there for three months of the year. No, we're on a May year, so it's 10 out of the 12 months. Was there any discussion about buying your interest out of the limited partnership over and above any compensation that you may have received by reason of your annual salary and and bonus? No. As a matter of fact, there's a question that's not been discussed yet. I don't believe whether in fact I can get my limited partnership money out as it stands. Question how much is tied up? 30,000, approximately. It's a 20 plus participation. So the participation again is based upon a full year, then prorated back to 10. Who have you had those discussions with? Question. Question what seems to be the snag? Answer the firm policy is varies for the different people as far as when they decide. A general partnership is structured such that you don't want your partners taking out their capital so that most partners get their capital distributed over a certain number of years. The number of years I'm not sure of and I don't know whether that's clear or not, whether that applies to limited partners or not. Question so it would be your expectation that you would receive your money over a period of time as. As opposed to one lump sum? No, I believe it'll come in one lump because the money is insignificant compared to the amount of money in the partnership. Do you anticipate then being bought out of the partnership in some formal fashion? I anticipate receiving my money back. Do you have a lawyer in connection with these negotiations? There's no negotiation. This is a conversation between you and Redacted. Answer Yes. Question do you have any sisters? Answer I do not. Question do you have any brothers? Answer yes. Question Are any of them married? Answer no. I have one brother. Question One brother. What is his name? Gives him the name. Where does he live? All this is redacted. Where is he employed? What does he do? Have you had any type of business dealings with. Redacted Question there's no relationship with Bear Stearns? Question Pardon? Other than Bear Stearns, no. Have you been participant in any type of business ventures with Redacted. No. Question do you have any expectations of participating in any business ventures with redacted? No. Question have you had any business participations with redacted? No, nor do I anticipate any. Mr. Epstein, did anyone at Bear Stearns tell you, in words or substance, that you should not divulge anything about St. Joe Minerals to the staff of the securities and Exchange Commission? No. Question has anyone indicated to you in any way, either directly or indirectly, in words or substance, that your compensation for the past year or any future monies coming to you from Bear Stearns will be contingent upon your not divulging information to the securities and Exchange Commission? Answer. No. Question. Now, I think earlier we asked for your phone number and we got your phone number, is that correct? Answer yes, two phone numbers. Question Two phone numbers. Those are for your house in the city. Answer. And Brooklyn. Question. End. In Brooklyn. Can we get the phone records for those two numbers from the first of the year, January 12th or January 1st? Mr. Lehman, do you have in your possession your phone records for the period of time the witness the phone bills? Question. The toll charges, the sheet with the toll charges, Epstein. I would doubt it. I could, I guess, get them from the phone company. I don't have them, Mr. The commission can certainly subpoena the telephone company for whatever phone records it wants. Alright. Do you presently have your March bill at least, or have you received your March bill yet? I don't really know. The March bill being you're talking about March 1st to date, is the question Answer no, I don't believe so. Question. All right. We would ask that once it's received by you that you forward it to us. Answer. Okay, Mr. Layman. We will also ask to see the the Original of the March 25 letter. Division Exhibit 2. Mr. Layman Again, I'll check to see if it's available. We certainly have no objection. Question I. I would also ask to speak with a responsible official to call their file to see if there's any other documents in their possession tending to Mr. Epstein's March 12, 1981 letter of resignation. That's divisions exhibit three, Mr. Lamon. Again, I'll check to see if it's available. I have no problem. I'll ship it up here by messenger if you would like. Whatever you want. Question. Including copies of Mr. Epstein's diary Lehman, for the last six months. Question right. Layman. We will endeavor to provide that to you, Mr. Harris. Okay. Question. Last Question. Today, is it your testimony under oath today that during the period of March 9 through March 13, 1981, you did not have any information regarding a proposed takeover of St. Joe Minerals Corporation by Seagrams? That's correct. Is it also your testimony that you're unaware that anyone else at Bear Stearns has such information available? That's correct. And furthermore that you're aware of anyone outside of Bear Stearns who may have had this information in their possession before the public announcement of Seagram's takeover? Answer. That's correct. Epstein, before you go off the record, I just want to make it clear that to facilitate a non listing in the phone book, my telephone is listed under Jeffrey Edwards. I just want to make that clear. Question. All right. Are you speaking of the Manhattan answer? That's correct. Question. Mr. Layman, I'd like to go provide you with an opportunity before we go off the record for you to clarify any points that you feel need clarification. Mr. Layman. I see no need. I think his testimony was crystal clear that he KNEW Nothing about St. Joe's Minerals. Question. Okay. Very well. We'll adjourn for the record for the today. Of course, the staff reserves the right to recall you sometime in the future if we deem it necessary or appropriate. That being the case, we'll adjourn until 5:30. All right. So that is the conclusion of the 1981 deposition that Jeffrey Epstein gave to the SEC. All the information that goes with that episode can be found in the description box.