Leon Black plans to step down as chief executive of Apollo Global Management Inc. after an independent review revealed larger-than-expected payments to disgraced financier Jeffrey Epstein who nevertheless considered it warranted.
The month-long review by Dechert LLP found no evidence that Mr. Black was involved in the criminal activities of the late Epstein, who was indicted in 2019 on federal sex trafficking charges involving underage girls, according to a copy of the law firm’s report that was viewed. by The Wall Street Journal.
In his report, Dechert found that the fees the billionaire Epstein had paid were for legitimate advice on trust and estate tax planning that proved to be of great value to Mr. Black and his family. Mr. Black paid Epstein a total of $ 148 million, plus a $ 10 million donation to his charity – far more than previously known.
Mr. Black wrote in a letter to Apollo fund investors that he would relinquish the role of CEO to co-founder Marc Rowan on or before his 70th birthday on July 31, while retaining the role of Chairman. In the letter, a copy of which was reviewed by the Journal, Mr. Black outlined other board changes he recommends to the board, including the appointment of more independent directors and the elimination of Apollo’s dual-class stock structure.
Mr. Black also pledged to donate $ 200 million of his family’s money to women’s initiatives.