A retired New York financier and his personal assistant were charged Friday with sex trafficking and transporting women across state lines for sex.
Howard Rubin, 70, and Jennifer Powers, 45, are accused in 10-count indictment.
Rubin was arrested Friday in Fairfield, Connecticut, and Powers was arrested in Southlake, Texas, a suburb in the Dallas-Fort Worth area. Neither of their attorneys would comment.
Rubin pleaded not guilty. Powers will appear before a judge on Monday.
Assistant allegedly arranged encounters for Rubin
Prosecutors allege between 2009-2019, the two arranged for women to travel to New York City to engage in sex with Rubin at his penthouse on 57th Street or in luxury hotels. Rubin had converted a bedroom of his penthouse into a soundproof sex “dungeon,” prosecutors said, and would engage in sadomasochistic sex with the women. He allegedly used a device to shock or electrocute the women, prosecutors said.
Powers allegedly arranged for the women, including former Playboy models, to fly to New York for the encounters, and made sure the women signed non-disclosure agreements.
Prosecutors allege that Rubin would set up a “safe word” to the women to stop the encounter but then he’d ignore it, or the women would be unable to actually say it because they were bound and gagged. Rubin allegedly encouraged women to drink alcohol and take drugs like sedatives. Some claimed they were unable to consent because of lack of consciousness. Rubin also allegedly threatened them with legal consequences and public shaming if they sought legal recourse.
Prosecutors believe there may be more victims, and are asking people to contact the FBI or call them at 212-384-3600.
Rubin is also accused of bank fraud for allegedly making misrepresentations to a bank while financing Powers’ mortgage. Court papers say he failed to disclose at least $8 million he used to fund his assistant’s life.
Officials accuse suspects of running “sex trafficking enterprise”
Law enforcement found eight cellphones during Rubin’s arrest.
“Today’s arrests show that no one who engages in sex trafficking, in this case in luxury hotels and a penthouse apartment that featured a so-called sex ‘dungeon,’ is above the law, and that they will be brought to justice,” said U.S. Attorney Joseph Nocella. “Human beings are not chattel to be exploited for sex and sadistically abused, and anyone who thinks otherwise can expect to find themselves in handcuffs and facing federal prosecution like these defendants.”
“For many years, Howard Rubin and Jennifer Powers allegedly spent at least one million dollars to finance the commercial sexual torture of multiple women via a national trafficking network. The defendants allegedly exploited Rubin’s status to ensnare their prospective victims and forced them to endure unthinkable physical trauma before silencing any outcries with threats of legal recourse,” FBI Assistant Director in Charge Raia said.
“It’s alleged Rubin directed a sex trafficking enterprise, exploiting women who were transported from across the country to his Manhattan penthouse that was equipped with a soundproof sex room filled with BDSM equipment, including a device used to shock the women,” stated Special Agent in Charge of IRS-CI Chavis. “This was not a one-man show. While Rubin dehumanized these women with abhorrent sexual acts, Powers is alleged to have run the day-to-day operations of the enterprise and got paid generously for her efforts.”
In 2017, Rubin, Powers and others were sued by some of the women. In that civil case, the jury awarded each of the victims more than $500,000.
The defense argues Rubin has no criminal history and offered to pay a $25 million bond, but he was denied bail. The judge voiced concerns that Rubin is a flight risk and that there were attempts to intimidate victims.
If convicted of the top charge of sex trafficking, they face 15 years to life in prison. Bank fraud carries a maximum of 30 years.
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