Ex-Soros Fund Manager Indicted in Manhattan 'Sex Dungeon' Case
Former Soros Fund Management portfolio manager charged with sex trafficking and bank fraud for allegedly running a network that lured women to a Central Park-area penthouse outfitted as a sex dungeon.
A former Soros Fund Management portfolio manager has been indicted on federal sex-trafficking and bank-fraud charges, accused of luring women — including former Playboy models — to a Manhattan penthouse outfitted as a soundproof "sex dungeon" where prosecutors say the women endured violent abuse.
Howard Rubin, 70, and his longtime assistant Jennifer Powers, 45, were indicted in separate cases announced Friday in federal court in Brooklyn. Rubin pleaded not guilty to the charges after his arrest in Connecticut, and a U.S. magistrate judge ordered him detained without bail, citing concerns he could flee. Powers was arrested in Texas and is slated to make her initial appearance in federal court in the Northern District of Texas on Monday.
Prosecutors say that between 2009 and 2019 Rubin built an extensive network that recruited women to fly to New York and engage in sex in exchange for money, often using force, fraud and coercion. The NY penthouse near Central Park was transformed into a red, soundproofed room furnished with BDSM equipment and devices that prosecutors say could shock or electrocute a victim. Some of the women had backgrounds of prior sexual abuse, financial hardship or addiction, according to prosecutors.
After the encounters, Rubin’s money was paid to the women by wire transfer or via payment services such as PayPal or Venmo. Powers helped manage logistics and, prosecutors say, sometimes structured payments to avoid triggering reporting thresholds by banks.
The victims were sometimes encouraged to drink or use drugs to intensify the encounters, and prosecutors said some acts occurred beyond the scope of consent, causing physical injuries and psychological trauma that required medical treatment.
If convicted of sex trafficking, Rubin and Powers face a minimum punishment of 15 years in prison to life; Rubin also faces up to 30 years for bank fraud for allegedly lying on mortgage paperwork to aid Powers in purchasing a Texas home.
During a prior civil case in 2017, a jury found Rubin liable for $3.9 million to some victims; he is appealing that verdict. Authorities say there is no indication of any personal connection between Rubin and George Soros.
The FBI said Rubin allegedly used his status to entice victims and silenced any complaints with threats of legal action, while the investigation unfolded across multiple states.
