Epstein, family offices, and the hidden cost of networking

Bill Gates was once asked why he fraternised with Jeffrey Epstein, the notorious child sex offender. He responded: “There were people around him who were saying, hey, if you want to raise money for global health and get more philanthropy, he knows a lot of rich people.”

​The last bit of that quote – “he knows a lot of rich people” – is telling and something that the principals and managers of family offices should be wary of.

The pull of Bill Gates’s “he knows a lot of rich people” is never too far from a potential scandal

​Many rich people were drawn into Epstein’s web because he knew so many of them. Of course, there was the sex element as well, as Epstein’s horrendous exploits on that front have been more than portrayed elsewhere. But meeting other rich people, as Gates said, was also a big driving factor.

​Now every rich and famous person who hung around Epstein, particularly after he was first charged with sex offences in 2008, will be regretting their bad decisions, most for the rest of their lives. Some might even be going to prison for their liaisons with one of the most evil individuals of the 21st century. The saga has far from run its course.

​Yes, the Epstein saga might be unique in its depravity, and the fallout for many elites in the US and Europe, and even beyond, but the pull of Bill Gates’s “he knows a lot of rich people” is never too far from a potential scandal.

​After all, the rich were equally enamoured with Bernie Madoff, the criminal financier. Many piled into his Ponzi scheme because other rich people told them it was a good idea, and they could make money on their investments. They networked in Bernie Madoff-linked parties and gatherings in Palm Beach, Florida, New York City, and the Hamptons on Long Island.

​Directly closer to the family office world is the case of Anthony Ritossa and his family office conferences. Ritossa has been accused of being a con man, misleading attendees at his conferences, and has been arrested in London. He denies these allegations, but when they appear in multiple publications, including Vanity Fair, some might harbour strong suspicions about the man and his conferences.

​Beforehand, many principals and senior managers of family offices attended his conferences in the Middle East, Europe and the US. They went along because he and his network knew, or at least, allegedly knew a lot of rich people, just like Gates had done with Epstein.

​Interestingly, Ritossa appears to remain active in the family office conference scene, with a conference, billed as “The most influential gathering of private wealth in the USA for 2026”, scheduled in Miami in March. One is never amazed by people’s gullibility.

​But here’s the thing: all these cases at the beginning presented excellent networking opportunities because other rich people were involved. Only later were they exposed as fraudulent (Madoff), criminal (Epstein), and misleading (Ritossa). They all represent the hidden cost of networking, which can be devastating for those involved, as in the cases of Epstein and Madoff. Obviously, less so for Ritisso, but at the very least, less than helpful for many attendees.

​There are, of course, many reputable networking opportunities for family office employees and their rich principals to attend. But it would be prudent for these individuals to consider the hidden costs of networking, because you never know when another such costly episode might emerge.

​Don’t end up regretting being drawn into where all the rich people are without asking a few questions beforehand.

Don’t do what Bill Gates did.