A securities class action filed April 29, 2026, in the Southern District of New York accuses Apollo Global Management, CEO Marc Rowan, and co-founder Leon Black of making false statements about the firm's relationship with Jeffrey Epstein. The suit, Perez v. Apollo Global Management, Inc., et al., covers investors who purchased Apollo securities from May 10, 2021, through February 21, 2026.
The complaint alleges Apollo repeatedly told the market it “never did any business with Jeffrey Epstein,” a claim echoed by Black on an October 2020 earnings call and reinforced by the January 2021 Dechert Report. Apollo incorporated that report by reference into its SEC filings for the first three quarters of 2021 and the full year, each carrying Sarbanes-Oxley certifications signed by Rowan.
According to the filing, those statements were materially false. Citing a February 1, 2026, Financial Times article based on newly released DOJ files, the suit alleges Epstein “requested and received internal Apollo financial documents and emailed, met and called some of the firm's most senior decision makers on sensitive matters.” Specific allegations include Rowan forwarding a detailed internal calculation of Apollo's tax receivable agreement to Epstein in March 2016, Epstein's involvement in 2016 talks about a potential tax inversion to redomicile Apollo overseas, and Epstein hosting a meeting at his Manhattan townhouse between Rowan, a former Apollo senior partner, and executives of Edmond de Rothschild. The suit also claims Epstein was looped into discussions around Athene Holding's pre-IPO share offering and pitched a tax plan that could have saved Apollo's co-founders up to $300 million, in exchange for a 25% success fee.
For institutional allocators, the market impact is significant. The suit references prior reporting that the Pennsylvania School Employees' Retirement System paused investments and that the Canada Pension Plan Investment Board, which manages US$500 billion, weighed pulling back. The 2021 annual report's risk disclosure on reputational harm from misconduct, the filing argues, was misleading given what management allegedly knew.
The complaint links the disclosures to a slide in Apollo's stock. Shares fell $1.35 to close at $133.19 on February 2, 2026, then dropped another $6.34 to $126.85 the next day. After a February 17 Financial Times report that the American Federation of Teachers and the American Association of University Professors urged the SEC to investigate, the stock fell from $125.15 to $118.34 over two trading days. Following a February 21 CNN article, shares dropped a further $5.99 to close at $113.73.
The allegations have not been tested in court, the defendants have not yet filed a response, and no court has ruled on the claims. This case echoes other recent litigation in the wealth management space, such as the Blue Owl Adviser Sued Over Alleged Asset Inflation That Boosted Fees 191% in Five Years and the Oregon Investors Allege Norada Capital Hid Ponzi Scheme in Promissory Notes.
Advisors should note that the suit's allegations, if proven, could have broader implications for due diligence and disclosure practices in alternative asset management. The case also highlights the importance of accurate risk disclosures, as seen in the St. Clair Shores Pension Fund Alleges Microsoft Misled Investors on Copilot AI Adoption.
