A major criminal case has shocked Wall Street, high society, and advocates for survivors of abuse: retired New York financier Howard Rubin, 70, and his former personal assistant Jennifer Powers, 45, have been federally indicted for allegedly orchestrating a violent sex trafficking operation that spanned more than a decade. The chilling allegations include the use of a soundproofed “sex dungeon,” non-consensual sexual violence, bank fraud, interstate transportation, and egregious coercion. Here’s a breakdown of the known facts—what prosecutors allege, what’s been proven so far, and what this case reveals about exploitation, power, and justice.
Who is Howard Rubin & Jennifer Powers
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Howard “Howie” Rubin is a former investment banker who held positions at Merrill Lynch, Bear Stearns, and, most recently, Beros Fund Management (formerly Soros Fund). He made his name in finance over decades, building wealth and status.
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Jennifer Powers served as Rubin’s personal assistant beginning around 2011, according to the indictment. Prosecutors allege she was deeply involved in the logistics of the alleged trafficking operation—recruiting women, arranging their travel, overseeing payments, and managing “the dungeon” in his Manhattan penthouse.
Timeline & Scope of Alleged Crimes
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2009–2019: Prosecutors say the trafficking ring operated during this period. Women—some former Playboy models, others economically vulnerable—were recruited through social media, modeling platforms, or via intermediaries to travel to New York City or other locations.
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Initially, encounters occurred in luxury hotels in Manhattan. Later, Rubin leased a two-bedroom penthouse near Central Park, part of which was converted into a bedroom dubbed “The Dungeon.” The room was soundproofed, painted red, equipped with BDSM gear, and allegedly included devices used to shock or electrocute women.
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Prosecutors say that during many encounters, Rubin went well beyond what was agreed: safe words were ignored; women who attempted to object found themselves bound or gagged; some became unconscious mid-encounter. At times the pain was so severe that injuries lasted for weeks, bruising, discoloration, and in one especially graphic claim, a breast implant flipped upside down—requiring surgery to correct.
Modus Operandi and Financial Misconduct
The restitution here is more than moral outrage—it’s financial. Rubin and Powers are alleged to have spent at least $1 million of Rubin’s money running the trafficking network: arranging flights, purchasing equipment, lodging, paying victims, and maintaining the penthouse and “dungeon.”
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Payment per encounter allegedly followed a brutal scale: if Rubin was “satisfied” by how the woman “endured” the encounter, she would receive $5,000. If he was dissatisfied, the amount would drop by several thousand. Powers handled the payment methods—wires, PayPal, Venmo—and often structured them to avoid bank reporting thresholds (such as transactions over $10,000).
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Non-Disclosure Agreements (NDAs) were reportedly used to keep victims from speaking out or suing. Victims were made to sign them supposedly acknowledging risk, but prosecutors say Rubin and Powers used legal threats, public shaming, and financial leverage to silence them.
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Bank fraud is also part of the indictment: Rubin is accused of misrepresenting litigation status to a bank in securing a mortgage for Powers’s home in Texas, among other financial misrepresentations.
Legal Charges, Arrests & Defense
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Rubin was indicted on 10 counts, including sex trafficking by force, fraud or coercion, transporting women across state lines for prostitution, and bank fraud. Powers is facing similar sex trafficking and transportation charges.
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Rubin was arrested in Fairfield, Connecticut; Powers was arrested in Southlake, Texas. Rubin pleaded not guilty. A magistrate judge denied bond, citing flight risk and danger to the community.
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If convicted, the defendants face steep penalties: the sex trafficking charge carries a mandatory minimum of 15 years in prison (potentially up to life), with other charges adding further prison exposure.
Broader Implications
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Power & vulnerability: The allegations underscore how wealth, prominence, and social status can be misused to exploit people who are financially desperate or in vulnerable positions. The fact that many victims had past histories of abuse or addiction is repeatedly noted in the indictment.
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Consent & abuse: The case raises difficult issues around what consent means when safe words are ignored, when people are bound or gagged, or when they become unconscious. Legal lines between consensual BDSM and criminal assault are being tested. Professional misconduct allegations like this spotlight how power imbalances can lead to coercion even in supposedly consensual frameworks.
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Legal use of NDAs: This case also highlights how NDAs can function not merely as confidentiality tools, but as instruments of silence, intimidation, and legal leverage over survivors. Courts and public opinion are increasingly scrutinizing NDAs in cases of abuse.
What Happens Now
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Rubin and Powers will face trial in federal court (Eastern District of New York).
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Many of the previously filed civil suits (2017, etc.) are relevant because they offer documented testimony and precedent. Some judgments have already been awarded to victims, though notification and enforcement issues remain.
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Law enforcement has set up tip lines and urged anyone with information or victimization by Rubin or Powers to come forward.
This case involving Howard Rubin and Jennifer Powers is deeply disturbing, not only for the severity of the allegations, but for what it suggests about how abuse can be hidden inside luxury, reputation, and wealth. As the legal process unfolds, the challenge will be ensuring victims are heard, protected, and fairly compensated—and that justice holds individuals accountable, regardless of their social or financial stature.
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