A prominent British lobbying company has ceased operations and entered bankruptcy proceedings following damaging revelations about its co-founder’s ties to Jeffrey Epstein, the deceased convicted sex offender.
Global Counsel announced Friday it has halted business activities and dismissed approximately 80 employees in the United Kingdom after numerous clients severed relationships with the firm. The exodus occurred after documents exposed the depth of Peter Mandelson’s connection to Epstein, who died while imprisoned in New York during 2019. The company employs roughly 130 people across the globe.
Mandelson, who established Global Counsel in 2010 following the Labour Party’s electoral defeat, stepped down from the company’s board last year and divested his ownership stake this month in what appeared to be an effort to shield the business from the growing controversy.
Interpath, a consulting company, has assigned administrators to explore possibilities for the enterprise and examine its holdings.
“While Global Counsel had grown over the past 15 years to become one of the U.K.’s leading public affairs consultancies, the rapid and sudden loss of clients over recent weeks has had a monumental impact on the business,” said Will Wright, U.K. chief executive of Interpath and joint administrator.
Among the extensive collection of Epstein-related documents released by the U.S. Justice Department, correspondence revealed that Mandelson shared confidential government intelligence with the financier he called his “best pal” during 2009, while serving as a senior Labour government official.
The files also contained evidence of $75,000 in payments during 2003 and 2004 from Epstein to financial accounts connected to Mandelson or his spouse, Reinaldo Avila da Silva. Mandelson has challenged the validity of these banking records. In his resignation letter to Labour, Mandelson stated he had no memory of receiving such funds and pledged to investigate the matter.
After the Epstein documents became public, law enforcement officers conducted searches at Mandelson’s London residence and another property associated with him.
British authorities are investigating Mandelson for possible misconduct while in public service, though he faces no allegations of sexual crimes. On Thursday, Andrew Mountbatten-Windsor was taken into custody on similar suspicions related to his tenure as a UK trade representative.
Mandelson’s selection for the prestigious diplomatic position nearly ended Prime Minister Keir Starmer’s career as critics questioned his decision-making abilities. Mandelson’s extensive political history has been marked by scandal, including two departures from Tony Blair’s administrations around 2000.
Less than a year after the appointment, Starmer dismissed Mandelson in September when earlier email releases demonstrated he maintained his friendship with Epstein following the financier’s 2008 conviction for sexual offenses involving a minor.
The government intends to publish records from the screening process, hoping to clear Starmer’s name and demonstrate that Mandelson was dishonest.
