UK police open criminal investigation into politician Peter Mandelson over alleged leaks to Epstein

LONDON (AP) — British police on Tuesday opened a criminal investigation into politician Peter Mandelson over alleged misconduct in public office related to his relationship with convicted sex offender Jeffrey Epstein.

The U.K. government says newly released Epstein files suggest Mandelson – a former Cabinet minister, ambassador and elder statesman of the governing Labour Party – may have shared market-sensitive information with the convicted sex offender a decade and a half ago.

London’s Metropolitan Police force said detectives had reviewed reports of misconduct and decided they met the threshold for a full investigation.

Commander Ella Marriott said the force “has now launched an investigation into a 72-year-old man, a former government minister, for misconduct in public office offenses.”

Misconduct in public office carries a maximum sentence of life in prison. Opening an investigation does not mean Mandelson will be arrested, charged or convicted.

But his friendship with Epstein has now cost him his political career. Mandelson said Tuesday he was resigning from the House of Lords, Parliament's upper chamber, to which he was appointed for life in 2008.

The Speaker of the Lords, Michael Forsyth, said Mandelson had informed officials he will retire effective Wednesday.

The announcement came as the British government prepared legislation to eject Mandelson from the Lords and remove the noble title, Lord Mandelson, that came with his seat in the chamber. Mandelson will retain the title after he retires unless lawmakers pass legislation to strip it from him — something that has not been done for more than a century.

A trove of more than 3 million pages of Epstein-related documents released by the U.S. Justice Department has brought excruciating revelations about 72-year-old Mandelson, who served in senior government roles under previous Labour governments and was U.K. ambassador to Washington until Prime Minister Keir Starmer fired him in September over his ties to Epstein.

The newly released files contain emails from Mandelson to Epstein passing on nuggets of political information, some of which critics say may have broken the law.

Starmer told his Cabinet on Tuesday that he was “appalled” by the revelations in newly released Epstein files, and was concerned there are more details still to emerge.

Starmer spokesman Tom Wells said that the government had sent police its assessment that the Mandelson-Epstein documents contained “likely market-sensitive information" about the 2008 global financial crisis and its aftermath that shouldn't have been shared outside of government.

Among the revelations in the files:

— In 2003-2004, bank documents suggest Epstein sent three payments totaling $75,000 to accounts linked to Mandelson or his partner Reinaldo Avila da Silva. Mandelson has said that he doesn't remember receiving the money and will investigate whether the documents are authentic. But he resigned from the governing Labour Party on Sunday, saying he didn’t want to cause the party “further embarrassment.”

— In 2008, Epstein avoided federal prosecution by pleading guilty to state charges in Florida of soliciting and procuring a minor for prostitution. He was sentenced to 18 months in jail. Emails and text messages show that Mandelson’s friendship with Epstein continued after the financier’s sentence.

— In 2009, Epstein sent da Silva 10,000 pounds (about $13,650 at today’s rates) to pay for an osteopathy course. Mandelson told The Times of London that “in retrospect, it was clearly a lapse in our collective judgment for Reinaldo to accept this offer.”

— Also in 2009, Mandelson, then business secretary in the U.K. government, appears to have told Epstein he would lobby other members of the government to reduce a tax on bankers’ bonuses.

— The same year, Mandelson sent Epstein an internal government report discussing ways the U.K. could raise money after the 2008 global financial crisis, including by selling off government assets. Mandelson wrote: “Interesting note that’s gone to the PM.”

— In May 2010, Mandelson messaged Epstein that “sources tell me 500 b euro bailout” is almost complete. The message was dated hours before day European governments announced a 500 billion euro deal to shore up the single currency.

Epstein died by suicide in a jail cell in 2019, while awaiting trial on U.S. federal charges accusing him of sexually abusing dozens of girls.

U.K. Health Secretary Wes Streeting said that Mandelson's friendship with Epstein was “a betrayal on so many levels.”

“It is a betrayal of the victims of Jeffrey Epstein that he continued that association and that friendship for so long after his conviction,” Streeting told the BBC. “It is a betrayal of not just one but two prime ministers,” he said, referring to Gordon Brown, the U.K. leader between 2007 and 2010, and Starmer.

An email requesting comment on the documents was sent to Mandelson through the House of Lords.

FILE - President Donald Trump, left, gets a reaction from Britian's ambassador to the United States Peter Mandelson, right, as they take questions from members of the media after announcing a trade deal between U.S. and U.K. in the Oval Office of the White House, Thursday, May 8, 2025, in Washington. (AP Photo/Evan Vucci, file)

FILE - British Prime Minister Keir Starmer, right, talks with Britain's ambassador to the United States Peter Mandelson during a welcome reception at the ambassador's residence on Wednesday, Feb. 26, 2025 in Washington. (Carl Court/Pool Photo via AP, file)

FILE - Britain's Ambassador to the United States, Peter Mandelson, speaks during a reception at the ambassador's residence on Feb. 26, 2025 in Washington. (Carl Court/Pool Photo via AP, File)

British Ambassador to the United States, Peter Mandelson speaks during the rededication ceremony of the George Washington Statue in the National Gallery in London, Wednesday, June 18, 2025. (AP Photo/Kirsty Wigglesworth)

NEW YORK (AP) — On a recent weeknight, three tenants of an aging Bronx building were trading apartment horror stories inside a packed ballroom lined with city bureaucrats.

The occasion was the third in a series of “rental rip-off hearings,” a new forum launched by New York Mayor Zohran Mamdani for disgruntled renters to air their complaints directly to housing officials — and in some cases, the mayor himself.

As she waited in line, Gulhayo Yuldosheva said she worried that noxious mold in her apartment had worsened her child’s asthma. Nearby, her downstairs neighbor, Marina Quiroz, was showing a video of rats scurrying through her kitchen to a representative of the city’s tenant protection office.

Ann Maitin, a longtime resident of the same building, had just met with the mayor.

“He let me go over my three minutes,” she said, holding up a spiral notebook’s worth of grievances.

Mamdani, a democratic socialist swept into office on a promise of zealous tenant advocacy, framed the event as a struggle session for renters, assuring the standing room only crowd that their stories would guide the city's efforts “to actually hold landlords accountable when they don’t follow the law."

To the residents of 705 Gerard Avenue, this raised a practical problem: No one seemed to know who actually owned their building.

“It feels like such a basic question,” said Maitin, a retired Verizon technician who recently organized the building’s tenant association. “You’d think we’d have the right to that information.”

Their situation is hardly unique. As corporate owners and investor groups have grown their share of the rental market in New York City, they are increasingly shielding their identities behind limited liability companies, or LLCs.

The practice, which has also been spreading nationally, is legal. But experts warn it could complicate Mamdani’s promised crackdown, making it harder for the city and tenants to track the chronically negligent owners whose buildings the mayor has vowed to target and even seize.

“There are these big slumlords that everyone knows are doing predatory investment, but pinning them down is going to be difficult, for the LLC reason,” said Oksana Mironova, a housing policy analyst at the Community Service Society. “That’s a problem for the administration, and it’s even worse for tenants.”

For Yuldosheva and her neighbors, finding their landlord is one of many problems afflicting their six-story building near Yankee Stadium.

Heat and hot water outages are regular enough that some tenants keep a thermometer on their fridge and the city’s complaint hotline on speed dial. Common areas are often filthy, and increasingly populated by drug users. Getting help with an urgent maintenance issue “feels like waiting for Christmas in July,” said Maitin.

During a monthslong elevator outage, a tenant who uses a wheelchair, Tommy Rodriguez, said he was forced to “slide down the steps, like a kid.” Calls to the building management about a repair timeline went unanswered, he said.

Growing up in the building in the 1980s, Rodriguez recalled the previous landlord as a friendly and responsive neighborhood presence.

“This felt like a home before,” Rodriguez said. “Now they treat us the same as the rats.”

A large rodent had recently chewed a hole through his couch cushion. He handled the extermination himself, with a two-by-four.

Recently, tenants received a clue about their landlord, following the partial collapse of another Bronx building. The man identified in news stories as the owner of that building, David Kleiner, shared a Brooklyn office with their building manager, Binyomin Herzl.

A handful of tenants visited each of the building’s 72 units, logging an array of decrepit conditions and unusual alterations.

“We didn’t want to become the next news story,” said Yuldosheva, pointing to a crack in the wall of a bedroom shared by her three children — a result, she feared, of the subway that rumbles just below her windows.

Lawsuits show that Herzl has been ordered to pay more than $100,000 for violations across at least six Bronx buildings, several of which were found by a judge to pose an imminent hazard.

Reached by phone, Herzl said he didn't own any of those properties, but simply acted as a middleman between tenants and the true owners, whom he declined to list. “There’s no one landlord,” he said. “It’s a group of investors.”

Kleiner, who was previously featured on the city’s “worst landlord” list, confirmed his partial ownership of 705 Gerard in a brief phone call, but declined further comment.

Herzl, meanwhile, attributed the tenants’ complaints to “normal wear and tear” of a nearly century old building. He said Mamdani should focus on improving the city’s public housing, rather than going after private landlords.

“Our buildings look like five star hotels against his,” he added.

When landlords refuse to address a serious violation, like heat or hot water outages, the city can step in and order repairs, then bill the owner directly.

In the last three years, inspectors have ordered emergency repairs at 38 buildings that list either Herzl or Kleiner as an owner, according to records provided by the city’s housing department. The men have been billed $446,521 for those repairs.

Mamdani has proposed using such fines as a vehicle to bring distressed rental properties under city stewardship, by aggressively pursuing liens on delinquent landlords and buying up their portfolios through foreclosure auctions.

Just as the city can shut down unsanitary restaurants, Mamdani has said, landlords that “repeatedly put New Yorkers at risk will not be allowed to operate in New York City — with no exceptions."

In reality, the process is resource-intensive and legally fraught. It is made more complex by the nest of LLCs often used by landlords to obfuscate the full scope of their portfolios, according to Cea Weaver, director of the Mayor’s Office to Protect Tenants.

“It’d be great to have a better sense of who owns the buildings that we are regulating and overseeing,” she said.

State legislation that would have made it easier to identify LLC owners was recently vetoed by New York Gov. Kathy Hochul amid pressure from landlords.

Kenny Burgos, the CEO of the New York Apartment Association, a landlord lobbying group, said Mamdani’s tenant proposals — including freezing the rent for regulated tenants — would force landlords to cut back on maintenance and services.

“That’s going to take away from the elevator budget, the boiler budget, the heating budget,” he said. “It’s a question of math: These buildings are crumbling because of policy, not because of bad landlords.”

He characterized the rental rip-off hearings as “show trials” that took a “tribal approach” to the city’s affordable housing crisis.

Despite the combative branding — “New Yorkers vs. Bad Landlords,” blares one promotion — the Bronx event mostly resembled a standard constituent service night: City officials fielded questions about local laws, helped residents with paperwork and connected them to service providers.

Maitin left feeling “glad to be heard by someone who can actually do something about the problem,” but felt it was too early to tell “if it’s all talk."

The next morning, she was surprised to find the building’s superintendent applying a fresh coat of paint to a staircase. Outside, workers were removing scaffolding that had been in front of the building for years.

“I think they caught wind of the rental rip-off,” Maitin said. “They’re scared.”

FILE - New York City Mayor Zohran Mamdani speaks to reporters during a news conference in New York, Tuesday, Feb. 17, 2026. (AP Photo/Seth Wenig, File)

FILE - New York City Mayor Zohran Mamdani speaks during a Rental Ripoff Hearing at Fordham University on Wednesday, March 11, 2026, in New York. (AP Photo/Andres Kudacki, File)

Gulhayo Yuldosheva's children get ready for school in an apartment building where tenants report maintenance issues and pest infestations, in the Bronx borough of New York, Tuesday, March 17, 2026. (AP Photo/Andres Kudacki)

Francisco Medina, left, cleans his apartment next to his relative, Maria Frias, right, in an apartment building where tenants report maintenance issues and pest infestations, in the Bronx borough of New York, Tuesday, March 17, 2026. (AP Photo/Andres Kudacki)

Gulhayo Yuldosheva, 33 , center right, Marina Quiroz, 65, top, pose for a portrait with other two residents in an apartment building where tenants report maintenance issues and pest infestations, in the Bronx borough of New York, Tuesday, March 17, 2026. (AP Photo/Andres Kudacki)

Tommy Rodriguez, right, talks to his relative, Francisco Medina, left, in an apartment building where tenants report maintenance issues and pest infestations, in the Bronx borough of New York, Tuesday, March 17, 2026. (AP Photo/Andres Kudacki)

Marina Quiroz stands in her living room in a Bronx apartment building, where tenants report maintenance issues, pest infestations, Tuesday, March 17, 2026, in New York. (AP Photo/Andres Kudacki)