Howard Rubin Arrested on Sex Trafficking
NEW YORK — September 26, 2025 — Howard Rubin, a once-prominent Wall Street trader who gained notoriety in the 1980s, has been arrested on federal sex trafficking charges. FBI agents took the 70-year-old into custody Friday morning at his home in Fairfield, Connecticut.
Rubin, best known for his appearances in Michael Lewis’ classic Wall Street book Liar’s Poker and for his trading stints at Salomon Brothers, Merrill Lynch, and Bear Stearns, is now facing some of the gravest allegations of his life. Prosecutors say he ran a long-running sex trafficking operation that included transporting women across state lines, coercing them into commercial sex acts, and assaulting them inside what has been described as a Manhattan “sex dungeon.”
What the Indictment Says
A 10-count indictment unsealed in Brooklyn federal court accuses Rubin and his former personal assistant, Jennifer Powers, 45, of operating the network for close to a decade.
Authorities allege that encounters began in upscale New York hotels before Rubin shifted them to a rented Manhattan penthouse he had transformed into a BDSM chamber. The apartment was reportedly soundproofed and stocked with bondage equipment, with one device allegedly designed to electrocute women.
The indictment further claims Rubin frequently exceeded the boundaries of consent, leaving women with injuries serious enough to require medical care.
Prosecutors also say Rubin and Powers spent more than $1 million running the operation, paying women through wire transfers and apps like PayPal and Venmo, while at times structuring the payments to avoid triggering bank reporting requirements.
The Role of Jennifer Powers
Powers, who was arrested in Texas, is accused of recruiting women, arranging their travel, and handling complaints. She allegedly required participants to sign non-disclosure agreements that threatened financial penalties and legal action if they ever spoke publicly about their encounters with Rubin.
In addition to the trafficking charges, Powers faces a separate bank fraud charge tied to a mortgage application in Texas.
A History of Allegations
Rubin has faced similar claims in the past:
- In 2017, several women, including Playboy models, filed lawsuits alleging they were beaten and assaulted by him.
- In 2022, a Brooklyn jury found Rubin liable for sex trafficking six women and ordered him to pay $3.85 million in damages.
What’s at Stake
If convicted, both Rubin and Powers face mandatory minimum sentences of 15 years in prison, with the possibility of life behind bars.
Brooklyn U.S. Attorney Joseph Nocella said in a statement:
“As alleged, the defendants used Rubin’s wealth to lure and manipulate women into commercial sex acts, where Rubin then tortured them beyond their consent, causing lasting physical and psychological harm.”
From Trading Floor to Courtroom
Rubin’s fall from grace is striking. Once a star trader, he was blamed in 1987 for unauthorized trades at Merrill Lynch that contributed to a $250 million loss in mortgage securities. That scandal and his Wall Street career were immortalized in Liar’s Poker.
Today, however, Rubin’s story has shifted from financial headlines to criminal charges, as the former power broker prepares to stand trial in Brooklyn federal court