Ex-Abercrombie CEO pleads not guilty to trafficking

Mike Jeffries, the former longtime chief executive of Abercrombie & Fitch, pleaded not guilty to charges he ran an international sex trafficking scheme while leading the clothing retailer.

Jeffries, 80, who led Abercrombie from 1992 to 2014, entered his plea to one count of sex trafficking and 15 counts of prostitution before U.S. Magistrate Judge Steven Tiscione in Central Islip, New York, in that state's Suffolk County.

Brian Bieber, a lawyer for Jeffries, entered the plea on his client's behalf.

Jeffries wore a navy blue blazer and light gray shirt, with no tie, to his arraignment.

He will remain free on a $10 million bond, but be subjected to home confinement with GPS monitoring. Jeffries posted his home in Fishers Island, New York as collateral.

James Jacobson, an employee of Jeffries, is also expected to enter a plea. Jeffries' partner Matthew Smith, a dual U.S.-British citizen, was ordered detained and will plead later. Both face the same charges as Jeffries.

Prosecutors said the alleged scheme ran from 2008 to 2015.

They said Jacobson acted as a recruiter, paid men to have sex with him then chose who would be paid to travel to Manhattan, the Hamptons and several countries around the world to have sex with Jeffries and Smith.

Victims were led to believe that their efforts could lead to modeling jobs, but the scheme's true purpose was to fulfill Jeffries' and Smith's sexual desires without tarnishing Jeffries' reputation, prosecutors said.

According to the indictment, victims were forced to consume alcohol, Viagra and muscle relaxants; use sex toys; and perform sex acts against their will. They were also required to sign nondisclosure agreements, the indictment said.

Dozens of men were victims, including 15 identified in the indictment, prosecutors said.

Each defendant faces 15 years to life in prison if convicted of sex trafficking and up to 20 years in prison if convicted of interstate prostitution.