The boyfriend of disgraced Abercrombie CEO grinned as he walked free from court on sex trafficking charges as a clunky ankle monitor hugged his leg.
Matthew Smith, 61, pleaded not guilty to one count of sex trafficking and 15 counts of engaging in interstate prostitution in Central Islip Federal Court on Tuesday under US Magistrate Judge Lee Dunst.
Smith was released under house arrest at his home in Palm Beach, Florida, and a $10 million bond. He had to surrender his passport, and was ordered not to travel beyond Long Island, New York City and South Florida.
He plans to use his two Palm Beach homes in Florida and a property in Saltaire on Fire Island as collateral.
His bond was secured by Michael Jeffries, 80, and Jeffries wife, Susan, their son and daughter-in-law Andrew and Annabel Jeffries and former A&F executive vice-president Diane Chang and her husband, BBC reported.
Assistant US Attorney Megan Farrell agreed to a bail package without explanation.
She told US Magistrate Judge Lee Dunst that her team plans to provide the defense counsel with discovery this week, Newsday reported.
Smith will resign as a trustee for the Jeffries family trust, as part of his bond agreement. He was ordered not to talk about the case with Jeffries and Jacobson unless their lawyers are present, and not to make contact with any of the alleged victims or witnesses.
Matthew C. Smith (center) leaves his arraignment with a ankle monitor in Central Islip Federal court in New York
Mike Jeffries, ex-CEO of Abercrombie & Fitch, is escorted by his legal team as he exits court following his arrest in West Palm Beach, Florida, on charges related to a federal investigation into sex trafficking and interstate prostitution
Smith is pictured next to Jeffries in a shot from the investigative BBC Panorama documentary, after the pair were alleged to have engaged in sexual activity with a number of men at their New York homes and at luxury hotels around the world
Smiths attorney Joseph Nascimento, of Miami described his client as the life partner of Michael Jeffries during the court hearing on Tuesday, as per Newsday.
Prosecutors and the defense attorneys have not spoken about the business associates longtime relationship, despite Jeffries being married.
After the hearing, Nascimento and his co-counsel David Raben left the courthouse with Smith and did not respond to any reporters questions.
Jeffries’ lawyer, Brian Bieber, handed Smith a shopping bag embossed with suggestive silhouettes of torsos as he was leaving the court house, BBC reported.
Smith was the last of the trio to appear in court.
In late October, former Abercrombie & Fitch CEO Mike Jeffries appeared in Central Islip Federal court in an attempt to deny sexually abusing 15 young male models between 2008 and 2015.
His alleged fixer James Jacobson, a third man, who has a prosthetic nose, was arrested in the same case in Wisconsin, also appeared in court with his attorney.
Both men pleaded not guilty to one count of sex trafficking and 15 counts of interstate prostitution.
The BBC first broke the allegations against Jeffries as the fashion brands former boss in a Panorama documentary that aired in October.
Jeffries was accused of sexually assaulting male models after he conducted fake job interviews.
Witnesses were being subpoenaed and interviews were underway.
A criminal investigation was opened by the FBI into the allegations that Jeffries controlled an elaborate sexual abuse and trafficking ring that targeted young men.
A 16-page federal indictment claimed Jeffries, Jacobson and Smith, sexually abused 15 men between December 2008 and March 2015.
James Jacobson is pictured walking into court in Central Islip, Long Island, in October to answer sex trafficking charges. His prosthetic nose is visible
Jeffries reign at Abercrombie & Fitch was dominated by its controversial brand image and the equally controversial remarks he made about his customer base two
In October, Jeffries and Smith were arrested in at their home West Palm Beach on sex trafficking charges.
Jeffries worked as the CEO for Abercrombie between 1992 and 2014.
The alleged victims say they were forcibly given erection drugs and had their genitals shaved against their will, were made to dress up and subjected to high-pressure enemas.
Some victims were not gay and were given the powerful erection-causing drugs so they could be forced into gay sex against their will.
Some of the men, identified as John Does in court documents, claim they were targeted even though they were straight and forced to have gay sex.
Prosecutors say the victims were paid to travel to places including New York City, England, France, Italy, Morocco and Saint Barthelemy to have sex with Jeffries, Smith and others.
Jeffries allegedly used a company he named the Jeffries Family Office to recruit household staff to facilitate and supervise the Sex Events.
Prosecutors say the staff controlled the entry and exit to the sex parties and provided the men who attended with muscle relaxants known as poppers, as well as lubricant, Viagra and condoms, among other items.
The staff also directed alleged victims to wear costumes, use sex toys or prepare for particular sexual acts, according to court documents.
Smith and Jeffries are accused of injecting men in their penises with a prescription-grade erection-inducing substance that caused painful, hours-long reactions to get them to engage in sex acts.
Attorney Brad Edwards, who is representing more than a dozen alleged victims in a lawsuit, told NewsNations Chris Cuomo that Jeffries used his role at Abercrombie to lure young male models and sexually abuse them.
There is nothing consensual about it. These were aspiring young models who were sought out and promised to be Abercrombie models, essentially, Edwards said.
The men said they were recruited by a middleman identified as James Jacobson, who denies any wrongdoing
Jeffries worked as the CEO for Abercrombie between 1992 and 2014
The men went through an interview with Jeffries before they were were taken into a room, where the most heinous of sexual crimes were committed against them, according to the lawyer.
They were all forced to wear Abercrombie clothes to events that were decorated as if it was an Abercrombie store and made to sign NDAs, which stated that if they ever disclosed this that bad things would happen to them reputationally, financially and physically.
In October, Jeffries was ordered to house arrest and remain free on $10 million bond with his home on Fishers Island, New York as collateral.
He was ordered to home detention, and may only leave his property for a court appearance, medical appointments or religious services.
And, ordered to remain in New York, Long Island and Fishers Island, NY until his next court date.
He was also instructed to refrain from possessing any firearms, and not to have any contact with the co-defendant, any witnesses, or the victims.
Jacobson appeared in court in October alongside his attorney Jeremy Schneider on house detention and a $500,000 bond.
He was required to have a mental health plan. He also reviewed his GPS conditions that were similar to Jeffries.
Both Jeffries and Jacobson are due back in federal court on December 12.