Warren Buffett has decided to pause his annual billion-dollar donations to the Gates Foundation, a first in 20 years, as he awaits the conclusion of an internal inquiry regarding the foundation’s past connections to Jeffrey Epstein, a late financier with a controversial past, including being a convicted sex offender.
The 95-year-old chairman of Berkshire Hathaway plans to delay his traditional summer donation of Berkshire stock until later this year, possibly until Thanksgiving, as he looks for updates from the ongoing investigation, as reported by someone familiar with the situation.
This marks the first time since he began his philanthropic journey in 2006 that Buffett has halted contributions to the Gates Foundation, which he refers to as his “lifetime” giving commitment.
This unexpected move indicates some rising tensions in Buffett’s previously strong relationship with Bill Gates, especially as scrutiny around Gates’ connections to Epstein has peaked recently.
The Gates Foundation has engaged the law firm WilmerHale to delve into its past dealings with Epstein, with results anticipated by summer’s end.
Buffett and his team have reportedly reached out to executives at the Gates Foundation, including CEO Mark Suzman, seeking clarity on Epstein’s association with the foundation and the status of the ongoing investigation.
He has donated approximately $48 billion to the Gates Foundation over the years, making it the largest beneficiary of his charitable endeavors.
Buffett’s caution seems to reflect a growing concern about Gates’ longstanding relationship with Epstein, especially after additional files related to Epstein were released by the Justice Department this year.
Gates himself has admitted to meeting Epstein multiple times following Epstein’s 2008 conviction, believing that Epstein might help in raising funds for global health initiatives.
In a recent interview with the House Oversight Committee, Gates discussed an extramarital affair and mentioned a request he made to Epstein for reimbursement of expenses related to that affair, which Epstein declined to return.
This relationship with Epstein has been cited as a significant factor in the difficulties that led to Gates’ divorce from Melinda French Gates.
Gates has frequently called his association with Epstein a “big mistake” and expressed regret over maintaining contact.
Furthermore, the Gates Foundation stated it had never offered Epstein any payments nor sought formal collaboration with him.
Gates mentioned in a legislative interview that his last conversation with Buffett was back in January, prior to the release of the latest documents, where they discussed health-related topics.
The apparent strain between the two billionaire philanthropists is becoming more noticeable. In a prior interview, Buffett shared that he hadn’t spoken to Gates since the Epstein files came to light and planned to reassess his charitable contributions come late June.
This tension seemed evident during Berkshire Hathaway’s annual meeting this year in Omaha, a gathering Gates has traditionally attended. He remarked that he sat out this event for the first time in years, with some advisers indicating that he should not attend, and he was advised against taking a seat typically reserved for Buffett and other major figures.
Despite the uncertainty around his contributions to the Gates Foundation, sources indicate that Buffett’s family will continue its regular charitable giving, which includes contributions through foundations managed by his children and the Susan Thompson Buffett Foundation, named after his late wife.
The Gates Foundation remains one of the largest philanthropic organizations globally, having allocated nearly $110 billion since its inception toward global health, vaccine development, and women’s health initiatives.
Last year, Gates unveiled plans to invest over $200 billion over the next two decades, intending to dissolve the foundation by the end of 2045.
During this transition, the foundation has notified its staff about potential layoffs impacting up to 500 employees while aiming to control operating expenditures.
Inquiries to both Gates and Buffett for comments are ongoing.
