Citi forex trader Perry Stimpson wins unfair dismissal case; compensation yet to be agreed

Just a few weeks after FinanceFeeds first reported that Perry Stimpson, a former FX trader at Citigroup Inc (NYSE:C) in London, had taken a sizable swing at his former employer by going to tribunal, it has emerged that he has won his case against the financial giant for unfair dismissal. Litigation by employees against large […]

Just a few weeks after FinanceFeeds first reported that Perry Stimpson, a former FX trader at Citigroup Inc (NYSE:C) in London, had taken a sizable swing at his former employer by going to tribunal, it has emerged that he has won his case against the financial giant for unfair dismissal.

Litigation by employees against large FX dealers and banks is very rare indeed, largely due to the legal might and vast resources that such institutions possess, however the tribunal, held in London yesterday, found in Mr. Stimpson’s favor and stated that the bank “breached the claimant’s contract of employment in failing to pay him notice.”

Despite adding that Mr. Stimpson’s conduct had “contributed to his dismissal”, the tribunal ruled in his favor, detailing that “the claimant believed that he was not breaching his duties of confidentiality in large part due to the way in which he saw his peers and immediate managers behave” in relation to accusations by Citi surrounding the way that Mr. Stimpson, along with some of his fellow FX traders, had handled sensitive client information which led to him being fired in 2014.

At the time that Mr. Stimpson, who represented himself, instigated the tribunal against Citi, Jerome Kemp, Citi’s Global Head of Futures was selected to represent Citi in the case. Mr. Kemp is also responsible for the OTC clearing business, and testified that he had serious concerns over the descriptions used by traders, including Mr. Stimpson, used to refer to customers, which he considers to be disrespectful, as well as the se of messaging systems to provide confidential information about trades and customers in order to manipulate benchmarks.

Mr. Stimpson’s dismissal took place at a time during which many banks terminated the employment of, or suspended, FX traders during the interbank FX benchmark manipulation cases that were brought against several banks last year by regulators, and followed up by class action lawsuits.

Although the compensation amount has yet to be determined by the tribunal with a date to be set in order to establish the exact award to Mr. Stimpson, this could set a precedent in employment litigation and open the floodgates for other traders to look toward tribunal to recover any remuneration due that was declined by banks and FX dealers post-dismissal.

Read this next

Digital Assets

US Treasury official clarifies stance on crypto mixing services

The Financial Crimes Enforcement Network (FinCEN) proposed a rule last year to classify convertible crypto mixing as a “class of transactions” with primary money laundering concerns.

Fintech

Robinhood sweetens US crypto offering with trading API

Robinhood has launched a cryptocurrency trading application programming interface (API) for users in the United States. The new API caters to seasoned crypto traders by enabling automated trading strategies, allowing users to react quickly to market movements and trends.

blockdag

After Retik Finance’s 67% Drop, Investors Turn to BlockDAG’s 30,000x ROI Potential to Recover Their Losses

Explore how BlockDAG’s $37M presale is drawing investors while Retik Finance collapses to $0.403.

Digital Assets

Terraform Labs and co-founder Do Kwon reach settlement with SEC

Terraform Labs and its co-founder Do Kwon have reached a “settlement in principle” with the U.S. Securities and Exchange Commission (SEC) regarding a fraud case, according to a court filing on Thursday.

Market News, Tech and Fundamental, Technical Analysis

FTSE 100 Index Technical Analysis Report 30 May, 2024

FTSE 100 Index can be expected to rise further toward the next resistance level 8325.00, which reversed the price earlier this month.

Chainwire

Sui and Atoma Bring the Power of AI to dApp Builders

The integration of Atoma adds new capabilities to Sui’s flourishing developer ecosystem with unique AI-querying capabilities.

Digital Assets

Talos incorporates DeFi with Skolem acquisition

Talos has acquired Skolem to enable clients to incorporate DeFi into their workflows in a move that sets a new standard for the digital asset OEMS and PMS.

Reviews

Ramp Network Deepens Local Presence by Introducing Payouts in Over 35 National Currencies and Instant Bank Payouts in Europe

Ramp Network expands its reach with new payouts in over 35 national currencies and introduces SEPA Instant bank transfers in Europe, enhancing crypto-to-fiat conversion options for users globally.

<