Skip to: Content
Skip to: Site Navigation
Skip to: Search

September 5, 2008 11:54:25 PM CDT

Learn about Newser Points »

« Back to the grid | Next story »

Rogue Trader to Sue SocGen

Posted Apr 3, 08 8:49 AM CDT in World,  Business 

(Newser) – The rogue trader whose $7.8 billion in transactions nearly sank Société Générale has filed papers in preparation for a wrongful dismissal lawsuit, the Times of London reports. Jérôme Kerviel will claim the French bank has failed to prove he did anything wrong. He was released on bail last month after 31 days in jail on charges of breach of trust, fabricating documents, and illegally accessing computers.

He claims that his enormously risky trades were in fact in the black when his bosses shut him down— and only when SocGen unwound them did the losses occur. He is also claiming wrongful termination on technical grounds. A worker can only be fired in France face-to-face, which is impossible under his bail terms which bar him from meeting with staff.

Source Times (UK)

0 comments | Print E-mail | Digg Seed this on Newsvine Add this link to Del.icio.us StumbleUpon

Related Newser Stories

  • Rogue Trader Gets a Job

    Apr 26, 08 2:37 PM CDT
    Rogue Trader Gets a Job Jérôme Kerviel is working once again, despite having cost France’s Société Générale $7.68 billion in unauthorized trading. Released from prison a few weeks ago, the rogue trader is employed as an IT consultant for a French company specializing in networks and security, the Wall Street Journal reports. The gig could also help keep Kerviel out of jail. More »

  • SocGen CEO Resigns Over Rogue Trader

    Apr 18, 08 4:59 AM CDT
    SocGen CEO Resigns Over Rogue Trader The CEO of Société Générale will step down, at last bowing to pressure in the wake of the $7.8 billion rogue trading scandal. Although investors and politicians—including French President Nicolas Sarkozy—had demanded Daniel Bouton's resignation immediately after the revelation of Jérôme Kerviel's massive fraud, the bank had insisted he stay on to keep SocGen from collapse, reports the Financial Times. More »

  • Second SocGen Broker Held in Kerviel Probe

    Mar 12, 08 10:23 AM CDT
    Second SocGen Broker Held in Kerviel Probe Authorities have taken a second Societe Generale employee into custody and conducted a search of La Defense headquarters, as the probe into unauthorized securities trading that cost the French bank $7.6 billion expands, reports Bloomberg. Police are holding a broker from a bank subsidiary, said a SocGen spokeswoman. Another broker was taken into custody, questioned, and released last month. More »

  • SocGen: Lax Controls Led to $7.2B Fraud

    Feb 21, 08 7:50 AM CST
    SocGen: Lax Controls Led to $7.2B Fraud Rogue SocGen trader Jerome Kerviel, whose unauthorized deals led to a $7.2 billion loss for the French bank, continued his trading for more than a year after the first warning flag was raised in the department that was supposed to detect risky trading, reports the Wall Street Journal. Kerviel wrote at least seven bogus emails flagged for anomalies, and his trades tripped 24 alarms over a 14-month period beginning in July 2006, the bank admits in a report  released yesterday. More »

  • Lawyer: SocGen 'Condoned' Trader's Deals

    Feb 15, 08 11:26 AM CST
    Lawyer: SocGen 'Condoned' Trader's Deals The French trader who lost Société Générale $7.2 billion acted with the tacit support of the banking giant's management, which "condoned" his trades, Jérôme Kerviel's lawyer says. The assertion contradicts executives' claims that Kerviel acted alone. "Jérôme is a smart trader, but not smarter than any other guy at SocGen," the lawyer told CNN. More »

Jerome Kerviel, the trader accused of causing massive losses at French bank Societe Generale, leaves La Sante prison in Paris, Tuesday, March, 18, 2008.   (AP Photo/Michel Euler)
Jerome Kerviel, the trader accused of causing massive losses at French bank Societe Generale, leaves La Sante prison in Paris, Tuesday, March, 18, 2008.   (AP Photo/Christophe Ena)
People leave the Societe Generale bank headquarters Wednesday outside Paris in this Feb. 20, 2008 file photo.   (AP Photo/Remy de la Mauviniere, file)
Jerome Kerviel waves as he leaves a Paris prison Tuesday, March 18, 2008.   (AP Photo/Christophe Ena)
Jerome Kerviel, the trader accused of causing massive losses at French bank Societe Generale, leaves La Sante prison with his lawyer Elisabeth Meyer in Paris, Tuesday, March, 18, 2008.   (AP Photo/Michel Euler)
« Prev« Prev | Next »Next » Slideshow
Our editors also recommend:

Threads (1 of 1)

Tags

France  • credit crisis  • Jérôme Kerviel  • bank fraud  • rogue trader  • Societe Generale  • SocGen


Loading...

Premium Articles from HighBeam

Find more articles like this

Today's Most Popular


Other Business Stories

What is Newser?

2008 Codie Finalist

Newser gives you more news in less time. We search for the best and most important stories all over the web, read them for you, and deliver concise and sharp summaries—along with links to the full text. Newser provides a way to stay on top of an ever-expanding horizon of news and opinion—politics, sports, business, trends, technology, personalities, crimes, and controversies. Newser keeps you not just better informed, but, with our signature graphic interface and smart condensed format, more enjoyably informed.

Learn more »