Rogue Trader to Sue SocGen

Kerviel claims his accounts were in the black
By Jason Farago,  Newser Staff
Posted Apr 3, 2008 8:49 AM CDT
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)
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(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.