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Report: Ex-Barclays trader wins unfair dismissal claim


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Report: Ex-Barclays trader wins unfair dismissal claim

Former Barclays PLC trader David Fotheringhame, who was fired by the bank after a 2015 order from the New York State Department of Financial Services, has won his unfair dismissal lawsuit against the lender, Bloomberg News reported.

Fotheringhame, who was Barclays' head of automated flow trading for electronic fixed-income, currencies and commodities, was fired after the bank reached a $150 million settlement with the regulator in November 2015 for misconduct related to automated, electronic foreign-exchange trading through its "Last Look" system.

In a March 9 London employment court ruling, Judge Jill Brown found Fotheringhame 20% responsible for his dismissal, which means his total compensation from the case will be reduced by that amount.

The judge said Fotheringhame's managers were aware that he was using Last Look to generate extra profit and approved of it, and that Fotheringhame could not have expected to be fired for doing this given his managers' attitudes toward the practice and the "ordinarily accepted standard of morality of the time," the report noted.

Fotheringhame is among former Barclays traders who have sued the bank after being fired amid regulators' investigations, though the others have lost their unfair dismissal claims.

A separate hearing to decide the amount Barclays must pay Fotheringhame is slated to start May 9, according to the March 19 report.