Bloomberg reports that Nomura Holdings is said to have fired a Hong Kong-based trader and his manager after it was discovered the trader incorrectly valued his derivatives portfolio in 2008.
The Evening Standard says that the improper valuation is said to have resulted in a $18m revision in value, and a subsequent review across the firm's international equity derivatives book is thought to have flagged up the need for an additional $9m in markdowns. UK market regulator The Financial Services Authority has now fined Nomura's London unit $2.9m for system and control failures.
In the meantime, Reuters reports that AIG CEO Robert Benmosche has had his compensation package signed off by the board ($3m in salary, and $4m in deferred equity), and is said to have signed a non-compete agreement with the company. Looks like he is staying, then. And State Street has granted retiring CEO Ronald Logue a $6m cash 'transition' award (vesting in January 2011) in recognition of his 'ongoing contributions' in leading the firm. Logue is due to step down as CEO in March 2010, and will continue as non-executive chairman until January 1st, 2011.
And The Financial Times reports that Irving Picard, Bernie Madoff's trustee, has asked a US judge to approve a payment of $22.1m for his law firm, Baker & Hostetler, for the five months work it has done on the liquidation. The total combined bill for Picard and the law firm will then come in at $37.5m. Nice work if you can get it.
Finally, Geraint Anderson, the renegade stockbroker better known as Cityboy, is this week licking his wounds, after a German documentary about him lost out at the Emmys. Apparently City professionals are celebrating the turncoat's failure, but we suspect that Cityboy's ego is sufficiently robust that he can handle this latest setback.