Deutsche Bank was sued for breach of contract by a former employee convicted in 2012 of derivatives fraud by an Italian court.
Bloomberg reports that Carlo Arosio filed a lawsuit against the lender on February 27th in London, according to court filings that didn’t give any further details about the claim. He’s seeking more than $10m, according to a person familiar with the lawsuit who asked not to be identified because the amount hasn’t been released publicly.
Deutsche Bank, JPMorgan, UBS, Depfa Bank and nine bankers they employed were convicted by a Milan judge in 2012 of hiding their profits from the sale of interest-rate swaps to the city. The banks, which were ordered to repay about $123.6m, sought to overturn the ruling in a trial that started in January.
'This is a breach of contract claim by a former employee, which we are reviewing and expect to defend successfully', Deutsche Bank said in an e-mailed statement. Arosio declined to comment.
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image: © Clyde Robinson