BGC Partners Inc. was accused of steering new products and clients away from a former broker who says he reported “unethical” trading by his manager.
Ramesh Kumaran, who worked for the brokerage for a decade, said his manager, Boris Lefebvre, “favored” some banks while matching orders in a manner that breached U.K. regulations. His claims were part of his testimony on the fifth day of his trial at an employment tribunal in London Wednesday.
“I reported that” clients were treated unfairly, he said. “I can’t see any other commercial reason otherwise not to allocate me accounts.”
The whistle-blowing allegations add to claims made earlier in the case that Kumaran was subject to “racist” e-mails sent by his manager including one depicting him as a character on “The Simpsons.”
Schona Jolly, a lawyer for BGC, questioned Kumaran’s handling of the whistle-blowing allegations, saying a friend who served as general manager wasn’t the appropriate place to take the complaint.
“Do you see this is fantasy and magical joining of the dots?” Jolly said. “If you had genuine concerns you would have taken the complaint” to compliance or regulators, she said.
A spokeswoman for BGC said that neither the company nor Lefebvre would provide additional comment.
BGC has been successful in previous employment tribunal disputes, winning a suit against a former broker last year who declined to participate in an initiation ritual requiring brokers to run across the trading floor while others threw water at them.