Wednesday, 23 July 2014
Last updated 3 hours ago
Jun 16 2014 | 9:41am ET
A GoldenTree Asset Management trader won’t be held down by a “kangaroo court” in his effort to win $20 million in unpaid compensation from his former employer.
Deeb Salem has appealed a Financial Industry Regulatory Authority arbitration ruling that Goldman Sachs does not owe him the money. He said the panel was biased against his claim, calling it “ridiculous” and “bullshit” during a hearing. He added that the arbitrators refused to allow him to call several Goldman Sachs executives during the hearing, a “shocking and blatant miscarriage of justice” that he’s asked a New York State court to junk.
“Employees trade their rights to go litigate in court and get smart judges to review their circumstance in exchange for an expedited hearing on the merits,” Salem’s lawyer, Jonathan Sack, said. “Deeb Salem got neither.”
Salem has said he was scapegoated by Goldman after a 2011 Congressional hearing that found he and others at the firm had sought to manipulate mortgage derivatives in 2007, and that the firm withheld $6.15 million in deferred compensation and $15 million in bonuses. Goldman said that he left the firm voluntarily, forfeiting that money, and the FINRA panel agreed. The arbitrators said that even if the Goldman executives testified as Salem expected, he still would have established no legally enforceable claim to the money.
Jul 8 2014 | 10:48am ET
The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…