Sallie Krawcheck and Todd Thomson, once rivals in the upper echelons of Citi, are at it again, according to the Wall Street Journal.
Krawcheck was the head of the Smith Barney unit. Thomson was the bank’s CFO. They were both alleged possibilities to succeed then-Citi CEO Sandy Weill.
Thomson would provoke Krawcheck regularly as she presented performance figures to the management committee, executives told the WSJ. And Krawcheck rolled her eyes when Thomson made speeches.
Later on, they even switched jobs, where there were more catcalls – he was shimmying on yachts and ferrying about on private jets; she had lost the firm billions etc etc…
But obviously not content to let sleeping dogs lie, and despite the fact they aren’t even at the same firm anymore, the two foes are butting heads again – this time, they’re in a legal battle involving Thomson’s new wealth-management firm and Krawcheck’s new employer, Bank of America, the WSJ reports.
So here’s is what all the fuss is about.
In December Thomson started a shiny new wealth-management firm called Dynasty Financial Partners. Dynasty recruited two star broker-bankers from U.S. Trust, Michael Brown and Charles Britton.
U.S. Trust is a unit of BofA’s Global Wealth and Investment Management business, which is run by none other than, Sallie Krawcheck.
After the departing team said they’ll be taking $5.9 billion in client business along with them to Dynasty, U.S. Trust filed a lawsuit and demanded its laundry list of client names, contacts and other proprietary information, back.
Dynasty said they’re covered by the “Protocol for Broker Recruiting,” but in fact even though Merrill Lynch employees are covered by the protocol, U.S. Trust employees aren’t, despite both being BofA kin.
Both Krawcheck and Thomson are obviously trying to distance themselves from the fray. But with their tumultuous history, taking a couple of Krawcheck’s star players may make Thomson just a little bit gleeful, especially since he was the one booted out from Citi in the end.
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