Raphael Geys, a former trader with SocGen, is suing the bank for €12 million after they fired him “for being too successful.”
The Financial Times found documents from his lawyers that literally say, “He was dismissed for being too successful in that role because the provisions in his contract were considered by the bank to be too generous.”
His unit did do well. His lawyers say he was responsible for doubling the gross revenue of his division from €205 million to €440 million.
It’s doubtful that he singlehandedly improved his division, but let’s say he did. He is now squabbling with SocGen over €2 million that yes, we’re sure he earned as part of some sort of profit sharing agreement. But the bank offered him much more than that in severance when they fired him.
After they fired him in 2007, the bank offered Geys €7.9 million. He rejected it. His contract apparently entitled him to €10 million.
If he had a contractual agreement with SocGen, then suing the bank for not adhering to it makes sense.
But SocGen says that by suing, Geys triggered a clause in his contract forfeiting his right to severance payments. The bank now claims he is owed nothing.
His lawyers said the claim was “absurd.”