Citi International reaps $1.5 million award in raiding case
Finra panel orders VectorGlobal WMG to pay damages involving the recruitment of former Citi brokers and the use of confidential information.
A Finra arbitration panel has awarded Citi International Financial Services $1.505 million in a case involving the recruitment of former Citi brokers by VectorGlobal WMG, a Miami, Fla.-based firm.
The firm and six of the brokers involved were ordered by the Financial Industry Regulatory Authority Inc. to pay the sum as compensatory damages for having used confidential and/or proprietary information belonging to Citi and its customers.
(More: Robert W. Baird & Co. must pony up $23.5 million to Wells Fargo in raiding case)
Citi, in a claim filed in September 2014, charged that VectorGlobal WMG and the brokers who joined the firm from Citi had taken proprietary information and used it to solicit the bank’s clients.
In the announcement of the award, Finra also said it would not grant the brokers’ request for expungement of the incident from their records.
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