Deutsche Bank Must Compensate Fired Alleged-Rate Riggers Or Make Things Really Awkward Around The Office

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Deutsche Bank AG was ordered to give four traders fired in a rate-rigging investigation their exact jobs back while a court is hearing an appeals bid by the lender over the issue. The lender must pay a penalty equal to the men’s monthly salary unless it reinstates them in their original positions, Frankfurt Labor Appeals Court spokesman Wolfram Henkel said in an interview today...The Frankfurt Labor Court ruled last year the terminations were illegal and the bank must reinstate the employees, who made submissions for Euribor and Swiss Franc Libor. The court found “indications” that the fired staff wrongfully took derivatives trading positions into account when deciding what rates to submit. While it’s against bank rules to fix rates, the lender couldn’t use this as a reason to fire them because it didn’t have sufficient guidelines on rate submissions, didn’t control the process, and had systems in place that fostered the behavior, the court wrote in the judgment. [Bloomberg]

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