Last month, former Société Générale trader Jerome Kerviel sued the French bank for 5.7 billion euros over an incident in 2008, wherein SocGen blamed a $5.6 billion trading loss entirely on Kerviel, got him thrown in prison and demanded he pay back the full amount of the loss. Ultimately, Kerviel only served only 5 of his 36 month sentence, was told he doesn’t have to pay his old employer anything, and learned that one of the prosecutors on his case believed SocGen knew what Kerviel was doing the whole time but was “manipulated” by the bank. While the amount he was rewarded today doesn't quite compare to the figure he asked for, watching a judge put his foot up Société Générale's a$$ presumably made him feel pretty good about how things have shaken out.
The 455,500 euro ($517,000) award Tuesday includes 100,000 euros for unfair dismissal and his 300,000-euro bonus for 2007. Judge Hugues Cambournac questioned some of the bank’s defenses since the scandal first emerged nearly a decade ago. "Societe Generale can’t pretend it was not aware of Jerome Kerviel’s fake operations" before January 2008, Cambournac said...In his ruling, Cambournac said Societe Generale knew about Kerviel exceeding his trading limits since at least April 2007 through several alerts and in November that year, the bank got a Eurex alert about Kerviel’s “substantial” positions on Allianz SE. Societe Generale "tolerated" Kerviel’s acts and it can’t use the argument of a fault from the trader to dismiss him in February 2008, the judge said. Furthermore, Societe Generale didn’t explain how Kerviel’s trades in excess of the 125 million-euro limit didn’t reduce trading capacity for other staff at his desk, according to the ruling. The bank also failed to justify that "only Mr. Kerviel exceeded this limit, and that any other trader never exceeded these limits."