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Morgan Stanley Complex Risk Officer Alleges Whistleblower Retaliation

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Earlier this month Clifford Jagodzinski, a former risk manager for Morgan Stanley Smith Barney LLC, filed a complaint in the United States District Court for the Southern District of New York alleging that the financial services firm terminated him in  April 2012 in retaliation for reporting questionable trading practices.

According to Jadozinski’s complaint, he informed his superiors that not only was Morgan Stanley “[bilking] investors” to drive up commissions. He also reported that other employees were involved in improper trading practices, some financial advisors were failing to register their home offices as alternate worksites, and one company advisor was abusing drugs. Although Jadozinski’s supervisor initially praised him for filing these reports, he was told soon after to hold off on his investigations. Morgan Stanley terminated Jadozinski after he informed that the firm should report its improper trading practices to the Financial Industry Regulatory Authority (FINRA).

Jagodzinski is seeking reinstatement to his former position and over $1 million in damages.

The Employment Law Group® law firm has an extensive nationwide whistleblower practice  representing employees who have been victims of retaliation.

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