The Strategist

Citigroup suspends one of the most famous European traders for stealing food

02/04/2020 - 08:06

Investment Bank Citigroup has suspended one of its most successful traders from work. A high-ranking official who allegedly received a seven-digit golden parachute was accused of stealing food from a corporate cafeteria, the Financial Times reported.

Håkan Dahlström
Håkan Dahlström
Citigroup suspended one of the top traders from work, accusing him of stealing food from the dining room, sources told the Financial Times.

According to the newspaper, Paras Shah worked in the London office, where he led the trade in high-yield bonds in the markets of Europe, the Middle East and Africa. FT calls the 31-year-old Shah one of Europe's most famous credit traders. He joined Citi in 2017 after seven years of work at the British HSBC bank. Shah was a successful and respected trader, two of his former colleagues told FT.

Shah was suspended a few weeks before payment of bonuses to senior bank staff. In January, he unexpectedly left his position at Citi. According to FT, Shah probably received a seven-figure severance pay.

Shah declined to comment, advising to send a request to Citi. The bank declined to comment.

In the past, British financial institutions and regulators have already imposed severe disciplinary sanctions against executives who were suspected of misconduct, including theft, even of small amounts, FT notes. The Japanese bank Mizuho in 2016 fired an employee in London after he was caught stealing details of a bicycle of his colleague. The details were worth five pounds sterling. In 2014, it became known that former BlackRock managing director Jonathan Burroughs repeatedly traveled by train without a ticket. The British Financial Regulatory and Supervisory Authority (FCA) forbade him to hold senior positions in British financial companies. As a result, Burroughs had to pay 43,000 pounds to settle the case.