Duffield 'humiliated' staff by withdrawing offer of sweets
Simon Read is Personal Finance Editor at The Independent. He edits the Saturday Your Money section and writes the Daily Money column and Wednesday’s Midweek Money section in i newspaper. He also writes for the news and business pages of the Independent and i newspaper and is a regular money commentator on TV station London Live. He has won numerous awards including Consumer Finance Journalist of the Year.
Thursday 10 November 2011
The former New Star boss John Duffield used to prowl the asset management firm's offices offering sweets to fund managers before withdrawing the offer from those having a bad day, a City employment tribunal heard yesterday.
The story was included in a 38-page witness statement made by Patrick Evershed, who is suing the firm – now part of Henderson – for constructive dismissal. Mr Evershed said: "He would ask those who were having a bad day if they were ashamed of themselves."
Mr Evershed said morale and confidence was destroyed at the firm and funds underperformed as managers were "stressed, anxious and fearful". He believed the "much publicised demise of New Star was as a direct result of founder John Duffield's bullying".
When he was recruited by New Star in 2002, Mr Evershed said Mr Duffield took him to his favourite Knightsbridge restaurant, Signor Sassi, and offered him £1m-worth of shares "which he hoped would be worth between £3m to £5m around the time I would have retired".
In the event, Mr Evershed said he was forced to work beyond his planned retirement at 65, or lose the shares. Meanwhile New Star shares fell from 549p to 2p. Mr Evershed said that "in the 44 years I have worked in the City, I had never seen such a catastrophic change".
A second witness has also accused Mr Duffield of bullying, according to Mr Evershed's lawyer, Daphne Romney. Theo Zemek – the former chief investment officer at New Star, now at Axa Framlington – has given "a compelling account of how she herself was bullied by Duffield", Ms Romney said. However, Ms Zemek may not be able to take part in the case after submitting her statement late.
- 1 Hair loss explained: How and why men go bald
- 2 Game of Thrones season 6: Jon Snow theorists believe the Stark may have a twin sister
- 3 Artist takes LSD, draws herself over different stages of the 9-hour trip to show its effects
- 4 A pint of water every day is the key to losing weight, scientists say
- 5 Russia 'accidentally reveals' number of its soldiers killed in eastern Ukraine
Most expensive city to live in for expatriates: Luanda, Angola takes number one spot with Hong Kong and Zurich in top three
Video of Irish 'professional boxer' fighting Istanbul neighbourhood goes viral in Turkey
Irish tourist filmed fighting with shopkeepers in Turkey says they 'messed with the wrong man'
House of Lords: Outcry as donors, fixers and MPs caught up in expenses scandal get peerages
Moody neurotics are more likely to be creative geniuses, study says
Dresden riots: Protesters in Germany attack refugee buses shouting 'foreigners out'
France train shooting: US soldiers speak of the moment they stopped gunman and 'beat him until he was unconscious'
Labour leadership: Jeremy Corbyn accused of 'deluding' young supporters with 'claptrap'
'Women only' train carriages: Jeremy Corbyn unveils radical move to tackle public harassment
Black holes are a passage to another universe, says Stephen Hawking
Iain Duncan Smith calls for urgent ESA overhaul as part of drive to cut down welfare costs
iJobs Money & Business
£13000 - £25000 per annum: Recruitment Genius: Would you like to be part of a ...
£20000 - £25000 per annum + competitive: SThree: Are you passionate about sale...
£25000 per annum + benefits: Ashdown Group: A large financial services company...
£20400 per annum: Ashdown Group: An established and highly reputable organisat...