JPMorgan is asking a federal court docket to subject a restraining order in opposition to a former advisor who left for Wells Fargo however allegedly continues to solicit purchasers, violating contracts together with his former employer.
Wells Fargo can be central to a different federal swimsuit filed this week. A former shopper companies affiliate claims the financial institution ignored continued harassment and mistreatment by one in all its so-called “best rainmakers.”
JP Morgan’s name for a short lived restraining order issues Kevin Rossow, who joined JPMorgan in March 2012 as a relationship banker. In late 2021, he grew to become a Personal Shopper Advisor at a financial institution department in Longview, Texas, in accordance with the grievance filed in a Texas federal court docket.
The agency claimed Rossow labored with purchasers referred by the department to construct relationships and wasn’t anticipated to supply new enterprise independently of those referrals. JPMorgan claimed Rossow signed an settlement prohibiting him from soliciting agency purchasers for a yr after he left or was fired.
Nonetheless, on July 12, Rossow left JPMorgan and joined Wells Fargo whereas persevering with to function out of Longview. In response to the swimsuit, Rossow instantly started soliciting purchasers from his former agency.
Purchasers allegedly started telling JPMorgan reps about cellphone calls from Rossow. In one case Rossow allegedly falsely claimed there was not an advisor in his former department. Rossow requested a gathering with one other shopper, telling her he might “make her cash develop higher” if she moved her accounts to Wells Fargo.
“The shopper knowledgeable JPMorgan that what Rossow mentioned to her was ‘sneaky,’ and was visibly upset about her interplay with Rossow,” the grievance learn.
In response to the swimsuit, a number of different purchasers reported related interactions, with some saying Rossow was persevering with to achieve out to them as lately as a number of days in the past. JPMorgan estimated that about 16 households with belongings exceeding $13 million have already moved to Wells Fargo.
Nonetheless, the agency alleged that Rossow wouldn’t have had entry to all of those purchasers’ contact data and wouldn’t have been capable of name these purchasers after he resigned with out “misappropriating” shopper data.
JPMorgan accused him of accessing confidential shopper information within the weeks earlier than his resignation; on June 25, they claimed Rossow accessed about 60 profiles within the agency’s central program in in the future, about 20 of them “in speedy succession” over about half-hour.
The agency argued that Rossow took shopper data (together with contact data) from JPMorgan, both by taking photographs of the profiles, memorizing the knowledge, or by another means, and introduced it to Wells Fargo. A spokesperson for the agency mentioned Wells Fargo had nothing so as to add.
Former Wells Affiliate Alleges Mistreatment
Wells Fargo is the topic of a separate swimsuit during which a former shopper affiliate claims she was subjected to years-long mistreatment by a preeminent advisor whereas the financial institution allegedly stood by.
Within the swimsuit filed in Florida federal court docket, Dinah Mirson claims that she started working at Wachovia in its Palm Seaside County workplace round Could 2008 (Wells Fargo later bought the financial institution). Nonetheless, round Nov. 2012, Mirson started supporting Jeffrey Bowman, who managed about $820 million in shopper belongings, in accordance with the swimsuit.
“From almost the primary day working with Mr. Bowman, it grew to become clear that he exercised his energy and management over Ms. Mirson,” the grievance learn. “As a profitable banker in a male-dominated trade, and since Ms. Mirson is a girl, from the outset of working with Mr. Bowman, he handled Ms. Mirson in a fashion that was considerably totally different than how he handled his male colleagues and subordinates.”
Bowman allegedly “advanced” from a demanding however tolerable demeanor to “managing by intimidation, harassment, condescension, threats and the longer term promise of cash,” in accordance with the swimsuit. Mirson additionally claimed Bowman had a “well-known” fame for mistreating feminine co-workers.
In response to Mirson, in 2019, she had a recurrence of her Crohn’s illness and colitis after years “with out severe incident,” which her docs attributed to office stress. At across the begin of the pandemic in 2020, Mirson informed the financial institution she needed to work part-time or pursue incapacity depart or early retirement. Nonetheless, supervisors on the financial institution allegedly satisfied her to proceed working remotely.
However in accordance with Mirson, the mistreatment continued.
“It was well-known among the many feminine workers on the Financial institution….that they need to keep away from Mr. Bowman as a result of he handled feminine subordinates on this method,” the grievance learn. “Nonetheless, nothing was completed to cease or rectify his discriminatory mistreatment of ladies.”
AdvisorHub first reported the swimsuit, which additionally reported that Bowman died in 2023. A Wells Fargo spokesperson mentioned the agency was “reviewing the grievance” with no additional remark at the moment.
Mirson mentioned this mistreatment got here in cycles, the place Bowman would allegedly degrade Mirson solely to apologize and laud her work, with the sample repeating itself. Mirson ultimately took a medical depart of absence and mentioned that she was recognized with post-traumatic stress dysfunction along with her continual illness.
Bowman’s alleged verbal abuse continued whereas Mirson was on medical depart, main her to complain to the financial institution formally. She believed the financial institution didn’t take any steps in direction of a substantive investigation and argued that it wasn’t stunning that Wells Fargo ignored Bowman’s alleged habits, saying that “he was one of many Financial institution’s largest rainmakers.”
However in accordance with Mirson, she realized on Aug. 19 (whereas nonetheless on medical depart) that she’d be fired efficient Aug. 30. She’s now suing for misplaced future wages and compensatory and punitive damages.