By Jonathan Shapiro
Etienne Alexiou, the sacked ANZ Banking Group trader, has dropped his lawsuit against the bank.
The bank confirmed in a media statement that the trader, whose lawsuit highlighted a wayward culture of sex, drugs and alcohol within ANZ's market division, had withdrawn legal action.
Etienne Alexiou has dropped his case for unfair dismissal against ANZ.
"No money was paid by ANZ to Mr Alexiou and in accordance with Fair Work Act proceedings each party will meet their own legal costs," ANZ said.
Mr Alexiou's withdrawal follows the decision by bond salesman Paddy O'Connor to also drop his unfair dismissal case against the bank. The staff were claiming a combined $40 million in damages relating to their dismissals.
Mr Alexiou, who was initially suspended by the bank in 2014 as the corporate watchdog investigated alleged interest rate manipulation, was sacked for breaching the bank's code of conduct – specifically lewd and explicit online chat conversations with staff and traders at other banks.
"The closure of this case means all legal action initiated by employees who were dismissed in late 2015 for serious breaches of our code of conduct has been withdrawn," ANZ chief risk officer Nigel Williams said.
Mr Alexiou's legal representative, Peter Punch of Carroll & O'Dea Lawyers, had not returned a request for comment at the time of publication.
"While it's disappointing our business and our people have been unfairly subjected to a series of unfounded claims, ANZ will continue to take an uncompromising stance to legal disputes of this nature where it considers them to be without merit," Mr Williams said.
The revelations that came from Alexiou's $30 million lawsuit sent shockwaves through the bank as a major overhaul of the market division was undertaken.
The bank's head of institutional banking Mark Whelan said in an e-mail to staff that while he was pleased the cases were withdrawn, he was disappointed that "our business and our people have been unfairly subjected to a series of unfounded claims made with the aim of seeking monies."
"I hope however you all agree that ANZ's uncompromising stance to legal disputes of this nature that we consider to be without merit, is the right thing to do," he said.
Whelan told staff that the legal action taken by the Australian Securities and Investments Commission against ANZ and the other major bank was "continuing".
"I know however that we have made huge progress in strengthening our culture within the Markets business."