Credit Agricole Indosuez has filed a lawsuit against Royal Bank of Canada and three former employees who jumped ship to join the Canadian bank last month (see Whispers, ASR 10/15/01 p.4). CLO/CDO bankers Daniel Smith, Lee Shaiman and Michael Arougheti were formerly with Indosuez Capital, which is the Merchant Banking and Asset Management division of Credit Agricole Indosuez. A fourth employee who joined RBC, Ken Kencel, is not named in the filed litigation because he is a member of the National Association of Securities Dealers (NASD), but a complaint has been filed with the NASD. The NASD complaint is subject to binding arbitration instead of litigation, meaning that Kencel's case has to be addressed in an arbitration scenario.

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