DBS Bank in Taiwan Files Lawsuit Against Former Wealth Managers: A First in Bank Merger History

The lawsuit follows the departure of former Citi wealth managers after DBS's acquisition, raising eyebrows in the financial sector.

In a surprising turn of events, DBS Bank (Taiwan), recently approved by the Financial Supervisory Commission (FSC) to expand its wealth management services, has filed a lawsuit against four former wealth managers. The individuals, who previously worked at Citi before being acquired by DBS, are accused of violating the Trade Secrets Act. This marks an unprecedented case in the history of bank mergers, where a bank has taken legal action against former employees who left after a merger.

The four wealth managers had departed DBS after the merger with Citibank. Authorities have conducted searches of both their homes and offices, adding to the gravity of the situation.

DBS Bank (Taiwan) responded that they discovered that former employees were suspected of violating the Trade Secrets Act. They have subsequently engaged legal counsel to initiate the relevant lawsuits. As the case is now under investigation by judicial authorities, the bank stated that it could not provide further details or commentary to avoid impacting the investigative process.