EEOC Sues Merrill Lynch for Discrimination
The U.S. Equal Employment Opportunity Commission has sued Merrill Lynch & Co. Inc. over alleged discrimination against a former employee because of his Iranian origin and Muslim faith, according to a court filing Tuesday.
Merrill Lynch discriminated against Majid Borumand by failing to promote him and then terminating his employment because of his national origin and faith, the commission alleged in its complaint, filed in U.S. federal court in Manhattan.
Mr. Borumand, who was a quantitative analyst at Merrill, was the object of a number of remarks that reflected animosity toward his origin and faith, the complaint alleged.
Mr. Borumand was told "the reason that you are not allowed on the trading floor is because you are from a country which has a high risk factor and a threat," according to the complaint.
A Merrill spokesman said the company disagreed with the complaint.
"We regret the EEOC believes there are grounds for its filing," spokesman Mark Herr said. "We respectfully—but strongly—disagree with the EEOC and deny Mr. Borumand's allegations."
Mr. Borumand was hired by Merrill Lynch in early 2002 as a quantitative analyst in the company's global markets and investment banking model development group, according to the complaint.
In June 2005, Merrill refused to promote Mr. Borumand, who has a master’s in mathematical finance and a Ph.D. in theoretical physics, the commission said. Merrill instead fired Mr. Borumand and promoted a less qualified individual, it alleged.
Mr. Herr said Mr. Borumand was a senior programmer in the company's global equity technology group.
The commission asked the court to order Merrill Lynch to institute policies that provide equal employment opportunities for all employees. It also asked that Mr. Borumand be compensated for past and future losses as well as awarded damages.
"A free-market economy requires freedom from discrimination," said Spencer Lewis, director of the commission's New York office.
