The Financial Conduct Authority (FCA) is scrutinising whistleblower protections at Royal Bank of Canada, according to the Financial Times.
The move comes after former trader John Banerjee won his case for unfair dismissal against the bank last month. The regulator has been made aware of at least five more potentially similar cases.
The FT was told that RBC staff in London claim to have been dismissed without due process after highlighting legal and compliance problems, in cases spanning several years.
The FCA declined to comment on the inquiries into RBC, but said in a statement: ‘Whistleblowers play an important role in exposing poor practice in firms and they have in the past few years contributed intelligence crucial to action taken against firms and individuals.
‘It is in the interests of the industry and regulators alike that wrongdoing is identified and addressed promptly. For individuals to have the confidence to come forward, it is vital that firms have in place adequate policies on dealing with whistleblowers and that a senior manager takes responsibility for overseeing these policies.’
In May an employment tribunal found that RBC treated John Banerjee in an ‘egregious’ manner after he repeatedly raised issues about the bank’s 'box-ticking' compliance procedures.
The FCA was recently criticised for not banning Barclays chief executive Jess Staley over his attempts to find out the identity of a whistleblower. He was fined £642,430 and while the FCA and the PRA said he ‘failed to act with due skill, care and diligence’, he kept his job.