French Court Releases Rogue Trader

PARIS -- A French appeals court ruled Tuesday that Jerome Kerviel, the former trader that Societe Generale has blamed for nearly $7.7 billion in losses, should be released from jail while the investigation into his alleged fraud continued, The New York Times reported.

Kerviel was to be placed under judicial supervision and was forbidden to leave France for the duration of the inquiry. He surrendered his passport to the authorities in late January, the paper reported.

Lawyers involved in the case said Tuesday that Kerviel also had been ordered not to contact any of his former colleagues at the bank and that there was a list of about 20 people with whom he was barred from communicating, the paper reported.

Elisabeth Meyer, Kerviel’s lead lawyer, said would be released later Tuesday from La Santé prison where he has been held since Feb. 8, the paper reported.

-- NYSSCPA.org News Staff

Posted on 3/18/08