A New York City-based broker employed by TP ICAP Group has sued her employer and Citi, alleging that both companies failed to shield her from persistent harassment by a trader at the bank.

Christine O’Reilly, the broker, filed a complaint Monday in a federal court, claiming she endured years of unwanted advances and harassment from Citi trader Benjamin Waters, who represented a valuable client for her firm. According to the complaint, she was compelled to prioritize her company's financial interests over her well-being, forcing her to tolerate the alleged mistreatment and a “toxic” work culture.

O’Reilly’s supervisor, Janie McCathie, coerced her to “play the game” with Waters, which would help ICAP maintain its relationship with Citi. O’Reilly was subjected “to relentless, coordinated harassment, jeopardizing her career and well-being,” the complaint noted.

“Despite public pledges to ethical business practices and stringent Codes of Conduct, Citi’s and ICAP’s actual work culture prioritizes relationship-building through alcohol-fueled socializing and off-channel communications,” O’Reilly’s attorney wrote. “This contrast between stated values and real practices fosters an environment where misconduct thrives unchecked, with participants sidestepping regulatory scrutiny through unauthorized channels, rendering official policies window dressing.”

O’Reilly has filed negligence claims against Citi, alleging the company failed to adequately supervise Waters’ moves and enforce relevant policies to prevent his misconduct.

Waters was not named as a defendant in the case but is described as a “non-party co-conspirator and aider and abettor to the unlawful conduct” allegations.

Waters is described as a “high-value Citi trader” on the bank’s Delta One MSCI desk in London. His LinkedIn profile shows that he is still a trader at Citi. 

Citi declined to comment to Banking Dive.

O’Reilly joined ICAP as an intern in 2013 and later became a broker on ICAP’s Delta One MSCI desk, eventually heading the MSCI business in New York. She was one of a handful of women who worked on a floor with hundreds of men.

O’Reilly met Waters during a work trip to London in 2018 or 2019. The Citi trader had developed an “inappropriate personal interest” in O’Reilly by early 2020 and attempted to enter her London hotel room despite her refusal, according to the complaint.

“It’s important to call Citi out because they allowed this behavior to happen and turned a blind eye to it,” O’ Reilly told Bloomberg. The bank has an important role to play beyond the actions of one employee, she added.

Throughout 2020 and 2021, Waters used WhatsApp to send inappropriate late-night messages — most of the time intoxicated — asking for O’Reilly’s pictures and trying to meet her in private, the complaint alleged. The ICAP broker reported Waters’ advancements to McCathie, who asked her to put up with it and flirt with him as it was part of her job. Following O’Reilly’s rebuffs, Waters threatened to stop Citi’s business with ICAP, according to the lawsuit.

“Despite company policies prohibiting such use, both ICAP and Citi allowed and even encouraged the widespread use of unauthorized communication channels like WhatsApp,” the complaint said.

The Securities and Exchange Commssion and Commodity Futures Trading Commission handed Citi penalties totaling $200 million in 2022 over employees’ use of unauthorized messaging platforms such as WhatsApp.

The plaintiff argues that these "longstanding failures" in Citi's internal controls and compliance systems allowed Waters' alleged abusive behavior to continue without intervention.

O’Reilly filed a formal internal complaint with ICAP in March, but no one from management contacted her about her well-being after the internal complaint was filed, she said. Until the lawsuit was filed, ICAP's investigation into O'Reilly's March complaint remained ongoing, with no precise end date, while she has been on indefinite leave throughout this period, the lawsuit noted.

McCathie reportedly remains in her position.

O’Reilly seeks compensation for loss of earnings and benefits, emotional distress, attorney fees and other damages.

Citi has been tied to workplace gender discrimination allegations, with a managing director at the bank claiming that the bank failed to protect her from violent threats and abuse due to a “pervasive” culture of sexual harassment, according to a lawsuit filed in November.

In the same month, The Wall Street Journal reported on widespread allegations that the Federal Deposit Insurance Corp. had long tolerated a toxic workplace culture rife with sexual harassment.