(Bloomberg) -- A senior banker who was dismissed by Morgan Stanley alleged the company made up his job title to meet European requirements on post-Brexit rules, the Financial Times reported.

The banker was given the title “head of loan trading” when he joined Morgan Stanley in Frankfurt in April 2021, but testified he was told not to use the title, the paper said. The title was part of an effort by the bank to convince regulators that Morgan Stanley had moved top staff to Frankfurt to comply with post-Brexit rules, the FT said. 

The European Central Bank had urged international lenders to manage their EU operations with local employees after the UK exited the bloc, instead of depending on directions from those based in London, the paper said.

While a public verdict of the case did not identify the bank, the Financial Times cited four people familiar with the matter saying it was Morgan Stanley. 

Morgan Stanley disputed the banker’s statements in court, telling judges his title was not just a token, the FT said. A panel of three judges rejected the bank’s argument and said it hadn’t proven the banker was a material risk-taker in its Frankfurt office, the paper said.

Morgan Stanley is appealing the ruling, the paper said. The bank, the ECB and the banker declined to comment to the FT. Morgan Stanley also declined to comment on Sunday when contacted by Bloomberg News. 

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