A former Thomson Reuters employee is suing the news and information vendor for wrongful dismissal after he made allegations to the FBI that the company was releasing market reports early to ultra low-latency clients.
In a complaint lodged in Manhattan federal court, Mark Rosenblum says he was fired within weeks of airing his concerns that certain customers were receiving a two-second advantage over others in the bimonthly release of the Thomson Reuters/University of Michigan Surveys of Consumers.
The survey, which can influence stocks and bond prices, is released on a tiered distribution basis, with Reuters desktop subscribers receiving the data five minutes ahead of its posting on the University Web site. Rosenblum's allegations centre around a third tier, with high-frequency traders who pay a premium getting access two seconds ahead of the rest of the market.
Reuters has denied that it acted improperly, saying that its ethics committee investigated Rosenblum's complaint but found no evidence to substantiate his allegations.
Rosenblum is seeking damages under US whistleblower laws, claiming he was sacked after telling his superiors that he had spoken to the FBI about the issue.