What next for Dr Alexandre Harfouche?
Alexandre Harfouche has been prised off his pedestal. The Goldman managing director and head of European block trading has been fired for violating internal procedures according to the Financial Times.
Alexandre, who seems to share his nationality with Fabrice Tourre, has a PhD and appears to have worked at Goldman from year dot. The FSA register shows he's been there since at least 2001.
Unfortunately for Alexandre, he was only made MD at the end of last year, meaning this would have been his first year of full MD-level salary and bonus payments.
Not any more. Having been fired for unspecified internal violations related to his alleged failure to make full internal compliance disclosures, Alexandre will probably forego both this year's bonus allocation and and any deferred stock. Unfortunately for him, this has come to pass only months before 2010 bonuses are paid out.
Headhunters are unfamiliar with Alexandre. We spoke to a few who said he's not even flickered across their radar. Unfortunately, a dismissal for gross misconduct (which seems a possibility) would mean he stays that way.
"Today, the FSA makes it very difficult to register someone who's been fired for gross misconduct," says the head of one equity-focused search firm. "It's almost impossible."
As a senior hire, Harfouche would fill a 'significant influence' function. According to the Guardian, 9% of people applying for significant influence positions this year have been frightened off by the FSA.
To avoid this problem, Harfourche would need to negotiate an exit from Goldman as a 'good leaver.' In order to do this, he'll need to compromise. "Banks will sometimes allow people to become good leavers, but they usually need to give up all their bonus and stock entitlements," says the headhunter. Either way, it doesn't sound good.
