Ex-bank chief takes Merrill to court

MERRILL Lynch is being dragged through the London courts by one its former European chiefs in a 'get-tough' discrimination case.

Stephanie Villalba, former head of Merrill's European private banking, wants the High Court to force the bank to hand over any information about her they have withheld - from emails to notes - as she fights a sex discrimination and unequal pay claim.

The tactic marks a turning point in the way employees alleging discrimination through tribunal proceedings put pressure on their bosses to disclose employment records.

If she wins a court order Merrill executives will have to turn over files going back years or risk fines or imprisonment.

The employment tribunal in Croydon, Surrey has scheduled Villalba's claim for hearing next June. A clerk said the defendants are Merrill Lynch Europe, Merrill Lynch & Co and Merrill Lynch International.

Villalba left Merrill in August after an unbroken 17-year career at the firm. One of Merrill's highest ranking female employees, she became head of continental European private banking 18 months ago, adding UK coverage shortly afterwards.

Her male peers of equivalent power in private banking could have had total pay packages worth more than £1m a year in salary and bonus, sources familiar with Merrill said.

Meriel Schindler, head of employment at City law firm Withers, said: 'A tribunal can draw an adverse inference from a failure to reply or an evasive response to the questionnaires.'