Citadel has filed a complaint in a New York court, alleging that Marshall Wace is actively obstructing a court-ordered document search concerning the recruitment of Daniel Shatz, a former Citadel portfolio manager. Shatz, who became Marshall Wace's global head of credit in 2024, is also engaged in a separate arbitration with Citadel over an eight-figure deferred compensation package that Citadel withheld, claiming Shatz breached his employment agreement and misappropriated confidential information.
Citadel's accusations against Marshall Wace include failing to fully comply with subpoenas for records related to Shatz's move, delaying access to evidence for nearly three months, and a deliberate effort to "stonewall" its requests. Specifically, Citadel is seeking a court order to compel Marshall Wace to include senior executives Anthony Clake and Alan Hofmeyr in the document search, as they allegedly played a central role in hiring Shatz and developing Marshall Wace's new credit operation. Marshall Wace has reportedly argued that these executives are senior leaders working for a separate UK entity and questioned the unique relevance of their communications.
The broader dispute involves Citadel's claim that Shatz violated his employment terms by accessing proprietary material before his departure. Citadel alleges that before resigning in June 2023 and entering a 15-month gardening leave period, Shatz accessed and printed confidential documents, including recruitment lists, plans for developing a global credit business, and candidate evaluation scorecards, after securing his position at Marshall Wace. Shatz, on the other hand, initiated arbitration, asserting that Citadel retaliated against him by withholding his deferred compensation after he raised concerns about potential securities violations.
