City analyst reaches deal in £7m 'institutional racism' case

A City analyst who claimed he was the victim of "institutional racism" at the world's largest financial services group accepted an undisclosed sum to settle his case yesterday.

Fadil Dookhy, 25, who was born in Mauritius, was claiming £7m in damages from AIG Global Investment Corporation, alleging he had endured a string of racist taunts from his boss, Chantal Brennan. Mr Dookhy, whose salary was £70,000, said he was the star performer of the equity-research team and had helped to transform his team into one of the best in Europe.

But he said he was offered an "insultingly low" bonus of £2,500 - 20 times less what white colleagues received. He claimed his boss ridiculed him about fasting for Ramadan and made "humiliating, demeaning and racist" remarks.