BlackRock sues former staffers

Weeks earlier, it had completed its purchase of Barclays Global Investors, where Mr Waked was a senior funds manager.

According to a statement of claim filed in the Federal Court this week, BlackRock turned to Andrew Jackson, an employee since 2003, and told him "it was critical that any person occupying the new role provide long-term stability and leadership to the SAE business in Australia in light of the intended departure of Waked".

Mr Jackson agreed to take over as Australian head of the "SAE," or Scientifically-driven Active Equity business, in February last year.

Five months later he joined Mr Waked and another former BlackRock employee, Nicholas Burt, at a fledgling funds management firm, Vinva Investment Management.

BlackRock is suing the three men and Vinva for compensation and damages to cover "loss of business custom" and "loss of opportunity to retain clients and consolidate the SAE business in Australia".

The statement of claim lists 59 institutional clients, mostly large superannuation funds, said to have been targeted by Vinva.

The claim includes damages of $985,196 that BlackRock says it paid Mr Jackson to delay his departure for three months, at a time it alleges he had already planned to join Vinva.

Mr Waked, Vinva's managing director and majority shareholder, said yesterday the allegations were "all completely and utterly rejected".

"We look forward to having our say in due course," he said.

The statement of claim says that in August and September, Vinva emailed 59 BlackRock clients and invited them to its launch functions in Sydney and Melbourne.

BlackRock alleges this activity, and the hiring of Mr Jackson and three other BlackRock employees, was in breach of agreements signed by Mr Waked and Mr Burt in 2008.

It claims the men undertook that for 12 months after leaving BlackRock they would not use any BlackRock information to encourage any of the company's clients to use a competing provider of investment management services.

The "non-solicitation" agreements also prevented Mr Waked and Mr Burt from disclosing "the methods by which BlackRock meets their clients' needs" or information about clients "such as their buying and selling habits and special needs".

Each agreement also contained a clause saying the men would not induce any employee to move jobs.

The first directions hearing is scheduled for February 25.