In a filing to the Securities and Exchange Commission, the investment bank said it had discovered actions initiated by an unnamed China-based employee that “appear to have violated” the act.
Three people familiar with the matter said the employee referred to in the filing was Garth Peterson, Morgan Stanley's top property deal-maker in China until he was fired around Christmas last year.
The bank said it had “terminated the employee” involved and reported the activity to the appropriate authorities.
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