A Finra arbitration panel has ordered UBS to pay more than $11 million to one of its former supervisors who claimed defamation, the industry’s self-regulator says.

Mark Munizzi, who was discharged by UBS last year, accused the firm of defamation, tortious interference with prospective economic advantage and violation of state wage payment regulations, and said UBS owed him severance, according to an arbitration award document published by Finra.

He sought expungement of his record as well as compensatory damages of $3.2 million, punitive damages of 10 times the compensatory damages and several hundred thousand dollars in attorneys’ fees and costs, the regulator says.

Munizzi became a registered representative in 1987 and worked at Merrill Lynch, Lehman Brothers, Smith Barney and Prudential Securities before joining UBS in 2003, according to his BrokerCheck profile.

In July 2016, UBS appointed him as the market area supervisory officer in Chicago, according to his LinkedIn profile.

UBS discharged him in April 2018 over allegations that he had “failed to adequately supervise employees in association with the risks of an uncovered options strategy in employee and employee related accounts” and “gave varied responses during the review,” according to BrokerCheck.

In his broker comment, Munizzi claims that he at first wasn’t notified about the unsecured positions and, upon learning about them from the margin department of the home office, immediately notified the branch manager, his market area manager and his UBS division and “took steps to cover the position on the market open the next business day.”

Munizzi also denies having given varied responses, according to BrokerCheck. He has no other disclosures on his record.

The Finra arbitrators ordered UBS to pay Munizzi $7.5 million in punitive damages, $3.1 million in compensatory damages and interest on $112,500 of them, and around $521,000 in lawyers’ fees and costs, according to the arbitration award document. The panel also recommended that Munizzi’s reason for termination on the Form U5 filed by UBS be expunged and his reason for termination changed to “Terminated without cause,” Finra says.