Smith Barney Ordered to Pay $1.3 Million

A National Assn. of Securities Dealers arbitration panel ordered Smith Barney Inc. to pay $1.325 million to a former broker that it dismissed because of a disability. It’s the third time in two weeks that the brokerage, a unit of New York-based Travelers Group Inc., has been forced to pay to resolve charges of wrongdoing. Michael Wright of Fort Lauderdale, Fla., alleged that Smith Barney “failed to make reasonable accommodations” that would allow him to keep working after he contracted chronic fatigue syndrome, according to an NASD document. Smith Barney said it made “several reasonable accommodations” to Wright, including allowing him to work at home. The firm fired him because he “couldn’t be trusted to handle his own finances,” according to the document. Smith Barney declined to elaborate. Wright’s attorney, Debra Raskin of New York, said Smith Barney’s stated reason for firing Wright involved concern about his legal gambling. “We’re disappointed and disagree with the result,” Smith Barney spokeswoman Sally Cates said.