A long-running legal dispute between Cantor Fitzgerald and the former head of the broker’s spreadbetting arm has been settled just hours before an employment tribunal was due to hear the case.

Lewis Findlay, who ran Cantor Index from 2003 until he resigned in 2006, withdrew an allegation of constructive dismissal last night.

Mr Findlay had been claiming as much as £12.5 million in compensation, the amount he says he would have been enitled to if Cantor Index had been sold or floated.

In a joint statement, Cantor and Mr Findlay said: "The parties have reached an amicable settlement of Mr Findlay’s claims brought in the Employment Tribunal. Mr Findlay accepts that he was not detrimentally treated or dismissed by reason of whistleblowing. Mr Findlay accepts that those allegations were unfounded and they have been withdrawn.

Cantor Index Limited accepts that Mr Findlay was unfairly dismissed by the Company in January 2006

Neither side would comment on the details of the settlement.

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