A fund manager is suing JP Morgan, alleging that the investment bank breached an agreement when he was fired without warning and claiming he might have lost US$30.8 million. Varun Kumar Bery, 51, who along with an investment company he had worked for entered into an agreement with the bank to create a private equity group in 2008, filed his claim at the Court of First Instance earlier this week. He alleges that after the bank terminated his employment in November last year, it refused to finalise an agreement for a spin-out that would have allowed him to continue managing the portfolio of the equity group and the investment company. He is seeking damages from JP Morgan Private Capital Asia Corp, a global financial services institution wholly owned by JP Morgan Chase. He is seeking an injunction restraining JP Morgan from letting a company through which his fund had invested in a mainland cement firm dispose of or disturb its shareholding. The claim said the bank, 'acting unreasonably, in bad faith and/or in breach of the express or implied terms of the amended framework agreement, failed or refused to finalise the terms' of the spin-out. Bery, a fund manager of 15 years who had worked in Asian private equity at a company called TVG Capital Partners, entered the agreement with JP Morgan to create the private equity group in Asia in 2008. JP Morgan was to commit US$750 million in capital and employ Bery and his business partner, John Troy, as managing directors and build and manage the fund. The profits of this fund would be separate from JP Morgan's other businesses and funds, and it would enjoy a high degree of independence from the bank, the claim says. Troy eventually left in May 2008, and shortly after, Bery entered an agreement whereby if the bank terminated his employment, there would be a mechanism for a spin-out, or new entity, to be formed, through which Bery could conduct business and which would employ at least 70 per cent of the equity group team. The details were to be finalised between the bank and Bery. Bery alleges that after Troy left, the fund was transferred to a group headed by a man who 'had no prior experience' of private equity funds and who told Bery that his group would no longer put capital in the fund. He claims his employment was terminated and the bank then failed to finalise the spin-out agreement.