A former Morgan Stanley research chief filed a lawsuit Monday accusing the firm of pushing him out after he had complained about retaliation and racist remarks by his boss.

The lawsuit alleges that Edward von der Schmidt performed well at the firm and was on track for a promotion when Matthew Hornbach, Morgan Stanley’s head of global strategy, rewrote von der Schmidt’s job responsibilities in such a way that he was set up to fail. Von der Schmidt claimed that he suffered resultant emotional distress that compelled him to resign in May of this year, after a lengthy medical leave he attributed to his workplace troubles.

Von der Schmidt, whose financial services career began in 2009, had previously spent four years at the wirehouse. He left in 2013 and rejoined the firm in March 2019 as vice president of global research, according to the lawsuit’s complaint.

By December 2019, von der Schmidt was ghostwriting sections of the firm’s daily Global Macro Commentary report, which were credited to Hornbach, the complaint states. Between January 6, 2020, and April 18, 2021, von der Schmidt wrote 284 of the 285 pieces, the complaint alleges. But when the byline was shifted to von der Schmidt in 2021, Hornbach became antagonistic, began ignoring his duties as manager of the report and its staff, and undertook efforts to derail von der Schmidt’s career at the wirehouse.

Von der Schmidt claimed that he had received a positive performance review in 2020 and that, during his January 2021 review, Hornbach called the Global Macro Commentary report “best in class” and indicated that von der Schmidt deserved, and would likely receive, a promotion to executive director. Von der Schmidt claimed that, in September 2021, weeks after his name had started appearing on his work, he received a written reprimand in which he was warned of potential consequences up to and including termination.

Von der Schmidt, of Cuban-American descent and whose long-term partner is Asian-American, also claimed that Hornbach regularly expressed anti-Chinese and anti-Muslim views, at times mimicking accents. Von der Schmidt alleged that Morgan Stanley’s human-resources department excused Hornbach’s remarks. Von der Schmidt further claimed that Chinese researchers on his staff were customarily paid less than their Caucasian equivalents on Hornbach’s staff.

Von der Schmidt also claimed that, as his medical leave wore on, the firm — or a person acting on its behalf — launched persistent cyberattacks on his company-issued computers and phone, in an attempt to gain leverage in the matter. He claimed that those attacks eventually spread to personal devices he and his partner used, and that they continued after his resignation.

Von der Schmidt’s lawsuit, filed in the U.S. District Court for the Southern District of New York and including an invasion-of-privacy claim by his partner, Keanna Ngo, seeks recovery of economic damages, general damages and punitive damages. In a written statement provided in response to a request for comment, a Morgan Stanley spokesperson said, “We believe this lawsuit is wholly without merit and we intend to defend ourselves vigorously.” The plaintiffs' attorney, Tyrone Blackburn, provided a reply in which he asserted that "Morgan Stanley's persistent inequities are a distraction to its staff and the industry."