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Exhibit 10.1
SEPARATION AGREEMENT AND GENERAL
RELEASE OF CLAIMS
I, Gnanesh Coomaraswamy, have received, carefully read,
and fully understand all of the provisions in this Separation
Agreement and General Release of Claims (this
“Release”). In entering into this Release, I am relying
on my own judgment and knowledge and not on representations or
statements made by the Federal Home Loan Bank of Chicago (the
“Bank”), its employees, or agents. I acknowledge that
the Bank advised me to consult with an attorney about the terms of
this Release before signing it.
(a) I understand that my employment
with the Bank is terminated effective August 17, 2007 (the
“Termination Date”) based on a mutual agreement between
the Bank and me.
(b) In exchange for my agreement set
forth in this document and for signing the letter dated
July 24, 2007 that I received with this Release (the
“Severance Letter”), I understand that I will receive
certain payments from the Bank:
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(i) |
The Bank
will pay me a severance payment, from which the Bank will deduct
all applicable state and federal taxes and other mandatory
deductions. The exact amount of this severance payment is set forth
in Paragraph 1 of the Severance Letter. This amount will be payable
in installments on the Bank’s regular payroll dates beginning
on the first payroll date that occurs at least five
(5) business days following expiration of the seven-day
Revocation Period described below; and |
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(ii) |
If I
elect to continue group medical insurance coverage after the
Termination Date under the Consolidated Omnibus Budget
Reconciliation Act of 1985, as amended (“COBRA”), the
Bank will pay the employer’s portion of the premiums for such
continuation coverage for the period of time set forth in Paragraph
2 of the Severance Letter, such contribution by the Bank to begin
in accordance with the terms of Paragraph 2 of the Severance
Letter. |
(c) The payments described in
paragraphs (b)(i) and (b)(ii) above, are referred to herein as the
“Severance Payment”. Further details regarding the
Severance Payment are set forth in Paragraphs 1 and 2 of the
Severance Letter. I understand that the Severance Payment will be
payable only after the expiration of the seven-day Revocation
Period described below and only if I have not revoked my acceptance
of the terms of this Release. I further understand that the
Severance Payment constitutes a benefit that I am otherwise not
entitled to receive
(d) I understand and agree that I am
signing this Release pursuant to the Federal Home Loan Bank of
Chicago Employee Severance Plan effective May 1, 2007
(“Bank Severance Plan”). I further understand that the
purpose of this Release is to assure the Bank that in return for
the Severance Payment, the Bank and its directors, officers,
employees, agents and representatives will not be put to the
expense and inconvenience of defending any claim, charge, or
lawsuit asserted by me in connection with my employment or the
termination from my position.
(a) I understand that this Release is a
legally binding document of serious legal significance. I
acknowledge that I have had a period of not less than twenty-one
(21) calendar days after today’s date (the “Review
Period”) to review this Release and consider acceptance of
this Release and the Severance Payment in exchange for releasing
any and all claims that I may have against the Bank and for
agreeing to the terms of Section 5 regarding the Restrictive
Covenants (hereinafter defined). I understand that the Review
Period will begin running on the day I receive this
Release.
I have been informed of my right to revoke this Release
without penalty in the seven (7) calendar days immediately
following the date on which I sign this Release. This seven-day
period is called the “Revocation Period”. I understand
that I may revoke this Release by delivering written notice of
revocation to Matthew R. Feldman of the Operations Department of
the Bank within the Revocation Period. I further understand that
this Release is not effective or enforceable until the Revocation
Period has expired. I further understand that the Severance Payment
will not be paid to me until after the expiration of the Revocation
Period.
(a) I hereby inform the Bank that, in
exchange for the Severance Payment, I have decided to release and
discharge, knowingly and voluntarily, any and all claims, demands
or actions, known and unknown, that I may have against the
Bank.
(b) Further, I understand the
conditions of my release from the Bank, and I agree:
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(i) |
The
provisions of this Release, including the Severance Payment, are in
full satisfaction of any claims, liabilities, demands, or causes of
action, known or unknown, fixed or contingent, that I may have or
claim to have, against the Bank and its directors, officers,
employees, agents and representatives at present or in the future.
Claims of discrimination, any claims under the Bank Severance Plan
and any other claims, other than for vested benefits, are hereby
released and discharged. |
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(ii) |
This
release includes, but is not limited to, claims allegedly arising
under the Bank Severance Plan, the Age Discrimination in Employment
Act, as amended, 29 U.S.C. § 621, et seq. ; Title VII
of the Civil Rights Act of 1964, as amended, 42 U.S.C. §
2000e, et seq. ; the Rehabilitation Act of 1973, as amended,
29 U.S.C. §§ 791, 793 and 794; the Civil Rights
Enforcement Statutes, 42 U.S.C. §§ 1981 through 1988;
Sarbanes-Oxley Act of 2002, 18 U.S.C. §1514A, et seq. ;
the Employee Retirement Income Security Act of 1974, 29 U.S.C.
§ 1001 et seq. ; the National Labor Relations Act, 29
U.S.C. 151 et seq. ; and any other federal, state or local
statute, ordinance or regulation dealing in any respect with
discrimination |
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in employment, breach of contract or
wrongful discharge, including those rights and claims arising under
any alleged legal restrictions on the Bank’s rights to
terminate the employment of its employees. I understand and agree
that this release and waiver applies to any and all forms of
monetary or other relief that I might seek in connection with my
employment or the circumstances of the termination from my position
except for receipt of unemployment compensation
benefits.
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(iii) |
I
acknowledge that, as of the date of this Release, I have not
suffered any on the job injuries, occupat |
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