Ex-auditor sues city for $2.8 million over firing

Denise Cardinal

Wednesday, April 29, 1998 | 10:09 a.m.

Former Las Vegas City Auditor Susan Toohey is suing the city of Las Vegas for $2.8 million for wrongfully firing her.

In a complaint filed today (Wednesday) in District Court, Toohey alleges that the City Manager's office fired her in March because she was too progressive in her audit practices.

Toohey also alleges that she was fired because she was diagnosed with breast cancer right before her termination.

City officials directed questions to Rick Anderson, head of the city's human resources department, who declined comment by saying that it's against city policy to discuss personnel issues or to discuss pending lawsuits.

Toohey was fired six weeks ago from her $73,606-a-year post, which she took on in May 1995. No public reason was given for her termination and she received the maximum 8 percent merit rase for both reviews she received. Anderson said that it's against city policy to discuss personnel issues.

Sources at City Hall, including some department heads, say it was Toohey's plan to reorganize the whole audit department that got her fired. The complaint she filed against the city says the same.

It alleges that a memo she wrote to City Council members and the mayor made her boss -- the city manager's office -- angry. The memo explained a new possible structure for her department, which would have her and her employees reporting to an outside committee rather than the city manager.

The complaint also alleges that between the summer of 1995 and December 1997 she conducted 17 audits, reviews and recommendations that were withheld from public view by the city manager's office.

City officials offered Toohey the option of resigning, rather than getting fired, for a more substantial severance package, the complaint reads.

It was because Toohey wanted the reports made public, she didn't want to report to the city manager's office and she was diagnosed with breast cancer that she was terminated, the complaint states.

She's asking that she either be reinstated as city auditor or the city pay her $1.8 million -- as an average income of $100,000 a year for 18 remaining years of employment -- as well as 20 years of retirement at 50 percent of salary and benefits for about $1 million.

Toohey also is asking for at least $10,000 from the city for allegedly violating the Rehabilitation Act of 1973 and firing her for having breast cancer.

"I don't see why she's suing for wrongful termination," Las Vegas Mayor Jan Laverty Jones said. "If she has a problem with the city's audit function, that's one thing. But that's not wrongful termination."