Ex-CEO, Credit Union Settle Dueling Lawsuits

PORTSMOUTH, N.H. – Gordon Simmons, the former CEO of Service Credit Union and the credit union itself have settled lawsuits that alleged breach of contract and sexual and financial wrongdoing.

Simmons Gordon

Gordon Simmons

As CUToday.info reported here, Simmons filed suit against Service Credit Union in March 2016 and the credit union countersued. The parties have now informed U.S. District Court of New Hampshire the matter has been settled, with Simmons’ attorney telling SeacoastOnline.com the settlement was amicable and the terms are confidential.

In his lawsuit, Simmons had alleged Service Credit Union had reneged on an agreement to provide him and his wife with lifetime health and dental insurance coverage.

Service CU responded with a countersuit that alleged Simmons had an affair with his administrative assistant, had forgiven her $38,000 relocation loan without board approval, and had fired an employee who questioned the inappropriateness of his relationship with the assistant. SeaCoastOnline.com reported SCU claimed it was forced to settle related legal claims, that Simmons breached his contract and lied.

As CUToday.info reported, during an outside investigation Simmons admitted to the allegations and the SCU board agreed to a “forced and involuntary resignation in lieu of termination,” according to documents filed in federal court. “The credit union claimed Simmons resigned after admitting to ‘financial misconduct, a sexual relationship with a direct subordinate and other violations of SCU policies,’” SeaCoastOnline reported.

Simmons served for 21 years as CEO of the credit union and was with the credit union for 41 years overall. In addition to other compensation, court documents indicated Simmons’ benefits from SCU included living in a home owned by the credit union.

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Word Count: 393
Copyright Holder: CUToday.info
Copyright Year: 2022
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URL: https://www.cutoday.info/Fresh-Today/Ex-CEO-Credit-Union-Settle-Dueling-Lawsuits