Madden v. Cisneros

830 F. Supp. 1251, 2 Am. Disabilities Cas. (BNA) 1258, 1993 U.S. Dist. LEXIS 11965, 62 Fair Empl. Prac. Cas. (BNA) 1347, 1993 WL 325728
CourtDistrict Court, E.D. Arkansas
DecidedAugust 27, 1993
DocketNo. LR-C-91-039
StatusPublished

This text of 830 F. Supp. 1251 (Madden v. Cisneros) is published on Counsel Stack Legal Research, covering District Court, E.D. Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Madden v. Cisneros, 830 F. Supp. 1251, 2 Am. Disabilities Cas. (BNA) 1258, 1993 U.S. Dist. LEXIS 11965, 62 Fair Empl. Prac. Cas. (BNA) 1347, 1993 WL 325728 (E.D. Ark. 1993).

Opinion

ORDER

ROY, District Judge.

The plaintiff has brought this three-part action against the Secretary of the Department of Housing and Urban Development (“HUD”) in which he alleges discrimination/retaliation based on age, handicap, and race. The claims are brought pursuant to the Age Discrimination in Employment Act of 1967, 29 U.S.C. §§ 621-634 (1988) (“ADEA”), Section 504 of the Rehabilitation Act of 1973, and Title VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. § 2000e.

[1253]*1253After the plaintiff properly exhausted his administrative remedies, this matter was tried before the Court. After considering the testimony given and the other evidence submitted, along with the post trial briefs filed by the parties, the Court now makes these findings of fact and conclusions of law.

I. FACTS

The plaintiff in this case is Joe E. Madden, a white male who was approximately 53-56 years old at the time the events pertinent to this case transpired. Until his retirement, he had been continuously employed by HUD and its predecessor agency, the Federal Housing Administration, since 1962. He served there in several capacities involving loan origination and administration, real' estate management, and real estate sales. After joining the agency, he consistently received good work evaluations (at least until the late 1980’s) and promotions into positions of increasing responsibility. By 1984 he had become the Chief of the Loan Management and Property Disposition Branch (LMPD) of the Little Rock office. He eventually received the pay grade of GS-13.

His immediate supervisor at that point was Dickie F. Williams, the Director of the Housing Management Division, one of about six divisions within the Little Rock office. The several division chiefs, in turn, reported to the Little Rock Office Manager, John Suskie, and his Deputy Manager, Roger Zachritz. It was Mr. Madden’s deteriorating relationship with Messrs. Williams, Zachritz, and Suskie in the late 1980’s which eventually led to this lawsuit.

One of Madden’s subordinates once he assumed his duties as Chief of LMPD was Carl Grant, a black man. In 1982, which was prior to the time Madden became his supervisor, Grant wrote directly to the Secretary of HUD1 complaining about what he believed to be racially discriminatory practices occurring in the Little Rock HUD office. These complaints eventually made their way to Suskie as Office Manager. Grant had also sent correspondence directly to Suskie about the same time.

Almost two years later, in early 1984, Suskie told Madden that he did not think Grant was “behaving properly.” He told Madden about Grant’s complaints sent to the Secretary. He also told Madden that he considered Grant to be a terrible and “disloyal” employee. He further allowed that if the local HUD office were run more like the military, strong action would be taken against Grant. Testimony to this effect offered by the plaintiff was not contradicted by the defense.

Furthermore, at this time Grant was dating a white woman and apparently had a child with her. This relationship was resented by management officials at the Little Rock office, including Suskie.

Late in 1985, Grant was assigned to review the local office’s relationship with Union National Mortgage Company. An official at Union later contacted Suskie and alleged that Grant had suggested he wished to seek employment at the bank and that he also sought some type of favorable loan arrangement. These allegations were forwarded by Suskie to HUD’s Inspector General’s office, which then looked into the matter.

Unrebutted testimony indicates that the Inspector General found no violation of Grant’s code of conduct, that there was no adverse information in Grant’s file over the previous fifteen years, and that he had had no previous disciplinary incidents. Nevertheless, Suskie then recommended that Madden, who was by that time Grant’s immediate supervisor, fire Grant.

It was at this point that Joe Madden’s relationship with John Suskie began to deteriorate. As Grant’s immediate (first line) supervisor, Madden would ordinarily be the person to mete out any discipline due Grant. Madden told Suskie that Grant’s dealings with the bank officials constituted, at most, an error in judgment and that he would not fire Grant. Suskie then said that Grant should be suspended 30 days without pay. Again, Madden said that that penalty was too harsh and he would not impose that penalty. However, over Madden’s objections, Grant [1254]*1254was suspended for 30 days without pay in early 1986.

Grant appealed and in January of 1987, received a hearing before the Merit System Protection Board. Two supervisor-level HUD employees testified on his behalf: Joe Madden and Katie Worsham. Each would soon suffer for having done so.

Ms. Worsham, a black woman, was the director, of the Community Planning and Development Division of the Little Rock office at the time she testified on behalf of Grant. Shortly thereafter she was transferred to Oklahoma City against her will. Suskie testified that he “had absolutely nothing to do with her transfer ...,” that it was part of a three person, three city “rotation” that came at the order of Sam R. Moseley, HUD regional administrator, and that he was not aware of her transfer ahead of time.

However, there is credible testimony from Donna Thomas, Suskie’s secretary at that time, as well as others, that immediately prior to the announcement of Worsham’s involuntary transfer, Suskie was on the phone an inordinate amount of time with Moseley. Thomas shares Worsham’s belief that Worsham’s transfer was in response to her testimony for Grant at his hearing. Furthermore, several witnesses testified that it would be extremely unlikely for such a high level manager like Worsham, a division director,2 to be transferred out of an office without the prior consultation, and probably the approval, of that office’s local manager. After judging the credibility of the several witnesses, the Court concurs.

Poor treatment of Madden can also be traced to his testimony for Grant. Prior to that time, for example, Madden had made several public speaking appearances out of town on behalf of HUD. Afterward, he was no longer permitted to make such appearances.

Within four months of Madden’s testimony for Grant, a training seminar in Washington, D.C. was announced. The topic was managing troubled multi-family housing projects, an area within Madden’s responsibility as Chief of the Loan Management and Property Disposition Branch. Though authorized by the terms of the announcement to attend, Madden was not allowed to go. However, two persons not fully qualified by the terms of the announcement (they did not have the requisite three years experience) were allowed to attend.

After Madden’s testimony for Grant, Madden never received another full merit increase, though they had been awarded him almost routinely prior to that in his career.

In August of 1988, Loan Management and Property Disposition Branch was split into two separate branches: Loan Management Branch (“LMB”) and Property Disposition Branch (“PDB”).

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Bluebook (online)
830 F. Supp. 1251, 2 Am. Disabilities Cas. (BNA) 1258, 1993 U.S. Dist. LEXIS 11965, 62 Fair Empl. Prac. Cas. (BNA) 1347, 1993 WL 325728, Counsel Stack Legal Research, https://law.counselstack.com/opinion/madden-v-cisneros-ared-1993.