Cavanaugh, county settle employees' lawsuit for $40,000

FLORENCE — A Pinal County supervisor has paid $20,000 out of his personal funds and the county insurance pool has paid an additional $20,000 to settle a lawsuit brought by two top employees of the County Attorney's Office, who said they were smeared by false allegations of sexual misconduct.

Pinal County Attorney Chief of Staff Garland Shreves and Finance Manager Amanda Stanford sued the county and Supervisor Kevin Cavanaugh, R-Coolidge, last year. They argued that their careers, reputations and personal lives suffered from Cavanaugh's false statements.

"This is the first time that this liar — that anyone has ever been able to hold him accountable," Shreves said in a phone interview with PinalCentral. "This is a victory for Amanda and myself and our families, but more importantly, it's very clear to the taxpayers and the voters that he is an absolute pathological liar. He is truly one of the most fact-challenged human beings."

Had the case gone to trial, the public would have seen how Cavanaugh has lied "consistently throughout his professional life," Shreves said.

Pinal County and its insurer paid an estimated $145,000 in defense costs including attorney fees and court, mediation and deposition costs. The county hired outside counsel and retained a separate attorney to represent Cavanaugh. The county paid its $75,000 deductible and the Arizona Counties Insurance Pool paid the rest.

Shreves and Stanford originally filed claims totaling $13 million. Although they settled for far less, Shreves said it was never about the money as much as holding Cavanaugh accountable and protecting others from him. "We wanted to get on with our lives, we didn't want to be punitive towards the people of Pinal County."

According to the settlement agreement signed April 24, "Plaintiffs and Defendant will issue a joint press release in which Defendant expresses regret at any harm caused to Plaintiffs and that the parties acknowledge that they are glad that the matter has been resolved."

The press release was not immediately available Thursday. Cavanaugh said through a spokesman that the press release will serve as his comment.

Shreves said Cavanaugh stuck to his story despite no hard evidence for it.

"Even on mediation day, he still tried to assert his lies," Shreves said. "I'm real proud that the county forced him to pay a portion. He should have had to pay every dime."

Shreves said the county continues to be vulnerable to legal action from others Cavanaugh has wronged. "If he had one ounce of integrity left in his body, he would resign. The people of his district should demand that he resign."

An outside investigation showed that two witnesses Cavanaugh said had told him about Shreves and Stanford denied ever having such information or telling it to Cavanaugh. An unnamed third witness could not be found.

Shreves noted that Cavanaugh's wife was not required to answer questions in the investigation, although other county employees were told they must cooperate or forfeit their jobs. "She was a county employee and she was afforded favoritism, in my personal opinion, because of Kevin Cavanaugh. … It's wrong. You see, the rules don't apply to him."

Shreves couldn't say for certain why Cavanaugh would make allegations against him and Stanford.

"Nobody knows to this day what his true motivation was," he said. "And it caused a lot of pain to my wife and myself, and to Amanda and her family. I'm just glad it's behind us and life goes on."