TUPELO - An agreement has been reached in the lawsuit of former Tupelo Chief Financial Officer Daphne Holcombe against the municipality and its mayor.
But, the Tupelo City Council must vote to approve the settlement before the case is dismissed. Details about the proposed settlement have not been disclosed.
The deal was reached during mediation Thursday in the U.S. District Court of Aberdeen before U.S. Magistrate Judge Jerry A. Davis.
The city's attorney, Pope Mallette, and Holcombe's attorney, Jim Waide, confirmed the pending agreement.
Holcombe filed her suit against the city in December. She claimed Mayor Ed Neelly violated her First Amendment rights and sexually discriminated against her by forcing her to resign after she objected to various financial practices. When she refused to step down, Neelly fired her.
Holcombe later amended her lawsuit to name Neelly personally as a defendant, in addition to the city.
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