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$3.9M awarded in 2018 university firing
PASSHE, university, president, former provost found liable on each of 11 counts against them
Local news
Aug 22, 2024
M.J. MAHON Courtesy of the Press Enterprise
HARRISBURG — It took a jury just over six hours to decide Bloomsburg University and the State System of Higher Education had wrongfully targeted and fired a business school dean in 2018 after he helped a secretary report allegations of improper conduct by BU’s president.
The panel of four women and three men awarded Jeffrey Krug more than $3.9 million in total damages just after noon on Tuesday.
The defendants — Commonwealth University President Bashar Hanna, former Provost James Krause, Commonwealth University-Bloomsburg and the State System of Higher Education — were found liable on each of the 11 counts Krug’s attorneys had filed in his lawsuit.
Fired in 2018
The jury had to determine if those defendants had violated Krug’s rights as a whistleblower when Krause decided to fire him in March 2018 following an independent investigation commissioned by the State System.
Throughout the seven-day trial, lawyers for the defense maintained the school, then known as Bloomsburg University, had fired Krug for disclosing confidential information about the complaints of Hanna’s secretary — who was also a student –to his family and donors to the university.
Testimony and court evidence showed he told at least four people about the alleged harassment.
But Krug says after he helped Hanna’s secretary make the report, he endured months of retaliation that included someone rummaging through his office, reading his and his staff’s emails and spreading rumors he and his own secretary, Judy Rostucher, were having an affair.
Krug also said his firing came after a disciplinary conference with what his attorneys called a “predetermined” outcome. BU and State System officials had worked together to draft a termination letter and subsequent announcements about his departure before the conference, Krug’s attorneys noted.
Attorneys for the defense have said the letters were preparatory measures, and did not indicate a decision was made prior to March 21, 2018, the day Krug was fired.
A State System investigation eventually cleared Hanna of sexual harassment allegations, but called his behavior toward his secretary, which included a hug and kiss of her temple, “inappropriate.”
Despite Hanna’s testimony last week he was “walled off” from two investigations — his own and Krug’s — the jury found he still played a role in firing Krug unfairly.
The jury awarded Krug $450,000 from Hanna personally, finding Hanna had acted with “malice or reckless indifference” to Krug’s rights.
Jury decided
liability, damages
The jury also believed Krug’s arguments he was targeted by not just school officials, but also by State System officials who instructed Hanna to appoint Krause — whom Krug did not get along with or trust — to determine Krug’s fate as both a dean and a tenured faculty member.
The jury deliberated for just over three hours Monday, and resumed on Tuesday for another three hours before it came to its unanimous decision.
Overwhelmed Krug hugs family
Krug hugged his sister, father and other relatives who attended the entire trial and heard university officials testify he had become paranoid in his last months at work.
They also heard him detail becoming “almost suicidal” and needing medications to control anxiety, migraines and chest pains in the years since he was fired.
Krug has been living in a family home in State College and now teaches one class as an adjunct professor at Penn State.
Krug said he was too emotional to process the ruling Tuesday afternoon, so his attorney, Bloomsburg’s Patrick O’Connell, spoke on his behalf.
“I am just so happy for him. This has been a very arduous journey,” O’Connell said.
The attorney was hired by Krug in May 2018, two months after the dean was escorted out of Sutliff Hall with all his belongings in two cardboard boxes.
“I am happy we exposed the corruption at Bloomsburg University, at Carver Hall and at PASSHE,” O’Connell said. “I’m especially proud of the award of punitive damages; to show them and keep others in the future from violating the rights of people who speak out.”
O’Connell said he was not surprised the jury agreed with every count in his argument.
“The evidence showed that PASSHE protected Hanna and PASSHE assisted in the ‘predetermined’ conference,'” he said. “PASSHE wanted to help BU promote its brand.”
Higher ed speaks through statements
On the defense side, reaction to the verdict was muted.
Hanna, Krause and the defense attorneys listened without reaction and departed the courtroom quickly. None offered any comment.
Lead defense attorney Jonathan Blake referred questions to the state Attorney General’s office.
A prepared statement from Commonwealth University spokeswoman Nikki Keller issued after the verdict read, “We are reviewing the court’s decision with legal counsel. Commonwealth University is and remains a welcoming and inclusive environment for all students, faculty and staff.”
State System spokesman Kevin Hensil wrote, “We are disappointed with the court’s decision, and we are reviewing all options.”
The system did not respond to a question about its confidence in Hanna following the result of the trial.
——
M.J. Mahon covers Bloomsburg and can be reached at 570-218-7536 or [email protected].
$3.9M awarded in 2018 university firing
PASSHE, university, president, former provost found liable on each of 11 counts against them
Local news
Aug 22, 2024
M.J. MAHON Courtesy of the Press Enterprise
HARRISBURG — It took a jury just over six hours to decide Bloomsburg University and the State System of Higher Education had wrongfully targeted and fired a business school dean in 2018 after he helped a secretary report allegations of improper conduct by BU’s president.
The panel of four women and three men awarded Jeffrey Krug more than $3.9 million in total damages just after noon on Tuesday.
The defendants — Commonwealth University President Bashar Hanna, former Provost James Krause, Commonwealth University-Bloomsburg and the State System of Higher Education — were found liable on each of the 11 counts Krug’s attorneys had filed in his lawsuit.
Fired in 2018
The jury had to determine if those defendants had violated Krug’s rights as a whistleblower when Krause decided to fire him in March 2018 following an independent investigation commissioned by the State System.
Throughout the seven-day trial, lawyers for the defense maintained the school, then known as Bloomsburg University, had fired Krug for disclosing confidential information about the complaints of Hanna’s secretary — who was also a student –to his family and donors to the university.
Testimony and court evidence showed he told at least four people about the alleged harassment.
But Krug says after he helped Hanna’s secretary make the report, he endured months of retaliation that included someone rummaging through his office, reading his and his staff’s emails and spreading rumors he and his own secretary, Judy Rostucher, were having an affair.
Krug also said his firing came after a disciplinary conference with what his attorneys called a “predetermined” outcome. BU and State System officials had worked together to draft a termination letter and subsequent announcements about his departure before the conference, Krug’s attorneys noted.
Attorneys for the defense have said the letters were preparatory measures, and did not indicate a decision was made prior to March 21, 2018, the day Krug was fired.
A State System investigation eventually cleared Hanna of sexual harassment allegations, but called his behavior toward his secretary, which included a hug and kiss of her temple, “inappropriate.”
Despite Hanna’s testimony last week he was “walled off” from two investigations — his own and Krug’s — the jury found he still played a role in firing Krug unfairly.
The jury awarded Krug $450,000 from Hanna personally, finding Hanna had acted with “malice or reckless indifference” to Krug’s rights.
Jury decided
liability, damages
The jury also believed Krug’s arguments he was targeted by not just school officials, but also by State System officials who instructed Hanna to appoint Krause — whom Krug did not get along with or trust — to determine Krug’s fate as both a dean and a tenured faculty member.
The jury deliberated for just over three hours Monday, and resumed on Tuesday for another three hours before it came to its unanimous decision.
Overwhelmed Krug hugs family
Krug hugged his sister, father and other relatives who attended the entire trial and heard university officials testify he had become paranoid in his last months at work.
They also heard him detail becoming “almost suicidal” and needing medications to control anxiety, migraines and chest pains in the years since he was fired.
Krug has been living in a family home in State College and now teaches one class as an adjunct professor at Penn State.
Krug said he was too emotional to process the ruling Tuesday afternoon, so his attorney, Bloomsburg’s Patrick O’Connell, spoke on his behalf.
“I am just so happy for him. This has been a very arduous journey,” O’Connell said.
The attorney was hired by Krug in May 2018, two months after the dean was escorted out of Sutliff Hall with all his belongings in two cardboard boxes.
“I am happy we exposed the corruption at Bloomsburg University, at Carver Hall and at PASSHE,” O’Connell said. “I’m especially proud of the award of punitive damages; to show them and keep others in the future from violating the rights of people who speak out.”
O’Connell said he was not surprised the jury agreed with every count in his argument.
“The evidence showed that PASSHE protected Hanna and PASSHE assisted in the ‘predetermined’ conference,'” he said. “PASSHE wanted to help BU promote its brand.”
Higher ed speaks through statements
On the defense side, reaction to the verdict was muted.
Hanna, Krause and the defense attorneys listened without reaction and departed the courtroom quickly. None offered any comment.
Lead defense attorney Jonathan Blake referred questions to the state Attorney General’s office.
A prepared statement from Commonwealth University spokeswoman Nikki Keller issued after the verdict read, “We are reviewing the court’s decision with legal counsel. Commonwealth University is and remains a welcoming and inclusive environment for all students, faculty and staff.”
State System spokesman Kevin Hensil wrote, “We are disappointed with the court’s decision, and we are reviewing all options.”
The system did not respond to a question about its confidence in Hanna following the result of the trial.
——
M.J. Mahon covers Bloomsburg and can be reached at 570-218-7536 or [email protected].
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