Claim Filed Against District : Fired College Chancellor Intends to Sue

James Kellerman, who was fired as chancellor of the North Orange County Community College District last month amid allegations of financial misconduct, has filed a claim against the district.

Ronald Parker, Kellerman’s attorney, said the claim is a precursor to a civil lawsuit with which he said they may seek damages “in the seven figures.” The district has 45 days to respond to the claim before state law allows a claimant to seek damages in court.

“He has certainly suffered harm to his reputation locally and nationally (because of publicity over the firing),” Parker said of Kellerman. “Career-threatening allegations have been made against him, many of which have been half-truths or outright lies,” the attorney said.

District officials refused to release a copy of the claim Friday. However, district spokeswoman Donna Hatchett confirmed that the claim had been received.

Kellerman, 54, was removed from his $97,000-a-year job on April 12 and fired in a 5-2 board vote six weeks later. The action stems from an internal investigation that board members said substantiated allegations that Kellerman “borrowed” money from a district account without authorization and pressured district employees for personal loans. In addition, the district was billed for a $2,000 computer that was installed in Kellerman’s home.

An official for the Orange County district attorney’s office has confirmed that they are examining the allegations against Kellerman but said the investigation remains preliminary.

Kellerman, meanwhile, has maintained that he is innocent of the charges. He also complained that he was not given an opportunity to defend himself before he was suspended and subsequently fired.

Parker said damages sought in an eventual suit, which would be filed in Orange County Superior Court, would include payment for the balance of his job contract, which was to expire in June, 1992, plus compensation for lost health-and-retirement benefits.