SAN JUAN CAPISTRANO : Slander Suit Filed by City Manager

Firing back at one of his harshest critics, City Manager Stephen B. Julian has filed a slander suit against local attorney Carlos M. Negrete, who has accused Julian of misusing public funds.

The lawsuit, which was lodged last Friday in Orange County Superior Court, seeks $50,000 in damages and an unspecified amount in punitive damages for statements Negrete made in public about Julian’s conduct.

“We have filed a cross-complaint against Mr. Negrete raising slander claims,” said Henry David, Julian’s attorney, on Monday. “We are contending Mr. Negrete slandered (Julian) by making allegations about alleged financial misconduct which are untrue. . . . We look forward to proving it in court.”

Negrete, a leader of the Committee to Restore Integrity to San Juan Capistrano, first sued Julian and six current and former city officials in March alleging misuse of public funds, including city loans made to Julian for a personal home.

Negrete called the suit a “shameless” attempt to scare him. “It’s an attempt to intimidate me into not exercising my right of free speech,” he said.

He added that he had done his “taxpayer’s duty” in reporting Julian’s alleged misconduct.

Negrete made public statements about the lawsuit and other allegations about Julian during press conferences.

“They came at public events called by Mr. Negrete,” David said. “I hate to call them public meetings; that gives them to much credence.”