City Manager Loses Court Bid to Stall Suit by Yorba Linda

A judge on Friday denied Yorba Linda City Manager Arthur C. Simonian’s request to postpone court proceedings in the city’s lawsuit against him until he learns whether the Internal Revenue Service might investigate his personal finances and take action against him.

Orange County Superior Court Judge H. Warren Siegel said he saw no reason to postpone the city’s lawsuit against Simonian but that the longtime city manager has the right not to answer specific questions during a deposition set for Thursday.

But the judge also ordered Simonian to give a reason within 15 days why he would not file detailed answers signed under oath to the city’s charges against him.

Simonian’s attorney, Craig Scott, said his client submitted a general denial because detailed answers might be self-incriminating in an IRS probe.

Earlier this month, Siegel also denied a request to postpone the deposition for 60 days because Simonian said he suffers from stress and high blood pressure. Siegel ordered that the deposition take place with a medical practitioner present. Scott said Friday that next week’s proceedings will be at his Newport Beach office.

A bitterly divided City Council fired Simonian on Sept. 7 amid allegations of financial malfeasance and asked the IRS, state tax regulators and Orange County prosecutors to investigate him. The city also filed a lawsuit seeking reimbursement of $300,000 that officials said Simonian paid himself in unauthorized bonuses.

Simonian, who has been city manager since 1972, sued Yorba Linda, seeking his job back. A judge ruled Nov. 23 that he should be reinstated, saying the city did not follow the proper procedure in acting against him. Simonian is now on paid administrative leave but faces another council vote Tuesday on whether to fire him.