The finding of misconduct was reached after an investigation by King’s Counsel Maria Dew in 2024 into a complaint lodged by deputy chief executive at the time Leanne Mash.
Allegations relating to Ms Graham swearing often and making ‘‘inappropriate comments’’ to the complainant about staff and elected representatives were substantiated in part, the council said.
A decision-making committee for the council did not make a finding of serious misconduct, but agreed misconduct had occurred.
Ms Graham was issued with a formal warning.
The committee did not require her to apologise to Ms Mash, but it accepted her offer to do so and an apology was made, the council said.
The Otago Daily Times first reported in May 2024 a senior manager at the council was at the centre of a conduct investigation.
It later reported Ms Mash was behind a bullying complaint against her boss, Ms Graham.
It remained unclear yesterday whether the council considered bullying had occurred.
In November 2024, Ms Graham conceded her language had sometimes been unprofessional.
The council has not previously disclosed the findings of the investigation into Ms Graham’s behaviour.
Public confirmation of the committee’s finding of misconduct came after the ODT complained to the ombudsman about requests for information being denied.
The ombudsman ruled the council was justified in declining to provide the information, but said it should release a summary to satisfy public interest.
The council then provided the ODT a summary, which said Ms Dew considered relevant documents, correspondence and comprehensive interview statements.
The committee was set up during the 2022-25 term and it accepted Ms Dew’s findings. It comprised then-mayor the late Jules Radich, councillor at the time Bill Acklin and Cr Marie Laufiso.
Ms Graham was required to undertake ‘‘leadership and/or communication coaching or mentoring to better assist her in performing her responsibilities’’ and engage in any ‘‘facilitation process as may be indicated’’.
In an email to staff last week, Ms Graham thanked teams for their efforts in managing the effects of heavy rain.
She also pointed to likely upcoming news coverage that would be ‘‘not nearly as positive’’ — the council was required to release a summary regarding the investigation by Ms Dew, she said.
‘‘It was all worked through and resolved at the time, I apologised, made some changes in my behaviour and got on with things.’’
The ODT questioned the way the council summarised Ms Mash’s allegations and asked if Ms Graham’s behaviour was being minimised.
A council spokesman said the summary provided ‘‘uses the wording expressly recommended by the Office of the Ombudsman for release’’.
The summary noted the lack of a finding of serious misconduct and the council ‘‘therefore complied with its policies when it opted to issue a formal warning to the chief executive’’.
Ms Mash was made redundant last year.
