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GREENSBORO — Officials at the financially troubled YWCA Greensboro deny they wrongfully discharged former Executive Director Adrienne Y. Witherspoon or that they misused state grant money as she charged in a lawsuit filed in June.

“Nothing prevents Ms. Witherspoon from making these allegations, but we don’t believe the allegations have any merit,” said William McMahon, one of two attorneys representing the defendants. “We are aggressively defending the case. The true facts will come out in the course of the lawsuit.”

Witherspoon, who filed her suit in Guilford Superior Court, seeks more than $10,000 in damages.

The suit also alleges defamation, civil conspiracy and infliction of emotional distress.

The defendants — the YWCA, its board of directors, President Judi Rossabi, past President Lottayne Widemon and former Executive Director Carolyn Flowers — deny those claims as well.

In an answer filed Tuesday, the defendants say “all personnel actions involving her were undertaken in good faith and for legitimate business reasons which were not discriminatory, retaliatory or otherwise wrongful.”

The lawsuit says Witherspoon discovered the association owed the Guilford County Schools nearly $11,000 for transportation for an after-school program the YWCA operated. The money came from a three-year, $500,000 juvenile justice and delinquency prevention grant.

The lawsuit charges that YWCA officials told the state the school system had been paid when “in truth and in fact the funds were used for other purposes.”

Witherspoon’s suit says that when she informed the board about the money, she was told to disregard the matter and find funds to pay the school system elsewhere.

The lawsuit claims that “the defendants then retaliated (against) her by orchestrating various grounds to terminate Ms. Witherspoon’s employment ... because she refused to go along with the unlawful use of taxpayers’ money.”

The defendants’ answer denies that any funds were misused. It says the board asked Witherspoon to either raise funds to pay the bill or ask the school system to forgive it.

The defendants say they knew the YWCA was operating with “a temporary budget deficit” because of the timing of certain grant receipts. But the court filing says that the shortfall got worse when Witherspoon decided in December 2007 to pay employees twice a month rather than once a month. The document says her action increased payroll processing costs.

Without the board’s approval, the defendants say, Witherspoon drew $25,000 from the YWCA’s endowment, which was maintained by the Community Foundation of Greater Greensboro.

Witherspoon served as executive director from November 2007 until Oct. 21, 2008. Efforts to reach her Wednesday were unsuccessful.

Contact Donald W. Patterson at 373-7027 or don.patterson@news-record.com