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Plaintiff Alleges Former Employer Stanford Federal Credit Union Retaliated Against Whistleblower

NORTHERN CALIFORNIA RECORD

Monday, May 5, 2025

Plaintiff Alleges Former Employer Stanford Federal Credit Union Retaliated Against Whistleblower

State Court
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Superior Court of California - Santa Clara County | Official Website

Celeste Fehely, a former employee of a well-known financial institution, has taken legal action against her previous employer, alleging wrongful termination and retaliation. On April 22, 2025, Fehely filed a complaint in the Superior Court of California, County of Santa Clara, accusing Stanford Federal Credit Union (SFCU) of multiple violations including retaliation under the Fair Employment and Housing Act (FEHA), violation of labor codes, and wrongful termination in violation of public policy.

Fehely's complaint details her employment history with SFCU, where she was hired in May 2022 as Vice President of Retail and Member Experience. Her performance was consistently rated positively, evidenced by salary increases and bonuses. However, the situation took a turn when two female employees reported sexual harassment by a Senior Branch Manager to Fehely on March 22, 2024. Acting promptly on these allegations, Fehely reported the matter to her superiors at SFCU, including Lecia Roundtree, the Senior Vice President & Chief People Officer.

According to the complaint, Roundtree displayed skepticism towards the victims' claims and questioned their timing. This led Fehely to express concerns about Roundtree's impartiality due to her personal connections within the organization. Despite Fehely's advice for an external investigation into the harassment claims, it appears that internal biases prevailed.

The lawsuit further alleges that after these events unfolded, SFCU retaliated against Fehely. She was subjected to an unexpected "development plan" shortly after receiving positive feedback and bonuses. Moreover, an investigation led by Roundtree accused Fehely of disclosing confidential information during a dinner with colleagues—an accusation that witnesses present at the dinner refuted.

Fehely's termination came on June 4 while she was on administrative leave. The termination letter cited alleged breaches of business ethics related to confidentiality—a claim that Fehely disputes as false and pretextual for retaliation against her reporting misconduct within SFCU.

In her lawsuit, Fehely seeks comprehensive relief from the court including economic damages for lost wages and benefits; non-economic damages for emotional distress; exemplary damages due to willful misconduct by SFCU; statutory penalties; attorneys’ fees; costs associated with litigation; as well as injunctive relief to prevent future occurrences.

Representing Celeste Fehely are attorneys Aaron P. Minnis and Sonya L. Smallets from Minnis & Smallets LLP based in San Francisco. The case is presided over by Judge [Name not provided] under Case ID: 25CV464154.

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