Regardless if whether or not criminal charges are ever filed, fallout from the Palo Alto Children's Theatre investigation likely will leave tarnished the reputations not only of the suspended employees but also of the theater's nonprofit support group, City Hall and even the police department, community members suggested in interviews last week.

The Palo Alto Police Department has not released any additional information from its investigation since a judge last week unsealed affidavits used to obtain warrants to search the children's theater and the homes of four theater employees suspected of embezzling funds through the use of traveler's checks.

"It's still with the Police Department," Santa Clara County Deputy District Attorney Steve Lowney said Friday. "It's up to them what they're going to do."

But across town, community members said the probe has dragged on so long that whatever the outcome, reputations will be damaged, questions will linger, and substantial expenses will need to be paid.

"If insider rumors are true and the police soon drop the investigation, a lot of questions will still need to be answered," Councilmember Jack Morton said in an e-mail Friday.

For many theater supporters, the central question is why the city didn't ask employees to explain their seemingly sloppy accounting practices before shutting down the theater Jan. 24 and suspending them.

"We need to understand how, in responding to a


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burglary, the city got itself into a position of suspending and silencing staff," Morton said.

The investigation has scarred the suspended employees, one of whom died in February of stomach cancer, said Diane De Seve, an attorney representing theater director Pat Briggs.

Briggs will have to move on with a reputation that has been "tarnished forever," De Seve said. "There will always be people out there that think she did something wrong. That's going to be hard to overcome," she said.

Despite that, Briggs would still want to return to her job at the children's theater if her name is cleared, she added. "That's her life and her love. She hopes to return to her job soon," De Seve said.

Meanwhile the investigation not only has damaged the credibility of a police department that critics view as overzealous, but also is running up a hefty bill that includes substantial overtime.

Police Chief Lynne Johnson said in a February statement that officers were working "tirelessly through their days off and on weekends to complete a thorough and objective case as soon as possible."

Johnson did not return several calls or e-mails requesting comment last week.

A separate administrative probe called by City Manager Frank Benest into whether city policies were followed is being conducted by outside investigators David Ruben and Douglas Freifeld under standing contracts, said Assistant City Attorney Don Larkin. He did not know late Friday how much the city had been billed to date.

Last year's investigation into former Assistant City Manager Emily Harrison's hostile treatment of her co-workers cost $23,442, City Attorney Gary Baum said last year.

On Friday, board members of the nonprofit Friends of the Children's Theatre said they fear the investigation, which touched upon their costume sales and theater contracts, may cut into support for their group and similar groups in the coming year.

"The investigation and media attention cast an unwarranted shadow on the activities of the dedicated and attentive Friends of the Children's Theatre board," spokesman Rick Saal said. "Rather than put themselves in a similar situation, Palo Alto residents may withhold volunteering and otherwise supporting such organizations."

E-mail Kristina Peterson at kpeterson@dailynewsgroup.com.