Mr. Maddox said the grand jury's implication that he did something wrong when he retired at the end of 1996 is a "bare-faced lie."

The former fire chief was targeted in the 124-page Richmond County special grand jury report released Tuesday, which primarily focuses on apparent improprieties and extravagant spending during the tenure of Mr. Maddox's successor, Ronnie Few.

Mr. Maddox was one of about 50 government employees who took advantage of an enhanced retirement plan designed to trim the consolidated government's payroll.

He was also one of nine department heads who received a $25,000 cash bonus from the city's general fund under the early-retirement plan.

Employees at least 45 years old with 15 years in city or county government were given credit for 10 additional years, and department heads with 20 years service received the cash payment. Among them were interim City Administrators Linda Beazley and Charles Dillard; Purchasing Director Ann Barker; Recreation Department Director Tommy Boyles; and Public Works Director Millard Gooding.

Mr. Maddox had 44 years and six months in government service, and based on the formula for retirement pay under the city's 1949 pension plan, he was to almost 97 percent of his regular salary at retirement anyway, he said.

"The 10 years' credit didn't help me that much," he said. "I already had 44 years."

City Attorney Jim Wall said the retirement incentives were not illegal or unethical.

"The enhanced retirement package was drafted by the then-personnel director and the then-finance chairman with the assistance of an attorney in Atlanta specializing in pension plans with input from me as county attorney," he said.

Mr. Maddox also took issue with the grand jury's assertion that the "excessive benefits compromised the trust fund itself."

"The 1949 pension plan fund is the most fully funded pension fund in the state of Georgia," he said.

"At the present time, that fund is over $18 million over funded. We had $68 million in it about a month ago when I attended a pension meeting."

Mr. Maddox was the chief of the old city of Augusta fire department and interim chief of the consolidated government in 1996. Chief Few was hired in 1997.

Reach Sylvia Cooper at (706) 823-3228 or sylviaco@augustachronicle.com.