According to an article in the Cape Charles Mirror, Cape Charles Assistant Manager Bob Panek was asked to resign. According to the story, Panek who was acting as town manager following the resignation of Bret Manuel, negotiated a deal with the Bay Creek Fitness Club that would allow town employees to join the club for $90 per month. However the town would have to pay the club $5000 up front to activate the deal.
According to sources Panek presented the proposal at the May town meeting but no motion was made to approve it thereby killing it. According to town sources, Panek went back to the fitness club and gave them $5000 anyway, presumably so he could join himself. The Mayor and council members brought Panek in for an explanation.
According to the report, Panek would have been terminated had he not resigned. He apparently tried to give a 30-day notice but that was rejected. His resignation became effective immediately.
Cape Charles is now without a Town Manager or an Assistant. A search to replace Manuel is ongoing.
Source: Cape Charles Mirror