After nearly a year of investigations, the long-awaited workplace investigation into former Martinsville City Manager Aretha Ferrell-Benavides is taking shape.

Martinsville Mayor LC Jones and former City Manager Aretha Ferrell-Benavides have filed lawsuits against a city council member, the city’s law firm and, in Ferrell-Benavides’ case, the city itself, marking the latest chapter in a months-long controversy that has divided city leadership.

Martinsville city leaders are weighing tax increases and budget cuts to address a nearly $4 million deficit, as the city also delays the release of a workplace investigation into a former city manager.

Newly released details from a forensic audit of Martinsville’s finances shed light on spending practices under former City Manager Aretha Ferrell-Benavides, including $100,000 transfer from the city’s Economic Development Authority’s budget to the city manager’s salary budget. Multiple city officials tell 10 News this was used for Ferrell-Benavides’ salary increase and travel expenses.

Martinsville City Council on Tuesday voted to release a long-awaited forensic audit examining the city’s finances during the tenure of former City Manager Aretha Ferrell-Benavides.

Tensions escalated in Martinsville’s city government as Mayor L.C. Jones seeks an emergency protective order against City Councilman Aaron Rawls, following a confrontation at last week’s city council meeting.

Controversy continues to mount over the firing of former Martinsville City Manager Aretha Ferrell-Benavides, with council members and legal representatives challenging the decision’s legitimacy.

The investigation focuses on whether there was any criminal misconduct by current or former Martinsville city officials. This follows the dismissal of City Manager Aretha Ferrell-Benavides in August.

Commonwealth’s Attorney Andy Hall said he made the request to avoid any potential conflicts of interest. The appointment follows the firing of City Manager Aretha Ferrell-Benavides last month.

Less than a week after firing the controversial former City Manager Aretha Ferrell-Benavides, the Martinsville City Council voted 3-2 in favor of naming Chief of Police Robert Fincher as Interim City Manager.

In a statement to 10 News, she called the termination “unjustified and retaliatory in nature.”

Martinsville City Council voted to remove controversial City manager Aretha Ferrell-Benavides. Ferrell-Benavides had served on the post since 2023.