BANGOR -Explosive testimony on the second day of a lawsuit trial in federal court preceded a settlement offer Wednesday morning. The offer was accepted, ending a case that pitted a former Webber Oil Co. manager against the company’s well-known leader, Larry Mahaney.

Mahaney took the stand Wednesday and admitted he was hurt by Hubert “Hubie” Saunders’ remarks at an October 1997 meeting. Saunders’ comments were a slam against his age and questioned his capability to run the corporation, according to Mahaney.

Mahaney’s response was to call for a break in the senior-management meeting on Oct. 21, 1997, so he could confront Saunders. He took Saunders into another room, then turned around. “I said, ‘Listen, you f—-r, don’t you ever insult me again,'” Mahaney told the jury.

The comment came during Mahaney’s second hour of testimony. Soon afterward, the judge called a morning recess and the jury never came back. A settlement offer was agreed upon, ending a civil trial that began on Monday. Terms were not disclosed. The one thing that is known is that Saunders will not return to work for Webber Oil.

In a lawsuit filed 19 months ago, Saunders accused Mahaney and Webber Energy Fuels of firing him soon after he informed the CEO he had prostate cancer. He charged violations of the Americans With Disabilities Act, discrimination and fraud. Webber Oil, doing business as Webber Energy Fuels, and Mahaney denied all the charges.

Saunders sought close to $100,000 in lost salary and benefits. He also sought punitive damages which could amount to much more. A successful ADA claim, one of three claims to go forward, has a cap of $300,000.

D. Brock Hornby, chief U.S. District Judge for Maine, presided at the brief trial. A jury of five women and three men heard testimony.

On the stand, Mahaney focused on Saunders’ comment, which he perceived as an insult. It was made at a senior management meeting. Saunders was fired the next day.

In earlier testimony, Saunders said he did not think the remark was inappropriate but he apologized anyway. His version of the comment differed from Mahaney’s.

Saunders testified Monday that, while advocating for a certain person to be hired, he said, “It’s more difficult to manage people now than it was 30 years ago.”

Mahaney said the comment was more insulting and came after he told Saunders that managers needed more than people skills to be successful.

“Hubie said, ‘Maybe that was true 30 years ago but you don’t know what is going on in the workplace today,'” Mahaney told the jury.

Mahaney told the jurors that Saunders was given an ultimatum. “Say that again and you’re out of here,'” Mahaney told his employee.

A middle-aged, balding man, Saunders sat next to his attorney and looked down frequently as Mahaney spoke. Saunders’ wife, Maureen, sat behind him.

The courtroom was silent as Mahaney explained his response to Saunders’ comment. His attorney, Peter DeTroy of Portland, interjected questions but mostly listened as Mahaney explained his reaction.

Speaking rapidly and directly to the jury, Mahaney said he told Saunders that as the company leader, he has had to deal with many personnel crises. “There have been infidelities, embezzlement, one of my top people had a homosexual experience, drugs. And you tell me I don’t know what’s going on in the workplace today?” Mahaney recalled telling Saunders.

Saunders apologized for his remarks and the pair shook hands before returning to the meeting, Mahaney said.

After Saunders left, Mahaney said he polled his other senior managers. “To a man, they said ‘Larry, that’s the most insulting thing we have ever heard. It’s unprecedented.’ To a man they said he’s gotta go, that we can’t let him poison the workplace,” Mahaney said.

Mahaney also testified about his personal background. The oil executive spoke of being born in 1930 in depression-era Aroostook County, of learning hard work and discipline as he plied potato fields in Fort Fairfield. “I remember shining shoes for 10 cents a shoe, setting bowling pins for 10 cents a string and caddying nine holes of golf for 25 cents,” Mahaney said.

Mahaney attended the University of Maine, graduating with a bachelor’s degree in economics. He later earned a master’s degree in education administration after returning from two years of military service. He was a coach and teacher at Brewer High School for several years. He married Jackie Webber and became president of Webber Oil in 1969.

Known for his large donations to area schools, hospitals, and the University of Maine, and most recently the Maine Discovery Museum in Bangor, Mahaney and one of his sons both had cancer and got successful treatment for it. Mahaney denied he fired Saunders because of cancer.

Saunders recovered from prostate surgery and now works for a smaller fuel company.