The allegations stem from the firing of a detective earlier this year after allegations of having sex with a prostitute and inappropriate relations with a woman who is living in the country illegally.
On Wednesday, Rick Armstrong filed a lawsuit against Chief Dolan and the city.
Armstrong, the former president of the Raleigh Police Protective Association, said he was unfairly targeted by Chief Dolan because of his position with the union - which stands up for officers.
Armstrong also said the woman named Flor Flores was someone he and his wife befriended. He said she started making up stories to appease authorities and to protect her family when she was interrogated by immigrations officials.
"We do know she initially denied engaging in any sexual activity, which is the truth but at some point, I suspect after several hours, she started saying I did have sexual encounters," Armstrong said. "By the end of the interview, Ms. Flores said that every time I came over she and I engaged in some sort of sexual activity. That is not true, and I've never done anything inappropriate with Ms. Flores.""We've had to go through a lot and I know that he didn't do anything wrong. Otherwise, I wouldn't be standing here," Armstrong's wife Nancy Armstrong said.
ABC11 reached out to the Raleigh Police Department for a response.
"It would be inappropriate for me to comment on personnel matters or pending litigation. I am confident the City Attorney's Office will review the filing made today and will take appropriate action," said Chief Dolan in a statement.
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