Congressman's $121,000 Payoff to Alleged Mistress

"And guess what? The only person that matters is guess who? Me. You understand that. That is how life really is. That is how it works," Mahoney says on the call.

"You're fired," Mahoney tells her. "Do you hear me? Don't tell me whether it's correct or not."

Allen says, "Tell me why else I'm fired."

"There is no why else," Mahoney responds.

Later, Allen says, "You're firing me for other reasons. You don't, you're not man enough to say it. So why don't you say it."

The portion of the tape provided to ABC News cuts off when the two begin a profanity-laced argument.

The Terms of the Settlement

After Allen was fired, the 50-year old single mother of two hired a lawyer, Gregory Coleman, and threatened to sue the Congressman for more than a million dollars.

Coleman, of the West Palm Beach firm Burman Critton Luttier & Coleman, also served as an attorney for former Congressman Foley. Calls to Coleman, and the lawyer for Mahoney, Gary Issacs, were not returned.

In a February letter to Mahoney, Coleman alleged sexual harassment, intimidation, humiliation and charged that the Congressman's behavior masked a "dark and depraved personality," according to people who have seen the letter.

Following a day-long mediation session in March, Mahoney agreed to a settlement, staffers said.

Mahoney reportedly insisted that Allen destroy all audio and video recordings of a sexual nature, they said.

Allen is also prohibited from working for Mahoney's opponent or any political candidate this election year, according to people familiar with the agreement.

In addition to the $61,000 payment, Mahoney agreed to pay $60,000 in legal fees to Allen's lawyer, they said.

The Former Mistress' Promise of a New Job?

The agreement between the Congressman and Allen, reportedly promises her a job for two years at Fletcher Rowley Chao Riddle or another company, beginning January 2009. Fletcher Rowley, a Nashville-based political consulting firm that offers "crisis management and creative strategy," lists Mahoney's 2006 election victory as one of its "success stories," according to its website.

The firm's CEO, Bill Fletcher, strongly denied any knowledge of the settlement or any promise of employment to Allen. "I know nothing of the like," he told ABC News. "There is no such agreement. There is no arrangement," Fletcher said.

According to Fletcher, all funds paid to his company by the Mahoney for Congress campaign were properly accounted for. "I've made no payments to any third party," he said.

According to people briefed on the settlement Allen was promised at least $50,000 a year or other employment if the Fletcher Rowley job fell through.

Friends of Allen say she was required to sign a back-dated letter of resignation to the campaign chairman, Charles Halloran, describing her departure as "amicable" and "nothing to do with you, the Congressman, the campaign, or any conduct by anyone associated with your congressional office of campaign."

A Mahoney campaign spokesman said, "Patricia Allen resigned of her own accord, in good standing."

The spokesman said there "was no sexual harassment suit filed against Congressman Mahoney."

Allen, reached at her home in Hobe Sound, said she was "unable" to comment publicly.

Her friends say her settlement agreement with Mahoney prohibits her from making "negative comments" about him.

This post has been updated.

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