That wasn't his password, it was the network password. He doesn't own the network. The city does. His supervisors are agents of the city, acting on the cities behalf. They requested the password to the *cities* systems, on behalf of the city. He refused said password. It was never his to refuse. He was compelled by law to give that password up. He broke the law. Now he's sorry. At least he has his principles right?

Wow, this sounds suspiciously like a pyramid scheme. You oversell at the top so the ones at the bottom receive devalued returns. When did Amway take over the financial market?