Responds with the obvious: "If I were inclined to engage in sexual harassment, this is unlikely to be the first time in my entire 30-year career that it comes to light."
Sounds like he may have propositioned her. And she said nope. If people are human, that scenario will happen quite often.
This might have been the end of the story.
But lest we forget. Money is involved. The settlement was a simple financial calculation on both sides of the case.
The world we live in ends the presumption of innocence. The winners chase ambulances.