TORONTO, Sept 5 (Reuters) - Royal Bank of Canada's ( RY )

ousted CFO Nadine Ahn denied all allegations in the

lender's counterclaim in response to her lawsuit for wrongful

dismissal, according to a defense filing on Thursday.

RBC filed a countersuit against Ahn in August, detailing

findings of its internal investigation into her alleged intimate

relationship with a subordinate. She had sued RBC for nearly

C$50 million ($37.03 million).

RBC's counterclaim offered details about the alleged

relationship, which the bank said started in 2013 or earlier.

In her counter filed with the Ontario Superior Court of

Justice on Thursday, Ahn said she did not breach any of her

duties owed to RBC nor violated its code of conduct.

"There is no policy against workplace friendships, and

that's all this was," said her counsel, Mark Fletcher. "Their

communications have been selectively quoted by the bank to try

to embarrass, intimidate and maliciously manufacture a case

against her."

Reuters obtained a copy of the filing from Ahn's lawyers. It

was unavailable on the court's database on Thursday afternoon.

RBC declined comment on Ahn's response.

The subordinate has also sued the bank for about C$20

million for wrongful termination. In its counter, RBC alleged

that his promotion was improperly influenced.

In her filing, Ahn said she had been in the running for CEO

before she was terminated over the alleged relationship.

($1 = 1.3503 Canadian dollars)