Former Lincoln Doctor Accused of Sexual Misconduct Faces Discipline

LINCOLN, Neb. (KLKN) – A former Lincoln orthopedic surgeon faces disciplinary action after Attorney General Mike Hilgers announces that he has filed a Petition for Disciplinary Action against Steven Shannon M.D. The petition alleges that “immoral or dishonorable conduct, unprofessional conduct, failure to report a loss of employment and privileges, sexual misconduct, and disruptive behavior” occurred.

The petition says that Shannon was employed at B.H. in Lincoln and worked as a supervising assistant.

According to reports of coworkers, Shannon created a hostile work environmental for nursing staff occurring in 2024 and 2025. During the investigation Shannon was suspended and later terminated.

According to the petition, Shannon engaged in inappropriate sexual comments and conduct towards staff members. He engaged in a sexual relationship with a staff member who worked for him.

Shannon allegedly failed to report termination when he submitted materials through C.H.G., a healthcare staffing company, and failed to report being the subject of an investigation. He reportedly purported a signature of a B.H. official and B.H. confirmed the letter was “not created, signed, or provided by that official.”

A hearing is scheduled with the Department of Public Health on Aug. 5 involving the matter.