There's no doubt the Asst. Chief here was way in the wrong. And, if I were the chief, I would have those complaint forms available and order the Asst. Chief apologize. The Asst. Chief is open to liability and the city possibly possibly exposed to liability by failing to provide training and/or take corrective action.
This does provide a good lesson for anyone engaged in lawful conduct that some officer might not like -- have a tape recorder handy and turn it on (assuming this doesn't violate any state eavesdropping statute).