You can sue but you should probably consult with and retain an employment lawyer to make sure you follow the proper procedure to help you win.
Not legal advice / No lawyer/client relationship.
Sounds like a horrible situation, but I cannot piece together all the facts. I suggest you speak to an experienced employment attorney. Most of us will provide a free consultation.
This answer is provided for informational purposes only and should not be relied on as legal advice. You should be aware that no attorney-client relationship is established through this answer and none will be established without a personal consultation and the signing of an engagement agreement.
Your matter involves a great deal of factual detail, which is common in many of these cases. Your best option is to consult a local employment attorney. Once you explain all of the details, the attorney can explain the claims you may assert against your former employer. Good luck.