A Pentagon inquiry has faulted the Army's top lawyer for behaving inappropriately by telling off-color jokes, touching a female employee and borrowing money from subordinates, but investigators found no evidence to substantiate allegations of sexual harassment or racial discrimination. In a 20-page report, the Defense Department's inspector general called the actions by William T. Coleman III, the Army's general counsel, "inconsistent with Mr. Coleman's responsibilities as a senior Army leader." The report said Coleman's behavior had offended others on his staff, and it recommended "appropriate corrective action" against him. Coleman, 50, issued a brief statement taking "strong exception" to the report's criticisms but welcoming the end of the case. His attorney, Arthur B. Culvahouse, said Coleman, who has served 3 1/2 years as general counsel, has no plans to step down and "no one ever suggested it."