Mr Sharma had a formal meeting with Ms Bennett in relation to these issues, the authority said.
On June 13, Ms Bennett visited a tenanted property and indicated to the tenants that she believed the amount they were paying was excessive given the state of the property.
She said when Mr Sharma found out about this he told her to "shut your f****** mouth" in an open area of the office.
Ms Bennett said later that day, under the influence of alcohol, Mr Sharma told her to "show me your nipples".
Mr Sharma said he did not recall making this comment but that it could relate to a standing joke between them.
Ms Bennett agreed that comments of that nature had been made to each other in the past, the authority said.
Later that evening Mr Sharma found Ms Bennett on Facebook once again and told her to "f*** off and don't come back," and "get the f*** out".
Ms Bennett emailed Mr Sharma on June 18 and stated that she would require a termination notice from him, to which he responded that her last working day was June 14, the authority said.
Authority member Eleanor Robinson determined that Ms Bennett was unjustifiably dismissed.
"Having considered the evidence as presented, I find that Ms Bennett did not resign from her employment with REOW, but that she had been dismissed by Mr Sharma.
"I accept that this is a situation in which a social relationship, an employment relationship and alcohol were closely combined; however there remains onus on REOW to behave as a fair and reasonable employer towards Ms Bennett as its employee, and this it failed to do."
Ms Bennett had also claimed she was sexually harassed by Mr Sharma, although this was dismissed by the authority.
Ms Bennett was awarded over $10,000 in lost pay and compensation.
Costs were reserved.
Mr Sharma said he was disappointed and intended to appeal the decision.
"I followed fair procedures, gave her warnings and an opportunity to change positions ... I think I have been fair to her.
"We have known each other for a long long time in the real estate business ... it is a real pity."
Ms Bennett not want to comment.