Gosh, I'm so sorry this happened to you. That manager sounds like a freaking wacko, funny how people like that get into a position of power and let it go to their head. So she gave you her passwords so you could do HER work, sounds like to me

I wonder if the higher-ups will ever wake up to the fact that no one can work with that woman for very long, hmmm.....
People are so messed up! This will probably turn out to be a blessing in disguise, there is something better out there for you