Embattled Land Bank managing director Helena Dolny has resigned her position and will leave the bank at the end of this month, SABC Radio reported on Friday.
Dolny said she regretted leaving the bank, but defended the raising of her salary - something it was previously alleged she did without the bank board's approval.
Dolny said a parastatal banking institution with a mandate that required diverse and high-quality skills to deal with the associated increase in risk should be appropriately staffed and paid.
She said it had been important to retain valuable skills at the bank as well as to attract new blood from the financial services market.
Earlier this year, the government instituted a commission to investigate Dolny's alleged mismanagement of the bank.
Among the commission's findings were that she acted outside her mandate as the bank's managing director when approving salary increases for herself and the bank's other board members.
The commission was headed by Michael Katz.
The chair of the Land Bank Board, Sam Mkhabela, said that the bank would discontinue disciplinary charges against Dolny.
Mkhabela confirmed Dolny's resignation from the bank, saying it was the result of an agreement reached between her and the parastatal.
He said this was an amicable resolution of the matter and there had been no admission of wrongdoing or liability from either party. - Sapa