Gibson Njenje, suspended head of operations of the National Intelligence Agency, has announced his resignation.
In a joint statement with Intelligence Services Minister Ronnie Kasrils issued on Sunday, Njenje said he had informed Kasrils of his resignation as head of operations as well as from the agency itself.
Kasrils is lifting Njenje's suspension and Njenje will withdraw his legal proceedings against the minister.
"The minister reiterates that he accepts the findings of the report of the Inspector General of Intelligence (IG) which found that the surveillance of Mr Sakumzi Macozoma by NIA contravened the NIA's operational policy," the statement read.
"The minister accepts that Mr Njenje is not involved in the bogus and defamatory e-mails currently doing the rounds and under investigation by the IG."
Kasrils also accepted that Njenje had not been involved in any attempt or conspiracy to discredit any government minister or official.
"The minister and Mr Njenje both stress that they are parting amicably."
Neither party would make any further comment on the matter, the statement said.
Opposition political party, the Democratic Alliance said it had noted the joint announcement on Njenje's resignation.
"We believe it is in the public interest that the specific conditions of his resignation be made available. For this reason we will be submitting parliamentary questions to the Minister of Intelligence on the details of his severance package," said spokesperson Paul Swart. - Sapa