Former National Director of Public Prosecutions Vusi Pikoli will walk away with R7.5-million after reaching an out court agreement with government, the Presidency announced on Saturday.
The mediation comes just two days before the matter was to be heard in the North Gauteng High Court.
"The two parties acknowledge that a breakdown took place in their relationship, and now wish to restore their relationship to one characterised by mutual trust and respect," Presidential spokesman Vincent Magwenya said in a statement .
The terms of the agreement include amongst others that Pikoli withdraw the application before court.
"Mr Pikoli shall be paid an amount of R7.5-million in full and final settlement," he said, adding that government welcome the "successful" conclusion of this matter.
Pikoli took government to court over his non-reinstatement after being cleared by the Ginwala Commission.
He believes lost his job because he decided to prosecute ex-National Police Commissioner Jackie Selebi. - Sapa