London, Jan 16 : Madonna has reportedly agreed to shell out 96,000 pounds as an out of court settlement, to a group of charity workers who sued the star after her plans to build a school in Malawi were abandoned last year.

The singer, who has an estimated fortune of more than 400 million pounds, was facing a court case to answer claims of unfair dismissal and unpaid wages from eight charity workers who lost their jobs when plans for her Raising Malawi Academy, a 500-pupil girls' school, collapsed last March.

However, the case, which was due to be heard at Malawi's Industrial Relations Court in Blantyre, was averted at the last minute after the two sides reached an out-of-court settlement last month, with Madonna agreeing to pay
96,000 pounds as compensation, the Daily Mail reported.

Court documents relating to the deal make clear that the 53-year-old star, who has two adopted children from Malawi, does not acknowledge guilt. (ANI)