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The libel action was brought by David Pooley against Wollenberg and City Index Ltd over allegations made by Wollenberg in 1993 when he and Pooley both worked at the index futures dealing company.
Wollenberg - City Index's Chairman at the time - told Mishcon de Reya lawyer, Simon Gallant that Pooley - City Index's former administration director - had accepted a bribe in exchange for renewing an advertising contract.
In the High Court yesterday, Wollenberg and City Index withdrew the allegations and agreed to pay Pooley a "substantial sum in damages" and his legal costs.