Caerphilly County councillors have voted to sanction more than £220,000 in payouts to senior managers which the Wales Audit Office had deemed unlawful.
The buy-outs were made to more than 40 senior Caerphilly managers in 2012 as compensation to changes in terms and conditions, including the loss of car allowances and five days of annual leave.
In addition Caerphilly will be forced to cover the tax bill arising from an error in the amount the officers should have been deducted for their ‘buy-outs'.