New Delhi, Dec. 28: IIT Delhi director R.K. Shevgaonkar has resigned mid-tenure because of government pressure to agree to an out-of-court settlement of former faculty member Subramanian Swamy's arrears, government and institute sources saidtoday.

Some other government sources and Swamy, though, spoke of a Mauritus factor.

In a media release, Smriti Irani's human resource development ministry denied pressuring Shevgaonkar on Swamy's dues or prodding him to provide the institute grounds for a cricket academy that Sachin Tendulkar was allegedly planning.

These were the two purported reasons that a media report had cited for the abrupt resignation. Shevgaonkar, who has not been available for comment, had cited 'personal reasons' in his resignation letter, IIT Delhi sources said. Tendulkar has tweeted he has no plans for an academy.

On Friday, the institute's board of governors forwarded Shevgaonkar's resignation to Irani's ministry, which said it would send it to President Pranab Mukherjee, the institute Visitor. Shevgaonkar had completed a little over three years of his five-year tenure.

Swamy, now in the BJP, has been fighting a long legal battle for his arrears. Sources said IIT Delhi had appointed him a visiting faculty member on April 22, 1970.

On a recommendation by a panel headed by Manmohan Singh, he was appointed professor of economics from October 1, 1971, but put on a year's probation. On September 20, 1972, the institute extended the probation by three months. On December 11, it declared the appointment illegal and sacked him.

On a petition from Swami, Delhi High Court on February 20, 1991, squashed the sacking and ordered that he be treated as 'continued in service'. During this period Swamy had taught at Harvard University for a few years.

Swamy joined IIT Delhi on March 27, 1991, and resigned the same day. He demanded his dues between December 1972 and March 1991. The institute then asked for details of his earnings from Harvard, which, under the rules, had to be adjusted against his IIT arrears.

But Swamy demanded the period be treated as one of extraordinary leave so he would not need to give these details. An IIT refusal led to another legal battle. Swamy reckons the IIT owes him Rs 70 lakh.

In 2008, he wrote to Prime Minister Singh but then human resource development minister Kapil Sibal, to whom the matter was forwarded, decided against granting extraordinary leave. The matter is before the high court.

The new NDA government wanted to settle the matter. Irani's ministry has sought the opinions of the department of personnel and training and the finance ministry. No advice has yet come.

Irani called Shevgaonkar and Swamy to a meeting about two months ago and again summoned the director two weeks ago, both times suggesting an out-of-court settlement, ministry and IIT Delhi sources said.

But Swamy said Shevgaonkar never came into the picture in this case. He alleged the director had quit after being asked to explain why he had not sought government permission before visiting Mauritius in 2011 in connection with IIT Delhi opening a centre in that country.

Some sources close to Irani alleged Shevgaonkar had also come under the scanner for telling the media it would not be just a research centre - for which permission had been obtained - but a campus.