Penguin Canada Wednesday rehired Lisa Rundle, whose allegations last month of sexual harassment against David Davidar led to his sacking by the publishing giant.
In a release, Penguin Canada said Lisa Rundle has been rehired to her earlier position of director for company's rights and contracts.
Rundle "is happy to resume her responsibilities" and will resume her duty "in a few weeks' time," Penguin Canada said. The company also said Mike Bryan, former president of Penguin India, will replace Davidar as CEO of Penguin Canada.
The announcement comes a day after Penguin said Tuesday that Rundle has settled her sexual harassment lawsuit with Davidar and the publishing company amicably.
She had had sought $523,000 from Penguin for sexual harassment for three years and then an assault by Davidar at the Frankfurt Book Fair in October.
A spokesperson for Penguin said Tuesday that "everything has been settled" amicably. It was not known how much Penguin Canada and Davidar will pay Rundle.
Davidar's lawyer Peter Downard also e-mailed to media outlets Tuesday, saying, "We can now advise that all allegations have been addressed and all matters resolved to the satisfaction of all parties. None of the parties will be commenting further to the media."
All the three parties are sworn to make no comment on the details.
Following the lawsuit last month, Davidar had admitted only to a "consensual flirtatious relationship" with Rundle.
"David Davidar has not sexually harassed anyone and has not assaulted anyone...," his lawyer had said in a statement June 20.
Davidar, who started Penguin operations in India in the mid-1980s and was made president of Penguin Canada in 2004, is likely to return to India with his wife Rachna soon.