Larry Nassar: $500m settlement reached with sexual abuse victims of the former US athletics doctor

More than 300 victims have sued Michigan State University

Former Michigan State University and USA Gymnastics doctor Larry Nassar addresses the court (AFP)

More than 300 women and girls who say they were sexually abused by former USA Gymnastics team doctor Larry Nassar have reached a $500m settlement with the university where he worked.

Michigan State University (MSU) announced the settlement along with lawyers for the 332 alleged victims, hoping to tie up one chapter of what has become one of the biggest sports scandals in American history.

The payment will settle lawsuits filed in Michigan and California that claim MSU failed to protect patients from Nassar's sexual abuse. The university will set aside $75m of the settlement for future claimants alleging sexual abuse.

“This historic settlement came about through the bravery of more than 300 women and girls who had the courage to stand up and refuse to be silenced," said John Manly, an attorney for many of the alleged victims, in a statement.

He added: "It is the sincere hope of all of the survivors that the legacy of this settlement will be far reaching institutional reform that will end the threat of sexual assault in sports, schools and throughout our society.”

Nassar pleaded guilty last year to penetrating female patients with his fingers under the guise of treatment. Hundreds of students at MSU and members of the US women's gymnastics team testified that he had abused them during his decades as a prominent sports doctor.

The 54-year-old was sentenced to 40 to 175 years in prison for sexual assault and 60 years for child pornography charges.

Lawsuits still are pending against USA Gymnastics, the US Olympic Committee (USOC), and the Michigan-based training centre where the assaults occurred. Victims have accused both MSU and USOC of ignoring complaints about Mr Nassar – claims the organisations deny.

"Michigan State is pleased that we have been able to agree in principle on a settlement that is fair to the survivors of Nassar's crimes,” Robert Young, a special counsel to MSU, said in a statement.

The president of MSU and the entire USA Gymnastics board resigned in the wake of the scandal, acknowledging the need for institutional change. USOC Executive Director Scott Blackmun also resigned, though the committee said his decision was related to health concerns.

Olympic gold medal-winning gymnasts McKayla Maroney and Aly Raisman testified at Mr Nassar's sentencing hearing in January, along with 150 other women who said the doctor had touched them inappropriately. Victims cried while giving their statements, and as Judge Rosemarie Aquilina handed down a sentence that would keep the doctor in prison for the rest of his life.

“You still think somehow you are right, you’re a doctor, that you’re entitled, so you don’t have to listen. That you did ‘treatment'," Ms Aquilina said at the sentencing hearing. "I wouldn’t send my dogs to you, sir.”