Although rumours of drug use swirled around Armstrong throughout his career, he never failed a test.
Cancer survivor, once tipped as the all-time great long distance cycling champion, in 2012 was stripped of his record seven Tour de France titles after his admission of doping during competitions in a televised interview.
Lance Armstrong has agreed to pay $5m (£3.5m) to the USA government to settle a long-running lawsuit that could have cost him $100m (£71m) in damages.
"A rival who blatantly uses prohibited performing-enhancing medication (PEDs) not just deceives fellow fans and competitions, but also sponsors, that help make athletic contests possible".
"This settlement demonstrates that those who cheat the Covernment will be held accountable".
Armstrong's denial influenced the USPS resolution to proceed sponsoring the group in 2000, the Justice Division stated.
Armstrong had previously tried to settle the Landis whistleblower lawsuit, but those talks broke down before the government announced its intention to join the case. "We will continue to work with our federal partners to protect taxpayer dollars and to ensure that those who do business with the federal government fulfill their contractual obligations".
"The Postal Service has strongly supported the Department of Justice's intervention and pursuit of this case, as it always has been our position that Lance Armstrong misled the Postal Service", said Thomas J. Marshall, U.S. Postal Service General Counsel and Executive Vice President. The U.S. cycling team won every Tour De France, cycling's top event, between 1999 and 2005.
For years - particularly after he was identified with after which beat testicular most cancers - Armstrong was one of the celebrated athletes in skilled biking, successful the Tour de France seven occasions. Landis will receive US$1.1 million out of the governments US$5 million while Amstrong will also be forced to pay US$1.65 million to cover Landis' legal costs.
The initial $100 million lawsuit was an effort by USPS to recoup the sponsorship money it had spent on the team during Armstrong's remarkable run of victories atop the cycling world.
If he had lost in court, Armstrong faced the possibility of paying treble damages under the terms of the False Claims Act, which is aimed at recovering government money obtained by fraud. "There is a lot to look forward to".
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