LOUISVILLE, Ky. (WDRB) -- The city of Bardstown will pay a former police officer $200,000 to settle a lawsuit.

Former captain and assistant chief of police Tom Roby sued Bardstown, former Mayor John Royalty and former Human Resources Larry Green in July of 2016 claiming defamation and wrongful termination.

According to the settlement agreement obtained by WDRB News via open records, the city agreed earlier this month to pay $200,000 to settle the lawsuit.

Keith Sparks, an attorney for Tom Roby, declined to comment when the settlement was first reported other than to say they were "satisfied with the result." The lawsuit sought $2.7 million in damages.

Roby was a captain and assistant police chief for Bardstown when Royalty executed a top-down reorganization of the police department that demoted Roby to patrol officer. Then-chief Rick McCubbin, as well as city council members, said they were unaware of the plan.

Roby had planned to retire in 2016 but was fired by Royalty before he could. At the time, Royalty claimed that Roby had shredded numerous police documents and suggested that he may have committed a crime in doing so.

Last year, Royalty was removed from office by city council. He was then indicted for misconduct and lying under oath including during the course of the Roby lawsuit. Royalty has since sued the city. 

Reach reporter Travis Ragsdale at 502-585-0817, TRagsdale@wdrb.com, on Twitter or on Facebook.

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