Departing public protector Lawrence Mushwana has received a golden handshake of nearly R7-million, raising a storm about his entitlement to it, the Mail & Guardian reported on Friday.

He is also suspected of taking punitive action against the chief executive of the public protector's office Themba Mthethwa, for questioning the payout.

Mushwana suspended Mthethwa and the contested R6.8-million payout was deposited into Mushwana's account 48 hours later, the newspaper said.

The payout included R90 000 in lieu of leave, which was specifically prohibited in terms of Mushwana's conditions of employment.

The Mail & Guardian said government failed this week to explain the conditions of service that permitted this payment.

Clause 6.4 of Mushwana's service conditions stated that no leave shall be accumulative and "no salary allowance shall be claimed in respect of leave which could have been taken, but was not utilised".

On his way out, Mushwana also took a state vehicle, a BMW X5, that he had been using for official duties, forcing the protector's office to hire a car for the new public protector Thulisile Madonsela, before buying a new one.

Mushwana was entitled by law to keep the car, provided he paid a certain amount for it determined by the state. He had yet to cough up.

Mushwana's gratuity was recorded in the public protector's annual report, which was approved by Parliament in September.

The office of the public protector, Parliament and the presidency each referred the Mail & Guardian's questions to the other.

Justice department spokesperson Tlali Tlali said the department did not have information about Mushwana's gratuity, as the protector's office was an independent constitutional institution accountable to the National Assembly.

But Tlali said Mushwana was entitled to receive the gratuity because his employment conditions were different to those of other heads of Chapter 9 institutions.

The public protector was appointed on the same level as a judge and Mushwana earned R1.5-million in that post.

This week Mushwana defended his payout, saying he qualified for it because he signed an employment contract in 2002 that guaranteed he would receive a gratuity at the end of his term, the Mail & Guardian reported.