Tom Dempsey's resignation follows his work in Afghanistan in July and August as an independent consultant for a security firm that provides paramilitary forces, The Chicago Tribune reported Friday.
The Tribune first reported in July that Dempsey used his accrued vacation-time from the University to do consulting work for Blackwater USA.
According to the newspaper, he worked out a consulting deal with Blackwater at the same time that he signed a partnership agreement linking the University of Illinois and the military contractor.
Under that agreement, Blackwater and the University of Illinois police training facility would exchange staff and students, share facilities and collaborate on training.
A copy of the severance agreement obtained by The Tribune shows Dempsey will receive $75,000 in severance pay and $12,000 to cover health insurance costs for a year.
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