Eliot Spitzer: Investigating Mr Quattrone's dealings

Mr Quattrone was suspended last month by CSFB chiefs, after they learned he may have destroyed key documents relating to probes into the bank.

But, following meetings on Monday, the bank and Mr Quattrone agreed it was "in their respective best interests for Mr Quattrone to separate from the bank at this time", a CSFB statement on Tuesday said.

The resignation had seemed likely after Mr Quattrone declined to testify before securities regulators last week.

Outstanding probe

CSFB has been targeted by officials investigating some of the most famous recent Wall Street scandals, including the collapse of Enron, and the ramping up of fees during the dot.com boom years.

CSFB paid fines of $150m as part of a settlement, with other banks, agreed with state and federal regulators investigating potential share research and stock allocation abuses.

Mr Quattrone, who he achieved meteoric success running CSFB's global technology group in the late 1990s, is still being investigated by New York attorney general Eliot Spitzer.

Officials are investigating claims that Mr Quattrone was involved in "spinning" shares - allocating stock in high profile flotations to executives able to give business back to the bank.

Mr Quattrone left CFSB, part of the Credit Suisse banking empire, without compensation or severance payments.

"The resignation agreement holds all legal and financial matters between Mr Quattrone and CSFB in abeyance until the inquiries are resolved," a statement on Tuesday from Mr Quattrone's spokesman, Bob Chlopak, said.