Russo had threatened to put the club into administration after demanding immediate repayment of the loans he made to the Championship club prior to resigning from the board on Tuesday.
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He rejected an initial proposal to defer the payment as part of a £7.5million rights issue tabled by Lord Ashcroft.
However, the two parties have now come to an agreement which will avoid the threat of administration and a 10-point penalty being imposed on the club.
"I'm relieved to have all this sorted out but it's disappointing it has taken so long," Russo told BBC Radio 5 live.
"It has rescued the club and it is good for the club and I'm delighted. I didn't want to put them into administration.
"I wish the football club all the best and they have got a good future."
Meanwhile, the rights issue spearheaded by Lord Ashcroft will now go-ahead which will secure the future of the club until the end of the season.
Source: DSG
