LONDON -- The BBC said Thursday that it has apologized and paid a 鈥渟ubstantial鈥 sum to Princess Diana's private secretary over subterfuge used to get an explosive television interview with the late royal.

The U.K.'s national broadcaster said it acknowledged that 鈥渟erious harm鈥 was caused to Patrick Jephson by the circumstances in which the 1995 interview, conducted by BBC journalist Martin Bashir, was obtained.

鈥淭he BBC apologises unreservedly to Commander Jephson for the harm caused to him and has paid his legal costs,鈥 it said in a statement. 鈥淭he BBC has also paid Commander Jephson a substantial sum in damages, which he intends to donate in full to British charities nominated by him.鈥

The 1995 interview, in which Diana discussed the breakdown of her relationship with Prince Charles - famously saying 鈥淭here were three of us in this marriage鈥 in reference to Charles' relationship with Camilla Parker-Bowles - was watched by 23 million people in Britain and sent shockwaves through the monarchy.

A report last year by a retired senior judge found Bashir used 鈥渄eceitful behavior鈥 to get the interview, including showing Diana's brother fake bank statements that falsely suggested members of Diana's inner circle were being paid to spy on her. Judge John Dyson said the BBC obscured Bashir's misconduct for 25 years.

Jephson said that 鈥渁fter more than 25 years, it is a relief finally to reach a conclusion to this painful episode.鈥

He said he would donate his settlement to a children's hospice in Diana's memory.

Diana divorced Charles in 1996 and died in a Paris car crash in 1997 as she was pursued by paparazzi. Charles, the heir to the throne, married Camilla, now the Duchess of Cornwall, in 2005.

Diana's brother, Charles Spencer, tweeted that it was 鈥渁ppalling what Patrick Jephson had to go through as a result of grotesque "journalism" and said the issue had been 鈥渃overed up for so long by senior people鈥 at the BBC.