Todd and Julie Chrisley have scored a $1 million legal victory amid their ongoing prison sentences for their involvement in multimillion dollar bank fraud and tax evasion scheme.

A lawyer for the couple announced they are receiving the huge settlement from the state of Georgia to resolve their 2019 federal lawsuit against Joshua Waites, the former Director of Special Investigations of the state’s Department of Revenue.

The Chrisley family’s attorney Alex Little said in a statement: “We have been saying for months that the criminal case against the Chrisleys was highly unusual and had real problems.

“This settlement is an encouraging sign. It’s nearly unprecedented for one arm of the government to pay money to defendants when another arm is fighting to keep them in jail.”

After being cleared of their state tax evasion charge in Georgia, Todd, 54, and Julie, 51, took legal action against Mr Waites in October 2019 for “specifically targeting” the famous family in their state tax evasion charge.

According to the lawsuit the reality stars’ former lawyer Michael J Bowers said Mr Waites’ initial charges against the pair was “a shocking example of how an out-of-control public servant can abuse his office and violate the rights of innocent citizens for reasons that have more to do with securing publicity and money for his office than with enforcing the law”.

The lawsuit claims that several years ago Mr Waites began to “focus his efforts” and “desire” on the Chrisley family – particularly Todd as well as his estranged 34-year-old daughter Lindsie.

The Chrisleys accused Mr Waites of targeting Lindise in an attempt to seek information about the family from her and when he was unable to get the information he wanted from her, he allegedly shared the Chrisleys confidential tax information with Lindsie.

Attorney Mr Bowers said: “Ultimately Waites’s efforts failed, but in the process, the Chrisleys were forced to incur substantial personal and financial hardship.”

Todd and Julie Chrisley were indicted by a federal grand jury in August 2019 for 12 counts of bank and wire fraud, tax evasion, and conspiracy, all of which they have denied.

They began their jail sentences on 17 January, with Todd due for release on 22 January from the Federal Prison Camp Pensacola and Julie set to be freed from the Federal Medical Center Lexington in Kentucky on 19 October 2028.

Their original sentences were 12 years and seven years respectively and were reduced in September 2023 and an appeal of their criminal convictions will be heard by the federal appeals court in April.