Power star Pawan Kalyan, who recently made it to the headlines for having an alleged love child with Darah Marks, is back in news again. The latest buzz is that the actor and his second wife Renu Desai have opted for an out-of-court divorce settlement and he is said to have agreed to pay Rs 40 crore to the former actress, who is now staying with her parents in Pune.

Pawan Kalyan and his first wife Nandini filed advance petitions in the district family court seeking divorce on August 12, 2008. After Chiranjeevi launched his Praja Rajyam Party, the opposition had a field day with the actor's relationship with Renu. To silence his critics, Pawan Kalyan had married Renu Desai in an Arya Samaj wedding ceremony at his residence on January 28, 2009.

But the relationship of Pawan Kalyan and Renu Desai had gone for a toss within next 18 months after rumours about the actor dating Darah Marks hit the net. Ever since the couple stayed apart. Pawan was living with Darah Marks in his Banjara Hills residence, while Renu stayed with her parents. And their two children were shuttling between Hyderabad and Pune.

It is said that there was a disagreement between husband and wife that made them live separately. Mega family had tried to bring Pawan Kalyan and Renu Desai back together, but their efforts had gone in vain. She could not make it to the big family events like Ram Charan Teja's engagement and marriage.

However, Pawan Kalyan and his second wife Renu Desai had insisted on divorce and parting their ways. The estranged couple had recently filed a petition in the district family court seeking divorce. Later, they opted for an out-of-court divorce settlement. Sources claim that Renu had asked Rs 40 crore for the settlement and the Power star has reportedly agreed to pay the amount.