A record-breaking deal's been struck with controversial Auckland business man William Yan.

LISTEN ABOVE: NZME reporter Jared Savage spoke to Larry Williams about the deal

Yan, who's also known has Bill Liu, reportedly stole $129 million in a complex fraud.

The High Court's ordered $42.85 million of his assets to be seized as part of the settlement.

It's the final settlement in a civil case two years after the police raided his penthouse and froze assets, while detectives worked with Chinese authorities who alleged the fraud occurred.

The deal, approved by a High Court judge, means a trial estimated to last six months is no longer necessary.

The 45-year-old has not been charged with money-laundering offences and has consistently denied any wrongdoing.

The $42 million payout to the police is being seen as paying to escape justice.

Liu is on the Chinese top five most-wanted list and was given citizenship despite immigration having an issue with his character.

Labour's Andrew Little said if the record payout is seen as a way of avoiding justice, that's worrying.

"If that's the impression people get from it that would be very disturbing. If people have committed a breach of the law then they should be brought to book and stood in front of a judge.

"I think the idea we can achieve by big massive settlements, people get out of facing justice, that would be a disturbing thing to be happening in New Zealand," said Mr Little.

John Key denies it mean justice is now for sale to the highest bidder

"One would assume that the police are very skilled in these things. They get advice from the Crown prosecutors and the likes about whether they are likely to be successful in court. It's not unusual for things to be settled.

"The police make a call, always, when they're facing these kinds of issues about ultimately whether they think it's better to prosecute, or do some sort of a deal. Obviously they've made the call to do a deal."

Police Minister Judith Collins doesn't have a problem with the deal.

"A settlement's always better than court I think, well almost always. In this case, police are going to be making an announcement. They've briefed me on it and I think they've done some very good work."

Mr Key said extradition is a possibility.

"If the Chinese wanted to extradite him, they'd be able to do that without an extradition treaty, but they'd have to make an application go through the whole process.

"Alternatively, if there was an extradition treaty, they'd still have to go through a process, but it would have more established protocols of what they need to do."

But New Zealand wouldn't release him if there's a fear he'd be executed.