New York Governor Eliot Spitzer has resigned, succumbing to threats of impeachment and mounting media pressure over his involvement in a prostitution scandal.
Governor Spitzer, the so-called Sheriff of Wall Street, will hand over to Lieutenant Governor David Paterson on Monday.
He made a brief statement from his New York city offices this afternoon.
It is a dramatic fall from grace for Mr Spitzer, a Hillary Clinton ally once considered presidential material and known as Mr Clean for taking down organised crime and tackling Wall Street corruption.
Republicans in the state assembly on Tuesday gave Spitzer 48 hours to quit or face impeachment proceedings, while New York newspapers had also called for the governor, who could face federal charges, to stand down.
According to reports, Mr Spitzer's lawyers were negotiating a plea deal with federal prosecutors in which he would agree to step down in return for avoiding felony charges such as money laundering or breach of federal currency rules.
But the US Attorney has said that no plea bargain has been reached with Mr Spitzer.
The news came as further details emerged of Governor Spitzer's use of a high-end call girl ring, with the New York Post saying he had spent up to $80,000 on prostitutes going back 10 years to his time as New York state attorney general.
The 48-year-old initially indicated when the news broke on Monday that he did not intend to step down, labelling the scandal a private matter.
Appearing alongside his wife of more than 20 years, Mr Spitzer apologised for his behaviour but did not make any specific admissions then.
Watch Eliot Spitzer's press conference here
