West Ham are to donate £500,000 from the £2million settlement fee they received for Carlos Tevez to build mini-pitches in London's East End.

The club say the money is the balance remaining after the legal fees for the lengthy dispute have been paid.

West Ham chairman Eggert Magnusson said: "We are going to donate the money to the Football Foundation to build mini-pitches in the East End.

"When you look back to when the player was signed there was no transfer fee paid so we believe this is the best way to end the whole saga.''

West Ham honorary life president Bjorgolfur Gudmundsson, the Icelandic banker who provided the money for the takeover of the club last year, added: "We know that our supporters invest a lot of time and energy following West Ham United so passionately, and we recognise the importance of being able to give something back to the local community.''

Sir Robin Wales, mayor of the London Borough of Newham where the pitches will be built, said he was proud of the club.

He said: "This is great news for the kids of Newham.

"I am delighted that the leaders of West Ham are once again showing their commitment to our local communities.

"I am proud of the club and extend my personal thanks to Eggert Magnusson and Bjorgolfur Gudmundsson for this investment.''