University of North Carolina Chancellor since 2008 has decided to step down from his position in June amid the scandal involving the athletes and faculty.

Holden Thorp notified UNC President Tom Ross Monday that he would intend to resign at the end of the academic year 2012-2013 on June 30, saying 'it's best for the future of the University,' according to the statement on university's website.

"I will always do what is best for this University," said Thorp, "this wasn't an easy decision personally. But when I thought about the University and how important it's been to me, to North Carolinians and to hundreds of thousands of alumni, my answer became clear."

The university was caught in the storm of controversy in 2010, when the NCAA found its rules were violated in number of instances. Its investigation revealed that since-fired coach of the football team Butch Davis had been bribed by a former sports agent in return for the contact with Tar Heels players and had been receiving gifts. It even found out that a tutor wrote assignments for three of the football players and also paid for the players' travel expenses, reports Bloomberg.

But, the trouble for UNC was far from being over as the investigation dug deeper and found that between the years of 2007 and 2011, more than 50 courses offered by the university's Department of African and Afro-American Studies had lecturers who never taught, grades were manipulated and faculty signatures were forged.

Following which, the school's football program was put on three year's probation in March and was banned from 2012 postseason play among other penalties, for rules violations including academic fraud.

In the latest development, UNC's own internal probe found the mother of former Tar Heels basketball star Tyler Hansbrough and top university fundraiser Matt Kupec might have been involved in the mishandling of travel expenses. The two administrators were reportedly dating according to Charlotte Observer, who resigned following the suspicions.

Two more investigations, one by former North Carolina Gov. Jim Martin and other by State Bureau of Investigation is yet to be completed.

The statement by the university also said now that the chancellor expressed his intention to resign, UNC President Ross is expecting Thorp to 'devote his full attention and focus over the next nine months to making sure that the problems identified on the campus have been fully corrected.'

However, Thorp will continue to work in the Chemistry department of the university where he was a long-time professor, researcher and a former chairman earlier. He's an UNC alumna himself who acquired his Ph.D from Caltech.