The newspaper was forced to pay Armstrong 300,000 pounds in 2006 to settle a legal case after it had questioned his Tour de France victories in an article published two years earlier.
However, after the 41-year-old was stripped of his record seven Tour wins and handed a life ban last year for cheating his way to glory, the newspaper demanded a return of the payout plus interest, as well as costs accrued in defending the case.
After years of denials, Armstrong confessed in an interview with Oprah Winfrey earlier this year that he used performance-enhancing drugs to cheat his way to the Tour de France wins.
($1 = 0.6413 British pounds)
(Reporting by Amlan Chakraborty in New Delhi; Editing by John O'Brien)
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