CITADEL <CDL> SETTLES WITH GREAT WESTERN <GWF> Citadel Holding Corp said it has settled its litigation with Great Western Financial corp. The company said under the terms, Great Western has agreed not to acquire or seek to acquire any voting securities of Citadel or propose a merger with Citadel for five years, and Citadel has paid Great Western six mln dlrs. Citadel said it is continuing to pursue its claims against Salomon Inc <SB>, which represented it in connection with the disputed proposed merger with Great Western that was the subject of the litigation.