Lord Sugar said in a statement that Stella English's claim was "a derisory attempt to smear [his] name" and her reputation "is now in tatters".
I am pleased that the tribunal has returned this verdict and feel vindicated in the judgment that myself, my companies, the BBC, the TV production company and my staff acted properly throughout Ms. English's employment.
There was never a case for us to answer but her need for money and fame meant that the whole system was subjected to this charade.
I have been cleared of a derisory attempt to smear my name and extract money from me.
The allegations were without substance, and I believe this case was brought with one intention in mind - the presumption that I would not attend the tribunal, that I would not testify and that I would settle out-of-court, sending Ms. English on her way with a tidy settlement.
I'm afraid she underestimated me and her reputation is now in tatters. I have principles and I am not going to be forced to compromise them, no matter how much time and money they might cost me.
Sugar: 'I was going to try to be generous to your client'
In an exchange with Philippa Jackson, representing Stella English at employment tribunal, Lord Sugar accused his former employee of lying about her version of events to generate publicity.
When Ms Jackson suggested he appeared angry, he said: "I'm angry because of this, because it's a total lie".
"When I came into the process of this tribunal, I was going to try to be generous to your client, but I've sat here and listened to her over the past two days and there is no other way to describe what she has said than as blunt lies."
Lord Sugar 'didn't pull any punches' in Apprentice testimony
Lord Sugar has accused one of his Apprentice winners of lying and taking him to a tribunal "to extract money". Stella English won the TV show in 2010, but is suing the businessman for constructive dismissal.
ITV News UK Reporter Sejal Karia is at the East London Employment Tribunal.