"Issam Akel holds an American passport and he was handed over to the US authorities upon their request," one senior security official, who asked not to be named, told Reuters.
A second official, who also spoke on condition of anonymity, confirmed Akel's release.
Both declined to give any more details. Akel's family was not available for comment. US officials did not comment when asked about Akel's release.
Akel was convicted by a West Bank court in December of attempting to sell a property in East Jerusalem without the permission of his business partners or the Palestinian authorities.