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HOLLYWOOD –  Casey Anthony settled on a $3 million deal to pose nude in Hustler.

Last Friday, Casey Anthony was offered $500,000 by Larry Flynt to pose naked in his magazine, Hustler.  Casey Anthony’s lawyer and BFF, Jose Baez, has made a deal with Flynt that will pay Casey $3 million for a full front spread.

King of the Hustler empire, Larry Flynt, said he was happy with the deal and was convinced that he would sell enough to recoup his investment.

“As part of the deal, Larry got Casey to agree to do a short XXX film with Jesse James,” said Hustler insider, Jonny Wadlow,  Casey agreed to it and the deal was done.

Flynt confirmed the deal the on HLN’s Nancy Grace, although Anthony’s camp quickly dismissed it.  Flynt explained that Casey is trying to keep a “low-profile” and will not admit to the deal in public until it hits the newsstands – sometime in October, 2011.

“Casey Anthony is heading to Palm Springs mid-August with our photographers – and Jesse James,” said Flynt.

Why Jesse James?  Well, Casey is now dating him.  READ ABOUT IT HERE.

The head Hustler honcho, said he initially did not consider Anthony as a model after a jury found her not guilty of killing little Caylee but changed his mind after being approached on a book tour by scores of horny men demanding he make America’s most hated mom an offer.

“You’ve got men who say hey, I want to see her in her birthday suit,” Flynt reportedly said. “There may be some sick individuals . . . but that’s what life is all about.”

Hugh Hefner recently told CNN’s Piers Morgan that he, too, has heard from several men who want to see Anthony nude in Playboy. Some guys really do have a type. And by “guys” I mean “sick bastards.”

Casey has hired celebrity trainer, Jillian Michaels, to get her in shape for the shoot – scheduled for August 15th.