"puts paid"

I came across this early this morning:

As Tariq Alhomayed, the editor of Asharq al-Awsat, noted in response to the news, the deal puts paid Nasrallah's contention that Hizbullah does not operate outside Lebanon except to wage war against Israel. But it also points to a severe problem with the West.

Any idea what that means? Does paid modify Nasrallah? Is "puts paid" some kind of idiom with which I am unfamiliar?