Many set free, given pardon (7)
I believe the answer is:
amnesty
'pardon' is the definition.
(amnestying is a kind of pardoning)
'many set free' is the wordplay.
'free' is an anagram indicator.
'many'+'set'='manyset'
'manyset' is an anagram of 'AMNESTY'.
'given' acts as a link.
(Other definitions for amnesty that I've seen before include "act of forgiveness" , "General pardon for crimes against the state" , "General pardon - international charity" , "A general pardon as for rebels (7)" , "Free pardon from punishment" .)