Mohammed Atif Siddique, whose conviction under new terrorism legislation amounted to a miscarriage of justice, will not face a retrial.
On 29 January the court said it was "minded" to quash Siddique's conviction on the basis of misdirection of the jury by Lrod Carloway at Siddique's 2007 trial.
The Crown said a retrial would not be in the public interest.
Siddique, who has been held in jail since the decision was announced on 29 January, has now been released.