Anthony Tan ... flew to Vietnam after the shooting.

Relieved ... Anthony Tan outside the court. Photo: Stephanie Gardiner

ANTHONY TAN was hard at work two years ago, trying to build his export business in Vietnam when he read a media report from NSW, describing him as one of the state's most wanted men.

He had been back in his homeland for two years, unaware of the police hunt for him.

Mr Tan immediately got on the phone - first to a lawyer, then to an airline - more than willing to return to Australia to fight allegations he murdered Bosnian refugee and Rebels bikie Edin ''Boz'' Smajovic, 23.

Free ... Nathan Reddy.

Free ... Nathan Reddy. Photo: Stephanie Gardiner

He flew to Sydney in October 2011 and was charged with Mr Smajovic's murder.

Mr Tan spent almost a year in jail before he was granted bail in August. He has been waiting for his trial to start this week.

But in the NSW Supreme Court on Tuesday morning, a strange mood pervaded.

Mr Tan and his co-accused, Nathan Keith Reddy, sat smiling in the dock, chatting amiably with their lawyers. It soon became clear why.

Justice Megan Latham was told the Director of Public Prosecutions would not proceed with the case. ''You are accordingly discharged. You can leave now if you wish,'' Justice Latham told the men.

Mr Tan and Mr Reddy, who was charged with being an accessory to murder after the fact, looked relieved and embraced each other. It is understood the case failed partly because of an alleged confession from a prosecution witness.

A notice of motion on behalf of the Police Commissioner, filed in court, requested the men's legal teams hand over all copies of a police officer's notes of a conversation held at Penrith court house in April 2009. The officer and the other person involved in the conversation cannot be named for legal reasons.

Mr Tan's solicitor, Philip Stewart, said his client was pleased with the development but had served time for a crime he didn't commit.

Mr Tan was granted bail on August 28, almost a year after he returned from Vietnam.

He might now seek damages, Mr Stewart said.

''If someone spends a significant period of time in custody on a matter that carries life imprisonment … you might anticipate there would be some further action contemplated,'' he said. Mr Tan and Mr Reddy would not speak to the media. The office of the DPP declined to comment.

At the time of the shooting, police said Mr Smajovic entered Mr Tan's Campbelltown car yard on January 9, 2009 just before gunshots were heard.

Mr Tan was grazed on the neck and Mr Smajovic suffered a gunshot wound to the chest, from which he died.

A costs application will be heard in March.