HIGH-profile Derry republican Tony Taylor will not face any charges following an arrest last year.
However, the former prisoner remains in Maghaberry jail after his early release licence was revoked in March.
The Public Prosecution Service (PPS) confirmed that a 'no prosecution' decision has been taken arising from a period of detention last October.
Taylor was questioned for two days about republican activity before being released pending a report to the PPS.
Months later the 48-year-old was arrested at his home and returned to Maghaberry Prison on the instructions of former Secretary of State Theresa Villiers.
Campaigners have called for him to be released.
Taylor was sentenced to 18 years in jail in 1994 for IRA activity and for three years in 2011 for possession of a rifle.
A member of Republican Network for Unity, he was arrested last year on the same day the anti-agreement party was planning to hold a protest at a PSNI recruitment event in Derry.
His solicitor Aiden Carlin said his client should be released.
“Having now considered the evidence presented by police, the PPS has concluded that Tony Taylor has no case to answer,” he said.
“Yet the status quo remains.
“Our client is still in custody on the instructions of former Secretary of State Theresa Villiers.
“There is simply no objective evidence that Tony Taylor has breached the conditions of his licence.
“Hence, no new charges which could have led to a fair trial and the proper testing of evidence by the defence in court.”
Deputy First Minister Martin McGuinness also said he intends to raise Mr Taylor's case with new secretary of state James Brokenshire.
"The arrest and imprisonment without recourse to due process is a practice that is totally unacceptable and needs to end immediately," he said.
