Barry George, who spent eight years in prison after being wrongly convicted of the murder of TV presenter Jill Dando, has lost his British High Court bid for compensation as a victim of a "miscarriage of justice".
Two judges rejected his claim that the British Justice Secretary unfairly and unlawfully decided he was “not innocent enough to be compensated”.
Lord Justice Beatson and Mr Justice Irwin ruled that the British Secretary of State was “entirely justified in the conclusion he reached.”
Ian Lawless, who spent eight years behind bars for murder before being freed by the Court of Appeal in 2009, won a similar legal challenge.
Mr Lawless was jailed for life in 2002 after confessing to the murder of retired sea captain Alf Wilkins on the Yarborough estate in Grimsby, Lincolnshire.
His conviction was later ruled unsafe after fresh medical evidence revealed he had a “pathological need for attention”.
The judges ruled that in his case the decision to refuse compensation was legally flawed and must be reconsidered in the light of their judgment.