The Department of Corrections has withdrawn a charge of breaching release conditions for Killer Beez gang boss Josh Masters.
Masters was released from prison in July last year after serving nearly all of a 10-year, five month sentence for supplying methamphetamine and laundering the profits through his rap label.
He was jailed in May 2008 but was freed by the Parole Board in July after they deemed he was no longer considered an "undue risk" to the safety of the community.
A number of release conditions were imposed - one being that Masters was forbidden from associating with gang members unless a specific exemption was made by his probation officer.
He was also banned from entering "any areas where gangs congregate" including "fight clubs and gang pads".
In November the Herald revealed that Masters had been charged with breaching a condition "in that he associated with a known gang member".
Court documents do not state who that gang member was.
Masters pleaded not guilty to the charge.
The case was delayed somewhat after Masters was shot in an alleged gang-related confrontation in April.
An arrest warrant was issued last week after he failed to appear at a scheduled court hearing but he later presented before a judge and it was quashed.
He was set to reappear next month - but the Herald has learned the charge has now been withdrawn.
Court staff confirmed the matter had been dealt with administratively, and the case was now disposed.
The Herald has contacted Corrections for comment on the withdrawal.
An old friend of Masters has been charged with attempted murder in relation to the alleged shooting in April.
Akustino Tae, 39, has denied trying to kill the gangster.
It is understood Masters has refused to speak to police about the alleged attempted on his life, which happened at the Mt Wellington Harley Davidson store.
Masters was critically injured and almost paralysed in the shooting, which the Herald understands was captured entirely on CCTV.
Tae is next due to appear in court next month.