For nearly 36 years, David Tamihere was at the centre of one of the country's most infamous murder cases.

He was the man convicted of murdering Swedish backpackers Heidi Paakkonen and Sven Urban Höglin, before his convictions were quashed by the Supreme Court in early 2026.

After all that time, Justice Simon Mount KC took less than nine minutes on Wednesday morning to tell Tamihere he was free.

"You are discharged on the two charges of murder in the indictment before the court which was filed in 1990," he said.

"You may stand down and you are free to go."

It had been up to the Crown to decide whether to hold another trial, but on Wednesday the court heard they did have sufficient evidence to go forward.

Over the decades the case has been fraught by controversy.

Jailhouse snitch Roberto Conchie Harris was convicted of perjury, having made up evidence that Tamihere had killed the Swedes; Höglin's body was found after the trial, some 70km from where police claimed the murders occurred; while a watch police claimed Tamihere had stolen from Höglin was found with his remains.

Speaking to media outside court, Tamihere said he was still processing the news.

"[I'm] kind of half surprised half pissed-off about it," he said.

"I was quite happy to go to a retrial, and I thought that's what they were gearing up for too."

Sven Höglin and Heidi Paakkonen. Photo: supplied

It was Crown Prosecutor Clair Paterson who said there wasn't sufficient evidence to go proceed with a prosecution.

"As a result of the passage of time, some 36 years, significant pieces of evidence that the Crown adduced in the 1990 trial are no longer available, or if available will likely be subject to reliability challenge," she said.

"The evidential test for prosecution is no longer met."

That was despite pointing to uncontested but circumstantial evidence against Tamihere.

"In [that] the victims were seen in Thames, Coromandel, on the 7th of April, 1989," Paterson said.

"Mr Tamihere was living in that area at the relevant time and was in the Wentworth Valley in the first week of April 1989, close to where Mr Höglin's remains were later found."

Paterson said Tamihere had the victims' car, and had stayed at the a lodge where toiletries belonging to Paakkonen had been found.

Höglin's jacket was also found in the home of Tamihere's partner on July 10, 1989, she said.

But for David Tamihere, there was still the question of compensation, something he said hadn't been decided.

"I'd like to do it at the level that was around when I first got convicted," Tamihere said.

"It's quite huge."

A range of factors are considered in compensation for wrongful conviction or detention.

The Ministry of Justice website stated an annual amount of $150,000 for each year in custody could be included.

An additional amount of $75,000 a year for time spent on restrictive bail or parole may also be considered.

Tamihere told reporters his sympathy was with Paakkonen and Höglin's families.

"You've got to admit you've got a hole in the family, there's a huge hole, and it's always going to be there until you die." he said.

"There's some things you will carry for the rest of your life."

Defence lawyer Murray Gibson said he was very pleased with the outcome.

"David's had this accusation hovering over him for about 35 years, and now it's finished and it's been established that he's innocent of these charges," he said.

Police told RNZ they would retain the investigation file into the deaths of Höglin and Paakkonen.

Assistant Commissioner Corrie Parnell acknowledged the impact Wednesday's decision would have on the families of the backpackers.

"Given today's decision by the Crown, Police will ensure the investigation file is retained, he said.

"Police continually review the status of any matter that no closed - and should any new evidence come to light it will be reviewed and assessed in conjunction with the Crown Solicitor."