Barry George, who spent eight years in prison after being wrongly convicted of the murder of TV presenter Jill Dando, has lost his legal battle for compensation as a victim of a "'miscarriage of justice".
The latest legal move at the Court of Appeal followed the dismissal of his claim by two High Court judges in January.
Lord Justice Beatson and Mr Justice Irwin had rejected his claim that the Justice Secretary unfairly and unlawfully decided he was "not innocent enough to be compensated".
They ruled that the Secretary of State was "entirely justified in the conclusion he reached".
Lord Justice Richards, sitting at the Court of Appeal in London, today rejected an application by Mr George for permission to challenge the January decision.
He announced that the 53-year-old - who was present in court for the ruling - had "no realistic prospects" of success on appeal.
Mr George went to the High Court seeking a reconsideration of his case which could have opened the way for him to claim an award of up to £500,000 for lost earnings and wrongful imprisonment.
It was argued on his behalf that the decision to refuse compensation was "defective and contrary to natural justice".
But Lord Justice Beatson and Mr Justice Irwin ruled that he had ''failed the legal test'' to receive an award.
Miss Dando was shot dead outside her home in Fulham, west London, in April 1999.
After his conviction in July 2001, Mr George, of Fulham, was acquitted of killing the 37-year-old BBC presenter at a retrial in August 2008.