Senior Iraqi militia commander Qassem Musleh was released from government detention on Wednesday, his son confirmed to The National.
Mr Musleh, leader of the Iran-backed Popular Mobilisation Forces operations in Anbar, was arrested on May 26 on suspicion of terrorism and in connection with the targeted killing of civil society activists and protesters.
"He is on his way to his house in Karbala," his son Mohammed told the National.
Mr Musleh's arrest sparked a vigorous dispute between the government and powerful Iraqi militia members demanding his release.
Prime Minister Mustafa Al Kadhimi promised to investigate the unlawful actions by armed groups accused of killing protesters and dissidents with impunity.
The day after the arrest of Mr Musleh, armed militia members took to Baghdad's streets, gathering near the office of the prime minister and at an entrance to the Green Zone, risking a dangerous escalation of force.
Security forces and the elite Counter-Terrorism Service were deployed to protect the government and diplomatic missions in Baghdad.
Mr Musleh was accused of ordering the killing of Ihab Al Wazni, a prominent activist in the months-long pro-reform, anti-regime protests in Karbala South of Baghdad last month.
That charge has been dropped due to insufficient evidence, an official with the Judiciary Council told The National.
Later on Wednesday, the Judiciary Council said Al Wazni's family failed to submit any evidence.
At the time of the assassination, Mr Musleh was abroad and has denied any role.
"The investigative court didn't find any direct or indirect evidence that he was involved in that crime so he was released," the statement added.
Mr Musleh made a triumphant return to his hometown, with PMF fighters and supporters waving the paramilitary troops flags and holding posters of support as cattle were slaughtered on his arrival.
"We expected this, the Hashed leaders would be accused based on Article 4 [which deals with] terrorism while terrorists will be treated as martyrs, and this is what happened," Mr Musleh told a local TV station in his first interview since his release.
He accused "the enemies" inside and outside of Iraq and some politicians of falsely accusing PMF leaders with such charges.
"PMF has had a role in supporting the state and protect Iraq...and will continue to do so," he added, flanked by supporters in military uniforms.
Honeymoonish
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England squad
Moeen Ali, James Anderson, Jofra Archer, Jonny Bairstow, Dominic Bess, James Bracey, Stuart Broad, Rory Burns, Jos Buttler, Zak Crawley, Sam Curran, Joe Denly, Ben Foakes, Lewis Gregory, Keaton Jennings, Dan Lawrence, Jack Leach, Saqib Mahmood, Craig Overton, Jamie Overton, Matthew Parkinson, Ollie Pope, Ollie Robinson, Joe Root, Dom Sibley, Ben Stokes, Olly Stone, Amar Virdi, Chris Woakes, Mark Wood
The years Ramadan fell in May
Charlotte Gainsbourg
Rest
(Because Music)
Captain Marvel
Director: Anna Boden, Ryan Fleck
Starring: Brie Larson, Samuel L Jackson, Jude Law, Ben Mendelsohn
4/5 stars
Results
Male 51kg Round 1
Dias Karmanov (KAZ) beat Mabrook Rasea (YEM) by points 2-1.
Male 54kg Round 1
Yelaman Sayassatov (KAZ) beat Chen Huang (TPE) TKO Round 1; Huynh Hoang Phi (VIE) beat Fahad Anakkayi (IND) RSC Round 2; Qais Al Jamal (JOR) beat Man Long Ng (MAC) by points 3-0; Ayad Albadr (IRQ) beat Yashar Yazdani (IRI) by points 2-1.
Male 57kg Round 1
Natthawat Suzikong (THA) beat Abdallah Ondash (LBN) by points 3-0; Almaz Sarsembekov (KAZ) beat Ahmed Al Jubainawi (IRQ) by points 2-1; Hamed Almatari (YEM) beat Nasser Al Rugheeb (KUW) by points 3-0; Zakaria El Jamari (UAE) beat Yu Xi Chen (TPE) by points 3-0.
Men 86kg Round 1
Ahmad Bahman (UAE) beat Mohammad Al Khatib (PAL) by points 2-1
Men 63.5kg Round 1
Noureddin Samir (UAE) beat Polash Chakma (BAN) RSC Round 1.
Female 45kg quarter finals
Narges Mohammadpour (IRI) beat Yuen Wai Chan (HKG) by points.
Female 48kg quarter finals
Szi Ki Wong (HKG) beat Dimple Vaishnav (IND) RSC round 2; Thanawan Thongduang (THA) beat Nastaran Soori (IRI) by points; Shabnam Hussain Zada (AFG) beat Tzu Ching Lin (TPE) by points.
Female 57kg quarter finals
Nguyen Thi Nguyet (VIE) beat Anisha Shetty (IND) by points 2-1; Areeya Sahot (THA) beat Dana Al Mayyal (KUW) RSC Round 1; Sara Idriss (LBN) beat Ching Yee Tsang (HKG) by points 3-0.
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The Matrix Resurrections
Director: Lana Wachowski
Stars: Keanu Reeves, Carrie-Anne Moss, Jessica Henwick
Rating:****
UAE currency: the story behind the money in your pockets
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory