Perth man Dominic Bird has been granted bail in Malaysia but will not be allowed to return to Australia until the outcome of an appeal against his acquittal on drug trafficking charges that carry the death penalty.
The 33-year-old was set free two weeks ago after being found not guilty of supplying 167 grams of methamphetamine to an undercover police officer, but was re-arrested days later, just minutes before his flight to Perth was to depart after prosecutors launched an 11th hour appeal.
But the Malaysian Court of Appeal on Tuesday dismissed a request by prosecutors that Mr Bird be remanded until the appeal process, which is expected to take at least six months, runs its course.
Mr Bird must first come up with 50,000 Malaysian ringgit ($A16,000) in order to post bail, and will be required to report to police once a week.
He must also surrender his passport.
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It's unclear in the immediate aftermath of Tuesday's ruling if Mr Bird will be able to raise the $A16,000.
Prosecutors are yet to detail the grounds on which they will appeal the case, while the circumstances surrounding last week's drama have also prompted accusations from Mr Bird's lawyers that Malaysian authorities conspired to obtain an "unlawful" warrant for his arrest.
Mr Bird's lawyers also argue that, having been declared by the Kuala Lumpur High Court to be a free man, he should be allowed to return to Australia pending the outcome of the appeal.
