Legal Aid drops Mickelberg refund bid

Western Australia's Legal Aid agency has dropped court action to recoup legal fees from Ray and Peter Mickelberg, who were wrongly jailed for the Perth Mint gold swindle.

Ray Mickelberg spent more than eight years in jail and Peter nearly seven after they and their late brother, Brian, were framed by detectives and wrongly convicted in 1983 of stealing more than $650,000 in gold bullion.

The brothers were given an ex-gratia payment of $500,000 each in a 2008 deal made with then attorney-general Jim McGinty, which included payment of legal aid the Mickelbergs needed to clear their names.

But Legal Aid went on to seek nearly $300,000 from Ray and Peter Mickelberg after claiming their legal debt wasn't covered by the ex-gratia deal, WA Today reported.

In a statement on Friday, WA Attorney-General Michael Mischin said Legal Aid was withdrawing its action seeking reimbursement from the Mickelbergs.

"It is important Legal Aid clients and WA taxpayers understand that Legal Aid operates independently of government.

"That said, I am glad this has been resolved quickly, and I am confident that all circumstances surrounding this case have been taken into account," Mr Mischin said.