A three-judge panel of the Federal Court of Appeal ruled there was insufficient evidence to hang Mr Chan King Yu, who was arrested for alleged possession of methamphetamine eight years ago while on a business trip in Malaysia.

'I'm happy. I don't know what to say,' Mr Chan, 37, who also holds a British passport, told reporters after his handcuffs were removed.

'I just want to go back home fast. I stayed here so long,' said Mr Chan, a truck driver and part-time bartender.

He was sentenced to death by the High Court in 2002 after prosecutors said police found more than 9 kilograms of the drug in his hotel room in Kuala Lumpur during a raid two years earlier.

Mr Chan's lawyer, Muhammad Shafee Abdullah, argued that police framed his client by breaking into his room and planting the drug.

On Friday, the court ruled that Mr Chan should be acquitted because it was unclear whether he knew the drugs were in his room.

The judges also said previous court decisions had failed to take into account discrepancies in witness testimony.

'I'm of the view ... there is a clear fabrication of evidence,' Judge Hashim Yusoff said in his ruling. He did not say if the police involved in the case should be investigated.

A police spokesman refused to comment on the verdict, saying he was not authorized to comment on a case like this.

The prosecution said it accepted the verdict because it was a majority decision by the court.

After the acquittal, Muhammad Shafee called for a review of the death penalty, which is mandatory for drug trafficking in Malaysia.

'You know we can easily make a mistake,' he said.

In a separate case on Friday, a Kuala Lumpur High Court sentenced two Indonesians to death for drug trafficking, said their lawyer, Kartar Singh.

Mohamad Idris and Jainudin, both 32, were found guilty of trafficking 5.5 kilograms of marijuana in 2002, he said. -- AP