Former Suspect In William Tyrrell Investigation Paid Out In Damages By NSW Police

A former suspect in the William Tyrrell investigation has been paid out in damages by New South Wales police.

Washing machine repairman, William "Bill" Spedding is set to receive almost $1.5 million after suing the State Police for malicious prosecution following unproven allegations. 

Spedding was a person of interest identified by the force, after the disappearance of the three-year-old from the home of his foster grandmother on the north coast in September 2014.

The 70-year-old was later ruled out as a suspect, and cleared of historic child sex allegations. A Supreme Court judge awarded him in legal costs and damages on Thursday.

Six months after William went missing from Kendall, Spedding was outed as a suspect after a search of his home. His arrest came after visiting William's foster grandmother's house to fix her washing machine in the day before he vanished.

In 2018, Spedding was cleared of the allegations at a trial, proving to be falsified during an old legal case.

"No amount of money will restore the life I enjoyed before this terrible nightmare," he said outside court.

"I was prosecuted for crimes I did not commit, all in the hope that my prosecution would further the police investigation of me as a suspect in the disappearance of William Tyrrell."

Mr Spedding said he hoped authorities would remember this specific case for future reference

"This type of conduct engaged in by the prosecuting authorities must be deterred," he said.

Williams has never been found, no charges have been laid.