The Commonwealth Director of Public Prosecutions (DPP) has decided not to proceed further with one of two charges brought against former HIH Chairman Geoffrey Cohen, who already faces a charge of not taking reasonable steps to ensure that the information he gave to shareholders at the HIH AGM in December 2000 was not misleading.

The second charge, of knowingly giving misleading information, will not be pursued.

ASIC alleges that in his chairman's address, Mr Cohen made misleading statements about the joint venture between Allianz Australia and HIH. These statements related to the effect of the joint venture on HIH's cash flow and the payment of $200 million by Allianz to HIH.

Mr Cohen will appear in Sydney's Downing Centre Local Court on February 26.