The court order followed a motion to dismiss the case by the US Department of Justice regarding Dean Jay Fletcher.
Mr Fletcher fled Tongan authorities to American Samoa where he was arrested last November by federal agents.
Tonga sought extradition and in January, the Honolulu federal court ruled the Secretary of State would make the final determination.
This week a letter from US State Department showed the Secretary of State, Rex Tillerson, had denied Tonga's request for Mr Fletcher's extradition.
