The Director of Public Prosecutions has dropped five charges against a Melbourne man accused of being a terrorist.

Adnan Karabegovic, 26, of Officer, had been facing a total of six charges of possessing the al-Qaeda magazine, Inspire, in connection with assisting in the preparation of a terrorist act, before the DPP recently decided to review the case.

Prosecutor Jeremy Rapke, QC, filed a new indictment against Mr Karabegovic in the Supreme Court on Friday charging him with one count of possessing the Inspire magazine "connected with assistance in a terrorist act".

The offence carries a maximum penalty of 15 years' jail.

Mr Rapke then tendered a copy of the prosecution opening summary to be read to the jury at the start of the trial.