Victoria Police has been criticised by the state's anti-corruption watchdog for its "failure" to properly investigate the actions of officers who shot two people at a Melbourne nightclub two years ago.

Key points: The ABC understands the two people who were shot are set to be paid $3 million by Victoria Police

The ABC understands the two people who were shot are set to be paid $3 million by Victoria Police At a press conference, Deputy Commissioner Shane Patton said the officers had "acted in self-defence"

At a press conference, Deputy Commissioner Shane Patton said the officers had "acted in self-defence" A police "failure" to properly investigate the shooting could result in risks to public safety, the anti-corruption watchdog said

The pair on Wednesday received one of Victoria's most significant compensation payouts from Victoria Police over the shooting blunder.

Dale Ewins, 35, and Zita Sukys, 37, took legal action against police after they were shot during a botched raid during an erotic fancy dress party at Inflation nightclub in July, 2017.

Mr Ewins was carrying a fake gun when the Critical Incident Response Team (CIRT) members surrounded the pair and opened fire.

Mr Ewins was shot in the back, tasered three times and forced to the ground, while Ms Sukys was shot in the leg.

Dale Ewins and Zita Sukys were shot by police at Inflation Nightclub in Melbourne two years ago. ( Facebook )

Victoria Police Deputy Commissioner Shane Patton said at a press conference on Thursday that an investigation conducted by police after the shooting found the officers "acted in self-defence".

Deputy Commissioner Patton said now that legal proceedings were finished, Victoria Police would launch a fresh review into police conduct "immediately".

His defence of police came as Victoria's Independent Broad-based Anti-corruption Commission (IBAC) announced it had found Victoria Police failed to conduct any Critical Incident Review of the conduct of the police.

"The failure of Victoria Police to review police conduct could result in potential ongoing risks to members of the public and Victoria Police," IBAC Commissioner Robert Redlich QC said.

"Victoria Police has failed to assess the planning and actions of the police officers involved in this incident.

"Victoria Police's oversight of these serious incidents must be thorough and impartial so that the community can be confident the police actions were appropriate and to identify how to prevent similar incidents from occurring in future."

The eleventh-hour settlement between Victoria Police and Mr Ewins and Ms Sukys came on day three of a Supreme Court trial, after the couple agreed to drop the case against police.

The ABC understands the pair is set to receive about $3 million.

Commissioner Patton also said an apology was issued to Ms Sukys but not Mr Ewins.

"The finding we have at this stage is that the police acted in self-defence. Now we will look at all of the facts and see if … anything changes," he said.

'Who actually did this?'

Arnold Thomas & Becker lawyer Kim Price said the compensation was "one of the most significant ever" financial settlements against Victoria Police.

He said his client was left with catastrophic injuries, included a shattered shoulder and post-traumatic stress disorder (PTSD).

Dale Ewins needed 12 surgeries after the shooting. ( Supplied )

"He had to endure over 12 surgeries as a result of the brutal attack and will likely require more in future," Mr Price said.

"Dale was also vilified by allegations made by Victoria Police following the incident that he levelled a firearm at police."

Inflation nightclub owner Martha Tsamis told Melbourne radio station 3AW on Thursday morning she supported an independent investigation into the matter to bring "closure".

"I think they want someone to investigate it and hold those people responsible. They are traumatised," she said.

Ms Tsamis also confirmed she had received a confidential sum over the shooting.

While "very satisfied" with the outcome, Ms Tsamis said they deserved answers and an independent investigation into why police opened fire.

"What investigation has taken place for the people that actioned the shooting, did the shooting, and everything that happened after the shooting?" she asked.

"We need answers, you know. Who actually did this?"

CCTV footage showed a policeman speaking closely to a patron at Inflation Nightclub in Melbourne before Mr Ewins and Ms Sukys were shot. ( Supplied )

In an audio recording from the aftermath of the shooting, Mr Ewins repeatedly yelled "it's a fake gun" as he was tasered by CIRT members.

Ms Tsamis was upstairs at the club when police first arrived and informed the manager they had received a tip-off about a man with a gun.

She said security told police it was a toy gun before the shooting.

CCTV from inside the bar also appeared to show Mr Ewins showing the toy to a barman and laughing earlier in the night.

The plastic gun used in the Inflation Nightclub shooting in 2017. ( Supplied )

Opposition Leader Michael O'Brien said innocent people should never have been shot.

"Taxpayers have got the right to ask the Chief Commissioner what is happening to our money and why these things are happening," Mr O'Brien said.

Police Minister Lisa Neville said the settlement was not approved by the State Government.

"This is a matter that police have resolved," Ms Neville said.