A decision by a police officer to fire a warning shot while pursuing a man on foot was 'inappropriate'.

The findings of the Independent Police Conduct Authority into a fleeing driver incident and gunfire in Tolaga Bay in June 2018 were released on Tuesday.

The incident relates back to June 28, where police received two calls reporting that a man was "causing a disturbance outside the Tolaga Bay Inn".

The man, who was known to the the two officers, left the scene before police arrived.

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A witness said 'someone' had yelled out that the man had a gun, though they were unable to confirm.

While driving home, one of the officers saw the man's ute and began a pursuit which would last 34 minutes, mostly on a forestry road.

The fleeing man rammed two police vehicles and drove into the path of a logging truck.

When the pursuit ended the man ran into the forest, followed by one of the officers who drew his pistol and fired a warning shot into the ground.

Two dog handlers searched for two hours but were unable to locate him. He was arrested the next day in Gisborne.

STUFF The Independent Police Conduct Authority said it was 'inappropriate' for a police officer to fire a warning shot at a fleeing driver. (File photo)

The IPCA found that although the decision to attempt to stop and then pursue the vehicle when it failed to stop was justified, the pursuit should have been abandoned earlier.

"Immediate apprehension of the man was unnecessary as Police had good reason to believe they knew who the man was and could locate him later. Leaving him to continue driving, unpursued, would have likely resulted in less risk to others," Authority Chair, Judge Colin Doherty said.

The report said it was "inappropriate for the officer to fire a warning shot".

Following the incident, "a full debrief was conducted", and "the officers involved were spoken to, and there have been learnings come from it".

Tairawhiti Area Commander Inspector Sam Aberahama said police officers were driven "by an absolute motivation to do the right thing, but unfortunately don't always make the right decisions in the heat of the moment".

"Our officers make decisions as quickly and safely as they can in the situations they are faced with. Their safety is of absolute importance.

"However, in this instance I acknowledge that the officers should have made different decisions for their safety and the safety of the community."

The authority determined the officer was justified in starting a pursuit, but should have abandoned it when he was first rammed.