The 49 year old was arrested in the Coleraine area on Wednesday, December 11, on suspicion of murder.
Jonathan’s body body was found in a shallow grave in Loughermore Forest after he was attacked as he made his way home from a night out in the early hours of April 25, 1999.
As well as being arrested for murder, the suspect was also detained for withholding information and perverting the course of justice.
He has now been freed as police continue to hunt for the evidence to bring Jonathan’s killers to justice.
Last month, three people – two men and a woman – were arrested in connection with Jonathan’s callous murder.
A 51-year-old man was arrested in the Limavady area and a 43-year-old man in the Ballykelly area on suspicion of withholding information.
The suspects were taken to Coleraine Police Station for questioning but were later released on police bail.
A 44-year-old woman who was arrested in the Dungiven area the same week on suspicion of murder was also later released on police bail pending further inquiries.
Detective Inspector Adrian Brown said at the time: “I continue to appeal for information in relation to Jonathan’s murder. For over 20 years, Jonathan’s family and friends have suffered intolerable grief and they deserve answers.
“I understand their desire to see justice done and I believe that people within the Ballykelly community have information that could assist my investigation.
“Some people were not prepared to come forward at the time for a variety of reasons but I am asking people to search their conscience and think again.“Circumstances and loyalties may have changed over years and it is never too late to do the right thing.
“Anyone with information should call detectives on 101.
“Or, if someone would prefer to provide information without giving their details, they can contact the independent charity Crimestoppers and speak to them anonymously on 0800 555 111.”