A PSNI note from 2015 also said that officers believed Dennis Hutchings had at least 10 seconds to decide whether to use lethal force. Hutchings is charged with the attempted murder of John Pat Cunningham in Co Tyrone in 1974.
The 80-year-old former member of the Life Guards from Cawsand in Cornwall, also denies attempted grievous bodily harm with intent.
Mr Cunningham was 27 but had the mental age of a child. He was killed as he ran from an Army patrol near Benburb.
At the non-jury trial a note written by DCI Peter Montgomery in April 2015 was read out outlining the reasons for arresting the veteran.
It said he chose lethal force and "has failed to account for this based on legal advice he received at the time".
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Mr Cunningham "was shot in the back, running away and was not in possession of any firearm or terroristrelated munitions".
Mr Montgomery added he wanted the former soldier to account for it "because even if he claimed there was a threat, it diminished with every footstep running away".