Demonstrators remained at Toronto's Nathan Phillips Square this morning after an all-night rally held to protest a decision by Ontario's police watchdog to recommend against charges in the shooting death of Andrew Loku.

​Loku, 45, was shot last July after an interaction with police. Police say he refused to comply with demands to drop a hammer and threatened to kill a friend of a guest in the apartment.

The provinces' Special Investigations Unit (SIU), which probes all police shootings, found that the subject officer felt under threat when he fired his weapon and that the officer's apprehensions were reasonable.

Black Lives Toronto co-founder Sandy Hudson told CBC News the SIU's decision not to proceed with charges is "disgusting." She was also critical of an investigation process that she said lacks transparency. 

"We have no idea whether the police officers who killed Andrew Loku are still on the streets," said Hudson. 

Protesters outside City Hall are also angry with a recent decision to reduce the popular Afrofest music festival from two days to one day due to noise violations. 

"You have eight people who made a complaint, who shut down something that tens of thousands of people go to every year," said Hudson.