If the NPC is a merchant, they will not leave a corpse either (class 41). May also be true for adventure merchants, GMs, and other odd non-player classes.
You can adjust the value in the rule_values table for the rule "NPC:EmptyNPCCorpseDecayTimeMS". Adjust it to however long you'd like empty corpses to stay around. A value of 5000 would leave them for 5 seconds (as it's measured in milliseconds).
Did you restart your server after you added the loot table for him? New loot tables don't take effect until the server is restarted. You can tell if he actually has loot or not by doing a "#npcstats" on him. If you don't get any loot or cash showing from that output, then he doesn't have loot and will require a server restart for the loot to get added to him.
Oh yeah, and also if you #kill a mob without hitting it at least 1 time, they will never leave a corpse.
Yeah I restarted server first. I can tell he had loot because I did #npcloot show and he was wielding the items as well. I did #kill, #damage, and straight meleeing but none of them changed it
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