Ross County midfielder's Rangers comment charge is dropped by SFA
The 35-year-old had been accused of breaching an SFA rule which states that individuals should not use "threatening, abusive, indecent or insulting words or behaviour".
However the charge has been dropped over insufficient evidence ahead of a virtual hearing, the PA news agency understands.
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Hide AdGardyne denied saying anything discriminatory during the Scottish Premiership clash on December 6 amid accusations that he had used a homophobic slur after tangling with the Colombian shortly before half-time in the match, which Rangers won 4-0.
The former Dundee United and Kilmarnock player was booked by referee John Beaton for using foul and abusive language and Rangers defender Connor Goldson reacted angrily to Gardyne's comment.
Ibrox manager Steven Gerrard later claimed that "what was apparently said doesn't belong on a football pitch". However, Gardyne's agent, Tom Callaghan, later insisted the only phrase the player used was to call Morelos a "f***y".
County took no action against him following an internal investigation but the SFA planned a probe into the incident this month, however the governing body has now updated the disciplinary charge status to ‘withdrawn’.
In a statement the Dingwall club said: "Ross County FC today welcomes the SFA's decision to withdraw the notice of complaint served to Michael Gardyne.
"We now consider the matter closed and will be making no further comment."
Gardyne was an unused substitute for the latest meeting of the sides, on Saturday, which Rangers won 5-0.