The Football Association has found no evidence Manchester City made a banned payment to former player Jadon Sancho's agent when the England winger was 14.
German magazine Der Spiegel claimed City paid Emeka Obasi £200,000 when they signed Sancho, now at Borussia Dortmund, from Watford in March 2015.
Young players cannot be represented by an agent until the year they turn 16.
The FA opened an investigation in February but it has now concluded there is no evidence to back up the claims.
The governing body reserves the right to reopen the investigation if new information becomes available.
The Premier League champions paid an initial £66,000 in compensation to Watford to sign Sancho.
Having never made a first-team appearance for City, he moved to German side Dortmund for £8m in August 2017.
The 19-year-old was one of the star players in the Bundesliga last season and has made 10 international appearances for England.