Liverpool forward Roberto Firmino will not face disciplinary action from the Football Association after his clash with Everton’s Mason Holgate in the FA Cup tie at Anfield in January.
Holgate had alleged Firmino used a “discriminatory term”.
Following an investigation, the FA concluded the evidence was “not sufficient” to charge the Brazilian.
Firmino, 26, admitted he insulted Holgate, 21, in Portuguese, but denied using discriminatory language.
“We are completely satisfied that the allegation was made in absolute good faith by Holgate and that there is no suggestion of this being an intentionally false or malicious allegation,” the FA said.
“We appreciate that this has been a difficult process for both parties, and would like to express our thanks to Mason Holgate and Roberto Firmino as well as both clubs for their assistance, professionalism and full co-operation during this investigation.”
Firmino said: “As someone who has experienced racist abuse during my life, I know how damaging and hurtful it can be.
“I would like to place on record, for the avoidance of any doubt, I did not say the word, or a variation of the word, that was claimed and subsequently reported in the media.
“I did not use any language that referenced race. I did not – and would never – reference a person’s skin colour or culture, by means of insult, during a dispute or an argument.”
In a statement Liverpool added: “Roberto has co-operated fully with the process and shown a willingness to engage and assist throughout, with the only objective being to discover the truth of what happened.
“We are satisfied that the outcome of the process has exonerated the player of using any racist or discriminatory language.”
The FA took statements from 12 players and officials from both teams, referee Bobby Madley and the fourth official.
None of those interviewed directly heard the words alleged to have been said by Firmino.
Everton said in a statement: “The club welcomes the FA’s expression of complete satisfaction that the allegation made by our player, Mason Holgate, was done so in absolute good faith, that proper process was followed and that there is no suggestion of malice or dishonesty on Mason’s part,
“In challenging circumstances, the FA has reached its determination and, as a club, we accept this.”
The clash in the game Liverpool won 2-1 began when Holgate pushed Firmino over the advertising hoardings and into the crowd, with the Toffees player left furious after the pair subsequently exchanged angry words.
An FA statement after the match said referee Madley was “made aware of an allegation” during the game and included it in his match report, leading to the FA investigation.