Tim Moltzen will remain a Tiger after an angry St George Illawarra ended an ugly tug-of-war by deciding not to register his contract with the NRL.
The utility back signed a three-year contract with the Dragons midway through the 2011 season but got cold feet and began frantically backing away from the deal.
The Dragons asked NRL salary cap auditor Ian Schubert to intervene in a bid to sort out the impasse.
After launching a lengthy investigation, he ruled that Wests Tigers had not signed off on a release for Moltzen, therefore remaining on their books.
Schubert found that St George Illawarra acted in good faith throughout the entire negotiation process, criticising Moltzen's manager Martin Tauber for not securing a release before signing a new contract, as stated in NRL rules.
The Dragons could have instigated legal action to challenge the decision but have accepted Schubert's findings, avoiding a messy courtroom brawl.
"Having acted in good faith there is no doubt the Dragons have sought to avoid a difficult situation by withdrawing their registration of the contract," NRL CEO David Gallop said on Thursday.
"It is certainly the case that the NRL has the power to make adjudication where disputes arise. Clearly that is no longer required in the current circumstance."
"The dispute in this case should highlight that contracts are binding legal documents which cannot be entered into lightly by any party."
"It also needs to be noted that the NRL rules contain a number of procedures which protect clubs and players alike and this is a stark reminder of the importance of following those procedures."
Moltzen's trumpeted move instigated a nasty war of words between the Tigers and Dragons back in July.
He had threatened to sit out the 2012 season if forced to the Dragons.
Livid Saints CEO Peter Doust said: "When Tim was told by the Wests Tigers mid-year that he could negotiate with other clubs beyond the 2011 season, Tim and his manager Martin Tauber were very positive about a move to the Dragons and the multiple conversations and meetings supported their commitments arising from the contract they signed."
"The club therefore made certain decisions about its roster for 2012, and beyond, around such commitments and there is no doubt that the actions of Tim Moltzen, Martin Tauber and the Wests Tigers have negatively impacted upon our recruitment process and our roster for 2012."
"Over the past week I met with Tim Moltzen and Wests Tigers CEO Stephen Humphreys to discuss this situation, believing the club should not finalise its position until it had spoken 'face to face'."
"This meeting confirmed that Tim Moltzen wanted to take advantage of the changed circumstances, presented by Wests Tigers, and was not going to honour any of his previous commitments."
Humphreys fired back: "Whilst the statement released by the Dragons today includes certain inaccuracies, we do not see any merit in publicly debating these items."
"We understand that the Dragons are feeling disappointed and disadvantaged but it only serves to reinforce the value of following the generally accepted protocols and procedures that apply in such situations."