A Mexican federal judge canceled an arrest warrant issued earlier for Eduardo Cepeda, JPMorgan Chase & Co.'s country head, and another JPMorgan employee, Reuters reported.

The warrant was issued over accusations of fraud related to a loan that the bank granted to real estate developer BVG World in 2007. BVG filed a case against JPMorgan for fraud, unjust enrichment, defamation, civil racketeering and other wrongdoing over allegedly fraudulent property transfers.

JPMorgan confirmed the cancellation in a statement and said prosecutors are not pursuing any further actions in the case, though it did not give a reason for the cancellation, the report added. The bank had earlier denied any wrongdoing.