The racism charge against Harbhajan Singh has been dropped and the three-Test ban which was handed out by match referee Mike Procter after the second Test in Sydney has been lifted. The charge against Harbhajan has been reduced from Level 3.3 to Level 2.8, under which he has been fined 50% of his match fees during the appeal hearing in Adelaide overseen by appeals commissioner Justice John Hansen .

An ICC statement following the conclusion of the appeal said that "a letter signed by all the players involved - from both Australia and India - was tendered into evidence as an agreed statement of facts as to what took place during the Sydney Test match."

During the hearing, oral evidence was called for from all the witnesses to the exchange between Harbhajan and Andrew Symonds - Ricky Ponting, Michael Clarke, Matthew Hayden and Sachin Tendulkar. The witnesses were then cross-examined by Brian Ward, the counsel representing the Australians, and advocate VR Manohar, representing Harbhajan via video link from Mumbai.

"Justice Hansen said he was convinced that, on all the evidence submitted before him, the charge of a Level 3.3 offence was not proven but that Harbhajan should be charged with a Level 2.8 offence." Harbhajan pleaded guilty to this charge, after which the fine was imposed on him.

Cricket Australia's spokesman Peter Young said that both the Indian board and Cricket Australia are happy with the decision. The Indian team, which had threatened to pull out of the tour if the result of the appeal was unsatisfactory.

Harbhajan Singh had been charged with racially abusing Andrew Symonds during the third day of the Sydney Test. The charge was brought by the on-field umpires Steve Bucknor and Mark Benson after they received a complaint from Ricky Ponting, Australia's captain. The incident occurred when Harbhajan was batting with Sachin Tendulkar during India's first innings on January 5. It was alleged that Harbhajan had an argument with Symonds, during which time he called Symonds a "monkey".