The Auxerre midfielder, who is set to quit the French club this summer, is alleged to have stolen a necklace in Daegu during a break from training.
A police spokesman claims they are still looking into the matter, although the necklace is only believed to be worth £157.
The player was not arrested, and will be keen to clear his name before the finals get underway on Friday when his Senegal side face France.
27-year-old Fadiga has yet to make a comment, and there will be some concern that the incident is identical to the Moore situation, when the late, great former England captain was framed.