Aragones made the remarks to Jose Reyes during Spain's training session in October 2004.

He then claimed that these comments were to motivate Reyes and apologized publicly to Henry for any offense caused by the remarks.

However, the Spanish Football Association (RFEF) fined him $4,000 and a government body considered the conduct to be racist.

"The court found that the Spanish Committee for Sporting Discipline had incorrectly evaluated the evidence," BBC Sport quoted the RFEF as saying in a statement.

"We now hope that all measures will be taken to clear the good name of the national coach and the RFEF disciplinary committees."