The toddler had been named in a police complaint along with three men, one of whom was his relative.
Police attempted to arrest the toddler on Tuesday - causing his alarmed father to take Ravi to the district court, where he explained the situation to senior police officers, reports said.
Ravi's name was taken off the complaint after the senior officers intervened.
A theft had been reported from Bajehra village in Sitapur district on 20 September, police said.
On the basis of a complaint by the victim and other villagers, police registered a case against four men, including the boy, the Press Trust of India reported.
All four were accused of "theft", "trespassing at night" and "dishonestly receiving stolen property". It is not clear why Ravi's name was included in the initial complaint.
The three accused adults have already been arrested and lodged in jail.
Under Indian law, police cannot file a criminal case against a child below seven years of age, but there have been several instances in the past when police have done so.
