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Cody Walker will face no further investigation from NSW Police after an incident on the Central Coast.

NSW Police have dropped their investigation into allegations of an altercation involving South Sydney five-eighth Cody Walker.

Police were called to a hotel in Terrigal at 2.30am on Saturday April 30 after reports of a disturbance outside the premises.

It is understood that Walker was playing around with family after he had celebrated playing his 150th NRL game with South Sydney on Friday April 29 against Manly at Central Coast Stadium.

By the time officers arrived the group had dispersed with NSW Police confirming their investigation into the incident would go no further.

"Following an investigation by officers attached to Brisbane Water Police District - including a review of available CCTV vision, speaking with security, witnesses and parties involved - no further police action is anticipated," a statement read.

Despite being cleared by the police, Walker could yet face sanctions from the NRL, whose integrity unit was alerted to the incident on Friday.