Elvis Presley's daughter is currently locked in a bitter divorce battle with MICHAEL LOCKWOOD after filing to end their 10-year marriage in June (16).

Last month (Feb17), court papers lodged by Lisa Marie revealed the former couple's twin daughters, eight-year-old Finley and Harper Lockwood, had been removed from the family home after she reportedly discovered the indecent images and videos on Michael's electronic devices.

"I was shocked and horrified and sick to my stomach," she wrote in her filing.

Michael denied the accusations and blasted his "vindictive" ex for trying to damage his reputation, and now officials at the Tennessee Bureau of Investigation have confirmed no charges will be filed against the music producer.

"Barring any new potential evidence or information, we have concluded our involvement in this matter," T.B.I. Public Information Officer Josh DeVine tells People.com. "We have not been able to determine a crime occurred in Tennessee and accordingly do not have an open investigation."

The representative also insisted officials had "never opened a formal investigation".

"We only embarked on an initial inquiry to determine if we could substantiate information with which to open a case," he added.

Finley and Harper have been staying with their maternal grandmother, Priscilla Presley, during their parents' legal wrangle, and Elvis' ex-wife insists the girls have been doing just fine in her care.

"It's still a very family-oriented environment for them," the 71-year-old told Entertainment Tonight on Wednesday (01Mar17). "They've been with me for - it'll be over nine months. They're great. They're doing wonderful. They're living a great life. They see both their parents, and we'll see what happens."

Priscilla had previously revealed she was looking after her grandchildren amid reports suggesting the kids had been placed in care by concerned officials at California's Department of Children and Family Services (DCFS).

Sharing a picture of the girls playing in a swimming pool on Facebook last month (Feb17), she wrote, "Let me put this to rest... the girls have not been in foster care and never will be. The girls have been with me and will be until all this is sorted out."

"Thank you from the bottom of my heart for 'all' your positive support," she added.

Lisa Marie, 49, married Lockwood, 55, in 2006. They are heading to trial in March (17) to determine the future of their children.