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Budram was arrested with three other people when 16 girls, eight of them minors, were rescued from a building in the Point area, in Durban.
Some of the girls were as young as 12-years-old, and some allegedly under the influence of drugs when they were rescued.
The girls were thought to have been used as drug mules.
National Prosecuting Authority regional spokesperson Natasha Ramkisson, said it was premature for the State to say why the charges were withdrawn against Budram.
Other accused are: Nonduzo Dlamini, 23; Bhabha Dubazini, 29; and Sandile Zweni.
They face charges of dealing in cocaine, human trafficking, keeping a brothel, and living on the earnings of prostitution.
The three told the court they would be represented by private attorneys.
The matter was postponed to March 20, for them to apply for bail, Daffol said.
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