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There are really two separate questions here. The first question is whether, legally, the state can go forward if he wants drop charges. The second question is whether they actually will.
From a purely legal perspective, the state can proceed even though the cousin doesn't want them to. The crime of theft only requires that something be taken against the will of the actual owner. In theory, they don't need the owner on board to do that. They only need him to testify to what he originally said. With that said, most DA's offices will not continue to pursue charges if the victim doesn't want to anymore. It's just not worth their time and resources if the victim doesn't want them to proceed.
If the state drops charges as a result of the victim no longer wanting to press charges, he will not have to go to court any more.