Reversed call on catch

[just another ref]

Braves-Mets today: Outfielder shorthopped Heyward's ball in left field, 3B umpire signaled catch. Meanwhile Prado was runner at first headed to second, and was told no catch by 1B ump. He halfhearted retreated to first after seeing that it was called a catch, and was tagged by the first baseman.
Umpires conferred, and ruled no catch was correct and put Prado back and second and left Heyward at first. Was this handled correctly. Does the missed call providing bad information somehow cause the ball to become dead and nullify the tag or what?