The report says Mathews showed police where he left the three-year-old, about 100 feet outside the family's backyard fence.
In the due course of investigation, Mathews said that coyotes have been spotted in the alley.
A 3-year-old girl is missing, and police blame it on the father. Authorities arrested Mathews on Saturday and charged him with "Abandoning or Endangering a Child". He was able to post the $25,000 bond and get out of jail Sunday night.
Texas Child Protective Services removed Sherin's 4-year-old sister from the home Monday and placed her in protective custody.
Sherin Mathews was last seen wearing black leggings, a pink long-sleeve shirt and pink flip-flops.
The child abduction alert was issued by the Texas Amber Alert Network. About a year and a half ago, the couple announced they adopted a little girl from India.
Perlich said the alert can be re-activated if investigators learn of a particular suspect or vehicle involved in the case and that investigators are working other leads.
News agencies in the Richardson area have reported that Wesley Mathews, 37, and his wife have had prior contact with CPS.
Wesley Matthews did not report his daughter missing until 8 a.m., around five hours after he discovered her gone.
"Sherin is described as 36" tall and weighing around 22 pounds. They towed in the family's two SUV and a minivan, in search "potential evidence".
Anyone with information on her whereabouts is asked to call police at 972-744-4800.