You need a global variable to remember whether or not you collided with another sprite.
Call the variable I_Collided, for example.
At Screen1.Initialize time, set I_Collided false.
When you collide, set I_Collided true and global Destination_x and y from the target's x and y.
When you start the drag, save starX and startY in global variables, for the original coordinates.
When you get TouchUp on the draged sprite, check I_Collided:
If true, set its x and y to Destination_x and ..._y,
otherwise set its x and y to Original_x and _y
set I_Collided = false to prepare for the next drag.
ABG