is this information is correct that in mcc neet ug counseling rounds 1 if I am allotted a seat but didn't report there there then that seat will be cancelled and I again can take part in rounds 2 counseling.

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Yes. This process is called Free Exit. For example, if you have been allotted a seat and your joining is on or before November 10th, if you do not report to the College on or before November 10th, it will be considered as Free Exit. You will not be penalised and you can participate in the Round 2 of All India Counselling. But you have to fill in fresh choices again. Please read the FAQs available at: https://mcc.nic.in/UGCounselling/Documents/FAQMCCUG2019.pdf . But this option is only available for Round 1 and not for further rounds.