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The incident occurred at the Gabba in Brisbane, where the Brisbane Lions hosted the Gold Coast Suns on Saturday in the second week of the AFL finals.
According to police, the man’s actions were reported by fellow fans to police, who took the man into custody.
A 39-year-old Pratten man was subsequently charged with one count of public display of giving a Nazi salute.
Queensland Police said they were continuing investigations, and were unsure if the man had any links to any far-right groups.
“We haven’t identified any links at this stage, but we will investigate the full background of this person,” Acting Deputy Commissioner Mark Kelly told media.
“At this point this person has just been charged with doing the Nazi salute, and it’s before the court.”
The man is expected to appear before Brisbane Magistrates Court on September 29.
There were no other reported incidents from Saturday’s match, which had an attendance 36,628 people.
Brisbane Lions comfortably won the match over their local rivals 14.16 (100) to 6.11 (47).