Ten Australian athletes have been detained for allegedly tampering with their accreditation passes at the basketball venue, News Corp reports.
MORE: Lochte apologies for lying about robbery but stands by gunpoint claim
The athletes are being questioned at a Rio police station accompanied by AOC lawyer Fiona de Jong.
Those involved, thought to be from three different sports, were detained at the basketball venue for the semi-finals in which the Boomers lost to Serbia.
Mike Tancred, the Aussie team's media boss, confirmed police were talking to Aussie athletes.
"Some people tried to tamper with their accreditation," Tancred said.
"They’ve got stopped by people over at the stadium.
"It’s really a matter for the IOC as they’re in charge of accreditations. If you tamper with accreditations it is their problem.
"We’re over there with the lawyer."
UPDATE
AOC lawyer Fiona de Jong later spoke to media, clarifying the situation.
"Early this evening a number of Australian athletes went to support their mates at the Australia- Serbia match," de Jong said.
"Ten of the Australians didn’t have accreditation to be in that part of the venue.
"The Brazilian authorities and us are working through the issues. Nobody has been arrested.
"We will provide you with a more detailed statement when those discussions have advanced. No one has been arrested or charged."
The athletes were moved from their position at a police station to the courthouse, where they are expected to recieve a fine.
Several of the athletes involved have been identified including archer Alec Potts, sevens captain Ed Jenkins, cyclist Matthew Glaetzer and rowers Fiona Albert and Lucy Stephan.
More to come.