Waratahs star Jacques Potgieter has been fined 20,000 Australian dollars for using offensive language after reportedly making homophobic slurs towards Brumbies players.
Brumbies' David Pocock brought the issue up with referee Craig Joubert during Saturday's Super Rugby contest, which Waratahs won 28-13.
An internal investigation was subsequently launched and South African Potgieter has been reprimanded by Australian Rugby Union, with 10,000 AUD of his fine suspended.
Potgieter has since issued an apology for his actions.
"I'm very sorry for any offence caused by what I said on the field during a heated encounter," Potgieter said in a statement released by Waratahs.
"It was an offhand remark made without thought for the hurt it could cause to those around me."
Waratahs chief executive officer Greg Harris lamented the incident and insists the club encourage an inclusive environment.
"Our players have been educated around the importance of respect and integrity on the field and this incident was directly in conflict to these values," Harris added.
"There is no place for homophobia or any form of discrimination in our game and we have endeavoured as a club to embody these values on and off the field.
"We pride ourselves on a strong culture and this incident is by no means definitive of our collective identity as a football club."