An unlawful prayer hall linked to a notorious Islamic preacher has been fined for allegedly breaching a shutdown order.
The City of Canterbury Bankstown has issued a $3000 fine to the Al Madina Dawah Centre for continuing to operate despite being ordered to close in December.
The Bankstown prayer hall has previously hosted hardline sermons by controversial preacher and part-time carpet layer Wissam Haddad.
Three in late 2023 contained "devastatingly offensive" claims based on the race or ethnicity of the Australian Jewish community, the Federal Court held in July.
The prayer hall "blatantly ignored" orders forcing its closure, an investigation by the council's compliance team found.
"Council has been conducting surveillance of the premises, and it is quite clear there is still unauthorised use," a council spokesperson said on Friday.
"Despite the front gates being closed, we observed several people using the back door, and a stream of people were coming and going."
The prayer hall announced it would close its doors in a statement shared to social media on Wednesday.
Multiple attempts were made to contact its operators on Friday.
Home Affairs Minister Tony Burke linked the closure to the Albanese government's efforts to clamp down on hate speech in the wake of the Bondi terror attacks.
"The fight against hate never ends, but it is clear our legislation has hit the mark and should be supported," he said.
But a spokesperson for the council told the AAP activities have been ongoing at the centre since it announced it would close on Wednesday.
The Al Madina Dawah Centre came under renewed scrutiny following reports alleged Bondi Beach gunman Naveed Akram visited the centre as a worshipper.
Akram also served as a street preacher for Mr Haddad's Dawah Van organisation in his teenage years.
Haddad has distanced himself from Akram, denying any association.
The council says the Bankstown building from where the centre operated, was only authorised for use as a medical centre.
Asked whether ongoing activity at the site could be related to the medical centre, a council spokesperson told the AAP its investigations indicated otherwise.
Mr Haddad, born and raised in Australia, is also known as Abu Ousayd or "father of Ousayd" in the Muslim community, in recognition of his eldest son Ousayd.
