India's management backed off-spinner Harbhajan Singh on Monday following reports that he made monkey gestures to the crowd during the first tri-series final against Australia in Sydney.
The reports quoted a spectator as saying Harbhajan had scratched his armpits and spat after being heckled by sections of the crowd during the match at the Sydney Cricket Ground on Sunday.
Harbhajan was banned for three Tests for allegedly calling Australia all-rounder Andrew Symonds a monkey during the second Test in January at the same venue. The punishment was later reduced on appeal.
"I think it is wrong," India manager Bimal Soni told reporters. "Nothing has been done like that. They are making a mountain out of a molehill. He did nothing.
"These stories I do not believe them and I strongly condemn them."
India beat Australia by six wickets in the first tri-series final and will clinch the tournament with victory in the second match in Brisbane on Tuesday.
Soni said his team is concentrating on cricket.
"We do not talk about it, we only talk about the cricket on the field and we do not want to talk anything about these things," he said.
Australia batsman Matthew Hayden was reprimanded last week for describing Harbhajan as an "obnoxious weed" in another of the controversial incidents which have marred India's tour.