Greens councillor Jonathan Sri could have his powers to participate in citizenship ceremonies stripped after suggesting a meeting was held on "stolen land" and criticising the Australian government.
Assistant Minister for Immigration Alex Hawke has written to Cr Sri following comments the Brisbane councillor made during the Diwali Festival in October.
In the letter, Mr Hawke said the code for citizenship ceremonies stated they could not be used as a forum for political, partisan or religious expression, and he argued Cr Sri had made comments that constituted "political expression", with some attendees offended.
He said the department was contacted by a "concerned attendee" who said Cr Sri's comments included identifying himself as a member of the Greens, rather than as a councillor for the Gabba Ward, and suggesting those present were meeting on "stolen land" and discussing genocide.
The complaint also included: "Your suggestions that the Department/Australian government has implemented costly and complicated processes, which make it difficult to obtain citizenship and for people to bring family members to Australia, and that this is motivated by racism and xenophobia," Mr Hawke wrote.
Mr Hawke said he was considering revoking Cr Sri's authority as a councillor to participate in citizenship ceremonies in the future.
He said an official had warned Cr Sri before his speech that citizenship ceremonies must not be used as a forum for political expression, and sent him a copy of the Australian Citizenship Ceremonies Code.
"I invite you to provide an explanation of your behaviour before I make a decision," Mr Hawke said.
In August, the federal government stripped Yarra City Council of its right to hold citizenship ceremonies after it voted to no longer recognise Australia Day on January 26.
Mr Hawke wrote to all councils in August to remind them of their requirements under the code.
Australia Day has been a national public holiday since 1994, marking the arrival of the first British ships in 1788. It has also become known as Invasion Day among many Indigenous Australians.
In a reply letter sent to Mr Hawke this week, Cr Sri said he was "deeply concerned".
"It is bizarre and troubling that your government would attempt to censor and restrict public statements about immigration policy, or about the simple truth that Australia was invaded," he said.
Cr Sri said he mentioned during his acknowledgement of country, as he did at many public events, that the "Australian continent was stolen from its rightful owners and that Aboriginal sovereignty was never ceded".
"I didn't make a big song and dance about it," he said.
Cr Sri said he often received feedback from new migrants about the cost and bureaucracy involved in applying for Australian citizenship.
But he agreed official speakers at citizenship ceremonies should not use the platform for "self-aggrandising party political statements".
"I did not do this during my speech," he said.
"The bulk of my speech was focused on welcoming and congratulating new citizens, and I received positive feedback about the tone and content of my comments from several attendees."
Cr Sri argued the legislation applied to all Brisbane City Councillors and a decision to ban him from officiating citizenship ceremonies would apply equally to all the city's councillors.
Queensland Greens senator Andrew Bartlett said it was "rubbish" to strip Cr Sri of the power to engage in citizenship ceremonies because of his comments.
