Australian media had initially reported that the BCCI has called for a probe into some players' restaurant visit.
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However, the Indian board dismissed the claims, terming them "a malicious spin by a section of Australian media".
Speaking to PTI, a senior BCCI official said the Indian squad is "well aware" of the COVID-19 protocols and had not violated any of them.
"No, there has been no breach in bio-security protocols. Everyone associated with the Indian team is well aware of the protocols," the official said on conditions of anonymity.
The controversy erupted after a fan, identified as Navaldeep Singh, shared pictures and videos of Indian cricketers on Twitter. In the post, players namely Rohit Sharma, Rishabh Pant, Navdeep Saini and Shubman Gill were seen having a meal at a restaurant.
The fan, who claimed that he paid for the players’ meal, later apologised for saying that he had been hugged by Pant.
According to the guidelines, players are allowed to eat out given that they take necessary precautions.
"We can only term it as a malicious spin by a section of Australian media and this has started after their humiliating defeat," he added.
Despite not being backed by any statements from BCCI, Cricket Australia or the Indian team management, Sydney Morning Herald reported that the restaurant visit was a breach of bio-bubble protocol.
"The Australian media at times acts as an extension of their cricket team," the BCCI official said.
With a thumping 8-wicket win in the second Test at MCG, India levelled the four-Test series 1-1 last week.
The third Test will be played at the iconic Sydney Cricket Ground from January 7 to January 11.
(With PTI inputs)