Auburn deputy mayor Salim Mehajer has denied allegations that he threatened the family of a Sydney siege survivor Joel Herat after an altercation with Mr Herat's father at a Burwood gym, saying he planned to sue the company for damages, Channel Nine has reported.

Bruce Herat, who works at the Anytime Fitness gym on Railway Parade as a personal trainer, was allegedly confronted by Mr Mehajer after he requested he stop dropping weights on the gym's floor, according to a Channel Seven report on Saturday night.

Mr Herat said Mr Mehajer allegedly followed him to his car and threatened to kidnap his children after repeatedly saying: "Don't you know who I am?"

A spokesman for NSW Police confirmed to Fairfax Media they had received a report of an incident involving two men aged 29 and 52 where a number of threats were allegedly made on September 16.