Sydney Thunder off-spinner Chris Green was Wednesday banned from bowling for three months after being found to have an illegal action.

The 26-year-old was reported by the umpires after Thunder's Twenty20 Big Bash League clash with the Melbourne Stars in Sydney on January 2.

Under Cricket Australia protocols, he then underwent testing at the National Cricket Centre, with the results showing an illegal bowling action.

"We'd like to commend Chris and the Thunder for the way they have approached this process with complete cooperation and respect," said Cricket Australia's head of operations Peter Roach.

"Chris undertook testing at the earliest possible time and satisfactorily replicated his bowling action in the controlled environment.

"We look forward to working with Chris in the coming months and conducting further testing once the suspension period has elapsed."

Green can still be picked as a batsman but withdrew from Wednesday's return showdown against the Stars in Melbourne.