The brother of Australian Test cricketer Usman Khawaja has been charged with trying to influence a witness over a case where he allegedly framed a love rival with a fake terror plot, police said on Friday.

Arsalan Khawaja was released on bail in early December after appearing in a Sydney court on charges of forgery and attempting to pervert justice.

He was re-arrested on Thursday "after allegedly attempting to influence a witness" in the counter-terror investigation, a New South Wales state police spokeswoman told AFP.

The 39-year-old was charged with breaching his bail conditions and influencing a witness in judicial procedures.

His bail was formally revoked by a Sydney magistrate on Friday and he is expected to remain in custody until the next court hearing in February.

Sri Lankan Mohamed Nizamdeen was arrested in August over a "hit list" written in a notebook, which outlined plans to kill then prime minister Malcolm Turnbull.

But police released Nizamdeen in September and later dropped the charges after investigators could not link the handwriting in the notebook to him.

Investigators have said they believe Arsalan Khawaja set up his university colleague Nizamdeen in relation to a dispute over a woman.

Pakistan-born batsman Usman Khawaja, 32, is playing in the ongoing third Test between Australia and India at the Melbourne Cricket Ground.