The venue on Canley Vale Road in Canley Vale was slapped with the fine by NSW Police last night.
It is one of nine businesses fined as part of a COVID-19 safety crackdown by authorities.
Eight other businesses in Fairfield and Canley Vale were each issued a $1000 fine.
Officers with Fairfield City Police Area Command conducted an operation targeting business premises suspected of not complying with the current COVID-19 NSW Health Orders.
“Police continue to appeal to the community to report suspected breaches of any ministerial direction or behaviour which may impact on the health and safety of the community,” NSW Police said in a statement.
“Anyone with information regarding individuals or businesses in contravention of COVID-19-related ministerial directions is urged to contact Crime Stoppers.”