Police in Western Australia state received a report that the teacher at Avonvale Primary School in Northam, near Perth, used a jump rope to tie the child to a chair last week.
The state Education Department's Standards and Integrity unit is investigating the allegations.
The unit's director, Eamon Ryan, said today that the teacher was suspended immediately after the department learned about the complaint.
Education Department Director General Sharyn O'Neill said the teacher's alleged behaviour was unacceptable. Officials have not revealed the teacher's identity.
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