The Formula 1 star found himself in trouble with authorities in Victoria on Friday night (26Mar10) - just hours after he set the fastest qualifying time for the Australian Grand Prix at 1 minute, 26.801 seconds - when he was caught performing a "burnout with smoking tyres and a fishtail" metres away from a police van.
His Mercedes-Benz was impounded and the 25 year old will face a charge by summons with improper use of a vehicle, according to the Herald Sun.
Policeman Scott Woodford tells the newspaper, "It would have been fair to say he was fairly disappointed."
Hamilton has now apologised for his actions, admitting he made a "silly mistake".
He says, "This evening, I was driving in an over-exuberant manner and, as a result, was stopped by the police. What I did was silly, and I want to apologise for it."
Hamilton previously had his vehicle taken away by cops in France in 2007 after he was caught speeding.