In the video shared by an Israeli influencer, one nurse in a NSW Health uniform boasts of sending Israeli patients to hell while another says "I won't treat them, I'll kill them."
An update on the investigation will be provided on Thursday.
"This is a sad day for our country, it is unthinkable that we are confronted with, and forced to, investigate such an appalling incident," NSW Police Commissioner Karen Webb said.
"The speed in which this incident was reported by NSW Health significantly assisted detectives in what is a very serious investigation."
Detectives have examined CCTV footage, interviewed staff and pinpointed areas within Bankstown Hospital where they believe the video was allegedly filmed as part of the ongoing Strike Force Pearl.
An initial investigation of incidents and safety issues by NSW Health found no indication claims Israeli patients had been denied treatment or killed were true.
The video was widely condemned by political leaders, including Prime Minister Anthony Albanese who said the footage was "sickening" and shameful and NSW Health Minister Ryan Park.
The two nurses were captured using a website for random video chats when they spoke with an Israeli influencer.
The male nurse, later identified as an Australian citizen and Afghan refugee with six years of nursing experience, falsely claimed he was a doctor and told the Israeli man he was "going to go to" hell.
NSW will later this year hold a parliamentary inquiry into anti-Semitism with a wide remit from security arrangements at synagogues to Holocaust education for students.
Liberal MP Chris Rath, who put forward the motion for the inquiry and is part of the Parliamentary Friends of Israel group, vowed to fight for the Jewish community.Â
"We will not accept anti-Semitic language and graffiti, doxxing, boycotts, death threats and violence as an acceptable means of public discourse," he said.
"This inquiry is an opportunity to address past failings and correct course, taking proactive leadership to ensure anti-Semitism is stopped in its tracks."
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