Items were seized from an address in Mooloolaba on Saturday that led to officers arresting the 40-year-old man.
Mr Carelse was charged with one count each of possessing and distributing child exploitation material.
He was due to appear at Maroochydore Magistrates Court on May 5.
Water Polo Queensland chief executive officer Melanie Woosnam confirmed Mr Carelse has been suspended from working at the organisation.
“Water Polo Queensland Inc. (WPQ) wish to advise that Mr. Dean Carelse has been suspended from employment with immediate effect as the Game Development and Competitions Officer for the Sunshine Coast Region because he has been charged with serious criminal offences,” she said in a statement.
“This is now a matter for Queensland police and part of an ongoing investigation. There is nothing to indicate that any child associated with WPQ has been harmed.
“WPQ would like to reassure all of our members that the safety and welfare of our junior members is of paramount importance and safeguarding our people remains our priority. WPQ are committed to continuing to provide the support necessary to ensure the protection and wellbeing of all children within our sport.”
Detectives appealed for anyone who might have had interactions with the man or knew of any potential victims to come forward with information.