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I've seen a veteran official in my association use this mechanic effectively, but he stopped the game to warn a player, not a coach, and he did it after a made basket when his team was inbounding the ball so as to not disrupt the game.
I don't think I would stop the game to warn a coach, especially if I was not a familiar official to that coach. I'd either T him up if it was warranted or wait for a stoppage in play and then let him know that I have heard enough.
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