Here are the latest developments in this story:
Snipers and a SWAT team have taken up positions around the Lindt chocolate cafe in Martin place - a big shopping area in Sydney's financial district. Police helicopters are circling overhead. Negotiators are in contact with the gunman, who is said to be in his late 40s to 50s.
An Infosys employee is among the people trapped in the cafe. The IT company said the employee's family had been informed and it was extending all support to them.
(Infosys Employee is Among Sydney Siege Hostages)Five hostages have been released or escaped since the siege began around 9.45 am local time (4.15 am IST).
The other hostages are being made to hold up a flag displaying the Shahada - a profession of faith in Islam, which says, "There is no god but Allah and Mohammad is his messenger". The flag is popular among Sunni Islamist militant groups such as Islamic State and al Qaeda.
The Reserve Bank of Australia said its staff has been locked down inside the building. The nearby US consulate and the Sydney Opera House have been evacuated. The Indian consulate, about 400 m from the cafe, has closed down.
Prime Minister Tony Abbott, who warned of militant plans to strike Australian targets, said there were indications that the hostage-taking was politically motivated. Australia is a staunch ally of the United States in its action against the Islamic State in Syria and Iraq.
Concerns about an attack by Islamists in Australia have been growing for more than a year. In September, a high alert was issued after a spokesman for the Islamic State urged supporters in Western nations, and Australia, to attack civilians or military personnel at home.
Muslim leaders have urged calm, with the Australian National Imams' Council condemning the "criminal act unequivocally" in a joint statement with the Grand Mufti of Australia.
(Australian Imams Condemn Sydney Siege)Prime Minister Narendra Modi tweeted, "The incident in Sydney is disturbing. Such acts are inhuman & deeply unfortunate. I pray for everyone's safety."
The Indian government said queries about Indian nationals would be taken by Deputy Consul General Vinod Bahade at +61 481 453550.(Read more... )
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