- The hostage situation has ended after police stormed the cafe.
- Three people — the gunman and a hostage — have died.
- The gunman has been identified as 49-year-old Man Haron Monis, who is out on bail and facing a charge of accessory to murder in a previous case.
A gunman took a group of more than a dozen people hostage inside a Lindt cafe in Sydney on Monday and forced them to hold up a black flag with white Arabic writing in the window.
Police fired a volley of shells into the building before forcing their way inside the cafe after a 16-hour standoff.
More gunshots followed shortly afterwards. Television footage showed the cafe, which had been in darkness since just after sunset, being lit up inside by gunfire. Several hostages were seen fleeing right before police went in.
Police have named a 49-year-old Iranian, Man Haron Monis, as the gunman. He's currently out on bail and facing a charge of accessory to murder in an unrelated case. Monis has a long rap sheet that also includes charges of sexual assault.
Authorities say 3 people are dead, including the gunman.
Paramedics were on scene.
Here they are entering the building:
And helping hostages:
(This story is being edited live as the story develops. You can refresh it by clicking here.)
Earlier in the day, five people came running out of the cafe. Fifteen people were reportedly still trapped after that.
It is unclear whether the five hostages escaped on their own or were released.
Police negotiated with the hostage-taker for more than 12 hours.
According to videos posted to YouTube that were taken down, a gunman holding the hostages says he is a member of the Islamic State. There is no confirmed connection between the man and Islamic militant groups.
The videos show requests for a safe line of communication with Australian Prime Minister Tony Abbott to negotiate. Hostages in the cafe also contacted media organizations to voice demands from the gunman.
"This is a very disturbing incident," Prime Minister Tony Abbott said in a televised message. "It is profoundly shocking that innocent people should be held hostage by an armed person claiming political motivation."
Police have been unable to confirm the exact number of people in the cafe.
So far, nobody has been harmed.
"It might take a bit of time, and I can assure you we want to resolve this peacefully,"deputy police commissioner Catherine Burn said.
Local news stations captured footage of some hostages fleeing the cafe:
Police are on scene:
A reporter for 7 News in Sydney has been tweeting updates describing the scene:
Police have allowed me back into Martin Place newsroom - gunman is clear - white shirt, black cap, unshaven, holds poss pump action shotgun
— Chris Reason (@ChrisReason7) December 15, 2014
From inside Martin Place newsroom we can see gunman is rotating hostages, forcing them to stand against windows, sometimes 2 hours at a time
— Chris Reason (@ChrisReason7) December 15, 2014
From inside Martin Place we can see the faces of hostages - pained, strained, eyes red and raw. One young am with head in hands
— Chris Reason (@ChrisReason7) December 15, 2014
From inside the Martin Place newsroom - we can see food is being delivered to the hostages. Staff bringing it out from kitchen at back
— Chris Reason (@ChrisReason7) December 15, 2014
All the hostages now huddled at one end of Lindt Cafe, one is covering the window at that end with an apron
— Chris Reason (@ChrisReason7) December 15, 2014
When the 5 hostages escaped, the gunman could be seen from here getting extremely agitated, shouting at remaining hostages
— Chris Reason (@ChrisReason7) December 15, 2014
The lights in the cafe have just gone off
— Chris Reason (@ChrisReason7) December 15, 2014
Still complete darkness at the Lindt Cafe, but you can just make out the black extremist flag being held up in the window
— Chris Reason (@ChrisReason7) December 15, 2014
Here is video direct from the scene as the first of the hostages escaped:
And the second, via Vine:
Abbott has previously warned about militant plans to attack Australian targets.
Australia, which is backing the US and its escalating action against the ISIS in Syria and Iraq, is on high alert for attacks by radicalized Muslims or by homegrown fighters returning from the conflict in the Middle East. There's also the threat of self-radicalized individuals who might claim a connection to a terror group even when none really exists.
Dozens of heavily armed police surrounded the cafe in Martin Place, home to the Reserve Bank of Australia and commercial banks. It's also close to the New South Wales state parliament.
Television footage showed several people inside the cafe standing with their hands pressed against the windows.
Pictures showed a black and white flag similar to those used by the Islamic State group being held up by what appeared to be a staff member and another woman. The flag is not actually an ISIS flag, however.
A couple hundred people were being held back by cordons and the fire brigade's hazardous unit was on the scene, a Reuters witness said.
The Reserve Bank of Australia near the cafe said staff had been locked down inside the building, with all members safe and accounted for.
The nearby Sydney Opera House was temporarily evacuated after a suspicious package was found, a staff member told Reuters. Tourists were being let back into the world-famous venue by early afternoon.
Trains and buses were stopped and roads were blocked in the area, with train operators saying there had been a bomb threat at Martin Place.
Qantas Airways Ltd. said planes were avoiding flying over the central business district but were landing as normal. An ABC News photo shows parts of Sydney looking deserted.
Traders in currency markets said the hostage news might have contributed to a dip in the Australian dollar, which was already under pressure from global risk aversion as oil prices fell anew. The local currency was pinned at $0.8227, having hit its lowest since mid-2010 last week.
Reuters contributed to this report.
SEE ALSO: The Reported Sydney Hostage Taker Is A 'Spiritual Healer' With A Long Rap Sheet