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Hostage Situation Erupts In Sydney, Australia Cafe

NEW YORK (CBSNewYork/AP) -- A gunman took an unknown number of people hostage inside a chocolate shop and cafe in Sydney, Australia Sunday night, Eastern Standard Time.

As CBS2's Alice Gainer reported, video shows people with their hands in the air near the windows of the shop. It's estimated there may be 10 staff and as many as 30 customers.

Two people inside the cafe were seen holding up a black flag with what appeared to be white Arabic writing on it.

Late Sunday, three people were seen running out of the building where the hostage situation is unfolding.

Police quickly closed off streets in the area and offices were evacuated. The public was told to stay away.

"We have not yet confirmed it is a terrorism-related event -- we're dealing with a hostage situation with an armed offender and we are dealing with it accordingly,'' Scipione said.

Back in New York City, Adam, the bartender at The Australian on West 38th Street, said the hostage situation is shocking.

The Australian bar
The Australian on West 38th Street (credit: Roger Stern/1010 WINS)

"Shocking; don't know too much about it, it's sort of only broken over here. But yea definitely, just shocking," he told 1010 WINS.

The cafe is located in Martin Place, a plaza in the heart of the city's financial and shopping district that is packed with holiday shoppers this time of year. It is home to the state premier's office, the Reserve Bank of Australia, and the headquarters of two of the nation's largest banks. The state parliament house is a few blocks away.

"We don't know whether this is politically motivated, although obviously there are some indications that it could be,'' Prime Minister Tony Abbott told reporters in the nation's capital, Canberra. "We have to appreciate that even in a society such as ours, there are people who would wish to do us harm.''

A police spokeswoman said no injuries had been reported from the incident. Heavily armed officers were lined up outside the cafe, and a man with a backpack inside the cafe could be seen walking back and forth in front of the glass doors.

"The whole point of politically motivated violence is to scare people out of being themselves,'' Abbott said. "Australia is a peaceful, open and generous society -- nothing should ever change that. And that's why I would urge all Australians today to go about their business as usual.''

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(TM and © Copyright 2014 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2014 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

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