SYDNEY (Reuters) - Australian police cordoned off one of Sydney's main business areas on Monday, with media reporting that hostages were being held in a cafe.
Part of Martin Place, home to the Reserve Bank of Australia, commercial banks and close to the New South Wales (NSW) state parliament, was closed off by armed police.
Live television footage showed patrons inside a cafe standing with their hands pressed against the windows. A black and white flag similar to those used by Islamic State militants in Iraq and Syria was also visible.
NSW Police tweeted: "A police operation is underway in Martin Place, Sydney's CBD. People are advised to avoid the area."
(Reporting by Lincoln Feast; Editied by Paul Tait)
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