The siege comes months after Australia's biggest ever counter-terrorism raids and follows repeated warnings by ASIO, the domestic spy agency, of the growing threat of a homegrown domestic attack.
Much of the concern has focused on disaffected Muslim youths in the outer suburbs of Sydney and other cities.
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About 90 Australians have travelled to Iraq and Syria to fight with Isis (Islamic State)and other extremist groups, with about 20 known to have died. Just two weeks ago, the Government passed new security laws, including the declaration of "no go zones" in Syria. Any Australian who travels to the zones could face 10 years in jail.