Business owners and workers near the Batemans Bay CBD crime scene have described an eventful morning after a suspicious bag was discovered between Orient Street and Perry Street.
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A business owner, who wished to remain anonymous, said she heard the news from a friend.
"I heard there was a duffle bag found in the garden this morning," she said. "I wasn't here this, but I got a phone call at home saying they'd cordoned it off at about 9.20am."
Shane Chatfield, an employee at the Department of Education, said his office had not yet been instructed to evacuate.
"That's quite strange to us, because if that happened in a school, you'd be locked down and told to evacuate straight away," he said.
"We're quite concerned, because we're within 50 metres of the bag. Our staff are on standby to see what happens, but we're letting people know when we're going out so if we do get evacuated, we know where everyone is."
Mr Chatfield has lived in Batemans Bay for 38 years, and can't remember an occurrence like this in his lifetime.