A two block radius has been taped off with bystanders evacuated into the Aldi supermarket at the Pacific Square shopping centre.
One witness had just parked his car when he saw people running outside.
“It’s funny because I just came down here for (the pokies) and had just parked my car and saw everyone running and people screaming.”
“Someone got shot or something, they reckon it’s an undercover.”
Tasso Sigrimis, 32, said he was walking past the pub with his partner when he came across the disturbance.
A shop assistant at a nearby chemist told 2GB she was working out the back when she heard four or five gunshots.
The shop assistant Lara said she went outside and saw people coming out of the Maroubra Junction Hotel two doors down.
“A guy came out in handcuffs and another one on a stretcher,” she said.