Vick the terrorist attack in Bali occurred in December when two bombs were planted inside and outside a popular tourist bar and exploded at a time when the bar was packed.
The Indonesians were so overwhelmed by the incident that they allowed Australian Federal Police experts and our intelligence organisation to go in and assist with the investigations.
Our people quickly found evidence that took them to one of the bombers and when he was arrested he gave up a number of others in his cell. It appears that he, and several others were trained in Afghanistan by Bin Laden's group and then returned to Indonesia where they were responsible for a number of bombings where Christian churches were targeted.
The Bali bombing was the first aimed at westerners and it is still not really clear if the cell was acting independently or following orders from Bin Laden.
That terrorist cell also has links to a radical Islamic group who operate in a number of Asian countries and whose stated aim is an Islamic state that will stretch from the Phillipines down through Malaysia and Thailand, through Indonesia and take in Australia.
The group also has links to Bin Laden and they are believed to have sleepers here in Australia.
I hope that gives you some background on the situation as it currently stands regarding the terrorists.
On the political front with Indonesia everything is smiles and handshakes on the surface but you don't have to dig too deep before you find a lot of tension.
The Indonesian army has had a great dislike for us since the 1960's when we stopped them from invading parts of the newly formed Malaysia. They had vastly superior numbers but were poorly trained and even though they tried to mount a guerilla campaign we beat them at their own game.
Things have only got worse since East Timor where they again lost face when confronted with our people and the Bali bombing didn't help things either. Their security people had no clue and they didn't like it when their President agreed to allow our experts in to assist with the investigations.
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