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Police give all-clear after bomb squad searches bus in Moonee Ponds

Police have given the all-clear after the bomb squad was called in to inspect a backpack left on an empty bus in Melbourne's north-west.

Traffic diversions were set up in Moonee Ponds just after 11.30am while the bomb response unit investigated the bus.

Traffic was very heavy in the area as police reopened the busy intersection about 3pm.

Nearby businesses were evacuated, and locals described the scene as "mayhem". 

A police spokeswoman said officers were conducting safety checks in Kellaway Avenue and Mt Alexander Road.

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"The area has been secured," she said.

Local business owner and resident Louisa Line, of The Little Big Company store on Puckle Street, was evacuated. She said the scene was "mayhem – like a movie".

Another resident described the scene on social media, writing: "Police cars and fire trucks everywhere.

"Was in the park and got told to walk [the] other way around."

Television pictures from a Channel Seven helicopter showed a member of the bomb squad opening the bus door while dressed in a bomb disposal suit.

Police closed the road in both directions between Taylor and Homer streets, and traffic is heavy in the area.

VicRoads said there were delays. Motorists have been told to avoid the area if possible.

Route 59 Airport West and route 82 Moonee Ponds trams are affected in both directions because of congestion in the area.

More to come