Police at the scene of an Anzac Day shooting tragedy.

Six terrified children and two adults fled the Wangaratta home as shots were fired, igniting a major police operation yesterday.

A man with a high-powered weapon had reportedly been seen chasing a woman at the Belle Avenue property before the gunfire.

The neighbourhood was placed in lockdown as emergency services converged on the area amid the possibility of a hostage situation. Heavily armed specialist operations group officers were flown from Melbourne to Wangaratta.

They based themselves at a home backing onto the Belle Ave property as the risk of a shootout remained open.

Police during the stand off outside a home in Wangaratta.Source:Supplied

Police blocked off the street.Source:Supplied

The grisly climax came hours later with the discovery of two bodies, the suspected legacy of a murder-suicide.

One man with family in Belle Ave said they had been unable to leave their house as police cordoned off the area after shots were fired at about 12.50pm.

He said three gunshots were heard.

“They (police) said, ‘Get back inside and lock your doors’,” the relative told the Herald Sun.

Police are believed to have been unable to make contact with anyone at the property during the afternoon.

Officers were finally able to enter the home at 5.10pm, where they found the bodies of a man and a woman.

It is unclear how long they had been dead.

Police talk to distressed locals at the scene.Source:Supplied

Special Operations Group officers arrived at the scene.Source:Supplied

Some of the children who had earlier fled unhurt are believed to be those of the people who had died.

The children spent the afternoon in the care of police and were told the heartbreaking news soon after the bodies were found.

A former neighbour said there had never been signs of trouble at the property.

“They’re pretty good people,” he said.

The children who fled the house when the shots were fired are believed to range from toddler to primary school age. Detectives from the homicide squad were at the scene last night.

They will be working with local investigators to find out what led to the horrific events in Belle Ave and prepare a report for the Coroner.

“Police are not searching for anyone else in relation to the incident,” a statement from the force said.

— For those needing help, contact Lifeline on 13 11 14.

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