Sydney teen pleads not guilty to alleged Anzac Day terror plot

A Sydney teenager has pleaded not guilty to planning a terrorist act to coincide with Anzac Day commemorations.

The 16-year-old's lawyer Zemarai Khatiz entered the plea on his client's behalf in the Parramatta Children's Court on Tuesday.

The teenager was not in court, and Khatiz said there would be a bail application on Friday, with supporting evidence from a psychologist's report.

It's alleged the boy had planned a terrorist act at a Sydney Anzac Day service. Photo: Getty.

With his client facing life in prison if found guilty, Khatiz said the psychologist would also assess the long-term impact of the potential sentence.

The boy was arrested by NSW Joint Counter Terrorism officers near his Auburn home in Sydney’s west on Sunday, accused of trying to obtain a firearm in the days before April 25.

He is facing charges of acts in preparation for, or planning, a terrorist act, which carry a maximum life sentence.

Police are still investigating the alleged terror plot, examining phone and internet records.

The teen allegedly sent an encrypted message on a mobile phone app, asking about procuring a weapon with an apparent reference to April 25.

Police indicated previously they will oppose any bail application.

It’s believed the teen had been on police radar for close to a year after they first made contact with him in May 2015, as part of their investigation into a Melbourne terrorism plot, which was foiled on the eve of Mother's Day.

It’s reported the boy’s parents then enrolled him in a de-radicalisation program and he remained in close contact with police.

ABC reported the teen allegedly sent messages on an encrypted mobile app, trying to obtain a gun.

The messages did not disclose a specific location or time, but mentioned April 25.

The young apprentice electrician cannot be named for legal reasons.

Police investigating overseas links to the Mother’s Day plot said they had found communications online between the Sydney boy and senior Australian Islamic State (IS) recruiter Neil Prakash.

Counter-terrorism sources told the ABC they had also discovered communications between the teen and a younger Sydney boy, who had since been charged under Operation Appleby with preparing a terrorist attack.

When police notified the boy’s parents of the communications, they signed him up for a secret and intensive intervention program run by the AFP, NSW Police and Victorian Police.

The program used mentors, psychologists, religious leaders, teachers and work placements to try to steer a handful of young extremists away from Islamic State.

The boy's lawyer, Zemarai Khatiz, told the ABC his client would apply for bail and defend the charges, claiming his communications were "taken out of context".

“He is a 16-year-old boy who has never been in police custody, or charged or in prison in the past, so it is extremely difficult for him," he said.

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"The family is a very good family, they have been in this country for a very long time.

“My client doesn't have any criminal convictions also ... the family is devastated.”

Police also allegedly found "extremist propaganda" at the boy's home and say he was in the advanced stages of planning an attack.

NSW Police Commissioner Andrew Scipione said it appears the teenager was radicalised online and claims he was known to security services.

Scipione said the boy was was questioned extensively at Auburn Police Station on Sunday night and police say they believe the teen was acting alone.

He was charged with one count of preparing or planning an act of terrorism, the offence carries a maximum penalty of life imprisonment.

Prime Minister Malcolm Turnbull insists Australians are safe despite the alleged plot.

"We are a very strong and resilient country, inspired by the Anzac spirit," Mr Turnbull told reporters in Canberra on Monday.

"We take great care in ensuring that Australians are safe at all times and on every day."

Justice Minister Michael Keenan said the scenario was chilling and he was concerned about Anzac Day services being the target of terror attacks.

"It's very disturbing when Australians are out there commemorating what is a very important national day for us, some people would think that's an appropriate time to target those services - I'm very worried about that," he told ABC radio on Monday.

It's the second year in a row a teenager has been arrested and accused of planning Anzac Day attacks.

A 19-year-old was arrested in 2015 in Melbourne over an alleged plot to behead a police officer.

Both Mr Keenan and Mr Scipione, as well as NSW Premier Mike Baird, urged Australians not to let the events stop them from taking part in Anzac Day commemorations.

"Do not let an event like this stop you from going out and taking part in what is a most important commemorative day for us," he said.

"So, please, don't be perturbed."

NSW Police Commissioner Andrew Scipione said officers were forced to act on Sunday afternoon in order to ensure public safety.

“Clearly we have taken swift action to ensure community safety on the eve of a sacred day on the Australian calendar,” Commissioner Scipione said.

“I want to assure the NSW community that our counter terrorism capability is such that we were able to move quickly to prevent harm.

“The age of the individual is obviously a concern for us, and it remains a measure of the ongoing task facing law enforcement and the community.

“Anzac Day should be observed by all in our community free from fear and I would encourage everyone to enjoy this special day,” he said.

AFP State Manager Sydney Office, Commander Chris Sheehan, said family and friends are vital when it comes to connecting with those young people who may be susceptible to carry out criminal acts that attract significant penalties.

“A cohesive society and social inclusion is critical in driving a counter-narrative to extremist ideology,” he said.

“Yesterday’s activity is another example of the effectiveness of the cooperative nature of the JCTT. We will disrupt to ensure the safety of the community, and follow that up with thorough investigations to identify criminal behavior.

“In Australia and around the world, the age of people radicalised is getting younger, with online grooming tactics similar to those used by sexual predators,” he said.