Banda Aceh – Officials threatened to "shoot on sight" rebels caught raising separatist flags in Aceh province to mark the anniversary of their movement today. But the rebels remained defiant.

Anyone raising Free Aceh Movement (GAM) flags or attending ceremonies would be warned, said chief administrator Bachrumsyah Kasman of the state of emergency in the province. Those ignoring the warnings would be "shot on sight", he said.

GAM in the past has marked the anniversary of its founding on Dec 4, 1976, with parades, flag-raisings and calls for a general strike. This year, the province is under a state of emergency enforced by some 35,000 police and troops.

Mr Bachrumsyah said residents could go about their daily activities but should avoid flag ceremonies. Rebel leaders say they will mark the anniversary despite the intensified pressure.

Last week, during his first trip to the province since taking office, President Susilo Bambang Yudhoyono offered the rebels amnesty if they would drop their bid for independence. But they rejected the offer.

On Thursday, Indonesia's military chief said his forces were bringing stability to the province.

General Endriartono Sutarto told Parliament that a total of 3,216 rebels had been killed since May last year. He said 2,577 rebels had surrendered and 2,031 had been captured, leaving a force of about 2,049 – far less than rebel estimates of 4,000 fighters.

"The military is only responsible for supporting the process of restoring security in the restive province which, in general, is getting more conducive," he said.

Rebel spokesman Bakhtiar Abdullah, based in Sweden, denied the claims. He said most of the dead were civilians and only "a couple hundred" rebels had been killed in the fighting since last year.

"We're not denying that some of our soldiers have been killed but it's much less than what the military estimates," he said. "There will never be stability until the Acehnese aspirations are met, which is independence."