Ian McPhedran – At dawn on October 16, 1975, four young Australian-based journalists walked out of a house in Balibo, East Timor, with their arms above their heads. Moments later they were shot in cold blood by Indonesian special forces, an inquest has heard.

For the first time since the alleged execution of the five TV newsmen at the start of Indonesia's invasion of East Timor, an open court is taking sworn evidence from witnesses.

According to the evidence, the fifth Balibo victim locked himself in a bathroom but was stabbed in the back with a special forces knife when he emerged.

Glebe Coroners Court yesterday heard Australian officials knew about Indonesia's invasion plans days in advance – but did nothing to warn the five men. In fact, keeping Indonesian dictator Suharto on side was a much higher priority for the Whitlam government of the time.

In a cable on October 15, 1975 – the day before the deaths – then Australian ambassador Richard Woolcott told Canberra that Indonesia was so confident of Australia's support that it "keeps us informed of its secret plans".

Evidence will also be presented that two men working on the Hope Royal Commission in 1977 saw a message intercepted by the top-secret electronic spy agency, the Defence Signals Directorate, which also kept the government fully informed.

According to counsel assisting the inquest, Mark Tedeschi QC, it contained words to the effect: "As directed or in accordance with your instructions, five journalists have been located and shot."

The first day of the inquest into the death of Sydney-based British Channel 9 cameraman Brian Peters was yesterday told by a witness known as Glebe 2, who cannot be identified, that he saw the men with their arms raised before shots were fired.

"At this point [Indonesian Army Captain Yunus] Yosfiah and his team shot the journalists who were unarmed with their hands in the air," a police witness statement said. "I saw them shoot. A lot of them were firing. They fired towards the white people."

Glebe 2 was a member of the pro-Indonesian Apodeti Partisan force that fought at Balibo.

Peters' Melbourne-based Nine colleague Malcolm Rennie and Seven's Greg Shackleton, Gary Cunningham and Tony Stewart also died at Balibo.

The Indonesian Government has been asked to assist with witnesses to the inquiry, but has so far refused to respond. The inquest, before NSW Deputy State Coroner Dorelle Pinch, continues.

Gough Whitlam

The Australian Prime Minister gave tacit approval for the invasion. Gave Suharto the "green light"

President Suharto

"Owed Whitlam a great debt for the understanding he had shown of Indonesia's position [on East Timor]"

Richard Woolcott

"Suharto will assume the Australian Government will make every effort to give Indonesia what support and understanding it can" – Oct 15, 1975