Louise Williams – Tens of thousands of anti-Government protesters marched on Indonesia's symbolic Parliament building today as security forces looked on. Elsewhere in Jakarta, rioting and looting broke out in at least four parts of the city.

Witnesses said the march on Parliament was peaceful and included students. It was the first time troops had let so many protesters get near parliament after a week of pro-reform demonstrations. Today's protest march followed a night a violence in which at least 12 people were killed and hundreds injured in assaults by security forces on civilian demonstrators overnight.

Marines escorted the first groups of student protesters marching on the Parliament early this afternoon, where an occupation by students in May forced the resignation of former President Soeharto.

Key opposition figure Dr Amien Rais warned that Jakarta was on the "edge of chaos" as angry mobs burned and vandalised military and police vehicles in at least three locations near central Jakarta. The Australian embassy warned Australian citizens to exercise "considerable caution" and avoid demonstrations. Mobs were looting shopping centre near the city centres, and worsening violence was expected later tonight.

Behind the scenes President B.J. Habibie was scrambling to assemble his Cabinet for emergency talks but political analysts raised doubts over whether he could survive the escalating crisis. Two scenarios were being widely discussed; either a take over by a coalition of opposition reformist leaders sympathetic to the students or the imposition of martial law.

Influential Muslim leader Abdurrahman Wahid condemned the military's actions and announced his 40-million strong Nahdatul Ulama was prepared to "continue the students' unfinished struggle".

"The armed forces' members, who are supposed to be valiant, should stop the use of violence for the fulfillment of the personal ambitions of certain individuals." He was referring to the military's determination to crush the students' protests which were demanding an end to the military's role in politics as well as the trial of former President Soeharto for both corruption and human rights abuses during his 32years in power.

A former Soeharto Government minister turned reform leader, Sarwono Kususmaatmadja, broke down in tears when he heard of the deaths and announced: "With this incident the Habibie Government has lost any legitimacy it had. It has lost the moral right to govern, it can only stay in power by force."

The brutal assault by army and police officers on the Atma Jaya Catholic University on Friday night, provoked widespread public condemnation of the military, and navy Marines were moved into the sensitive frontline positions to try to quell public rage over the actions of riot troops.

The attack on about 20,000 students and onlookers began around 8.30pm on Friday night as a "special session" of the 1000-member People's Consultative Assembly was due to close, after signing a series of decrees dismantling the authoritarian political system of former President Soeharto.

But out on the streets, as students were beaten and shot with rubber bullets and doused with water cannon and tear gas, the scene was more reminiscent of the harsh security approach of the former Soeharto Government than the supposedly reformist stance of the Habibie adminstration.

The Jakarta Post ran banner headlines proclaiming "Black Friday" and scores of disturbing photographs of troops beating and shooting protesters. "I had tears streaming down my face and a pain in my heart when I saw the TV reports. They say they are a new regime, but they are just the same, we as so, so angry," said Jakarta resident, Dodi.

Analysts said the Marines were brought in today because of the navy's relatively good reputation as a professional and politically neutral force, compared to the poor human rights record of some military and police units who were used by former President Soeharto to maintain political control.

Rumors that the marines were preparing to split from the military and side with the students could not be confirmed. In one area of central Jakarta the Marines were forced to protect a police mobile brigade from an angry mob hurling rocks.

From Chinatown, a huge pall of smoke was rising late today, raising fears that rioting against Indonesia's wealthy business minority was underway. Local radio was reporting numerous incidents of attacks on shops and vehicles by angry mobs.