Fire engulfed The Copper Tiffin Indian restaurant in Surry Hills after an explosion was heard from the building. Four people escaped the fire unhurt.
Sydney Morning Herald reported that the police suspect that the restaurant was 'deliberately lit' and is investigating the possibility of links to a bomb threat received by the restaurant on Cleveland Street on Jun 25.
Quoting an unnamed nearby restaurant owner, the Herald reported that a "loud explosion, like bomb" was heard just around 11:30 pm after which debris and glass came flying out.
Police are currently hunting for the two people seen by witnesses running away from the place after the fire broke out.
The Cleveland Street restaurant as well another nearby restaurant called Maya Da Dhaba have been evacuated.