Police, ambulance and fire crews were called to home in Mackenzie Street West, Golden Square about 3pm.  

One man, aged in his 40s, was taken to hospital with head and back injuries after an assault with another man involving a hammer, baseball bat and golf club.  

Bendigo police Acting Sergeant Shannon Joyce said the confrontation between the two local men started outside Specimen Hill Primary School. 

"It started outside the primary school before moving to one of the male's houses," he said. 

"They had an altercation in the front yard, it involved a hammer at some point and a golf club.

"There was also a baseball bat involved.

"One of the men smashed the windows of the vehicle (parked in the driveway).

"The same male then poured petrol around the house and attempted to light it." 

Acting Sergeant Joyce said the debt was worth "less than a pack of cigarettes".  

He said both men knew each other and charges were yet to be laid. 

"The investigation is ongoing," he said. 

A nearby neighbour said he was alerted to the incident after he heard and then saw a police helicopter circling overhead. 

The man said he was worried because he did not know what was happening. 

"I was outside watering my garden and noticed a police helicopter," he said. 

"It circle five or six times.

"I had no idea what it was."

The man said police set up roadblocks on either side of the street and diverted traffic away from the area. 

He said the incident was resolved in about one hour. 

"There were a few neighbours outside watching," he said. 

Another bystander said she saw police pin a man to the ground. 

She said she also saw police put a man cover in petrol into their vehicle. 

Bendigo Country Fire Authority senior station officer Mark Nevill said about four appliances from Kangaroo Flat and Bendigo arrived at the scene.