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A staff member at a 24-hour general store in Williamson Street who was held up Tuesday morning said a male wearing a balaclava had a cap gun and was holding it "gangster style".
Steve Ewart said a man pulled out the cap gun, then produced a plastic bag and said "fill it with money".
"I said "No", I wasn't scared at all," he said.
"I have been around guns my whole life.
"So I know what a real gun looks like."
Mr Ewart said the man was holding the gun like he was a gangster.
"He said 'you don't wanna test me.'
"I told him 'go ahead, I'm not giving you any money.'
"After a little while he got the point that I was not going to give the money to him and he left.
"It was a metal cap gun but I could still tell it was not a real gun."
Mr Ewart says it is the fourth time the store has been held up in past twelve months.
"I have not been here that long but I have heard it is a fairly common occurrence," he said.
Detective Senior Constable Tony Roberts of Bendigo Crime Investigation Unit said the man entered the store at 2.20am.
He allegedly produced a firearm and made demands for cash.
Police are investigating and have appealed for witnesses to contact Crime Stoppers on 1800 333 000.
In August the general store was robbed.
Police attended the Williamson Street 24-hour general store around 3.20pm after reports of an armed robbery.
A man was arrested at Bendigo train station about 10 minutes later.
Police took the man to Williamson Street and recovered a knife.
Later in December, the store was held up again.
The robbery took place in the early hours of Tuesday morning.
Police attended the Williamson Street 24-hour general store around 3am.
Acting Sergeant Kevin Hume-Cook said a person allegedly entered the store with a knife and demanded money.
He said the offender received money and then left the store.
Meanwhile, police are also investigating an overnight house fire in James Street, Strathdale.