Two arrested after Melbourne man killed in shooting inside Bali villa

Bali shooting victim released from hospital as police continue to hunt gunmen

Two men have been arrested after a Melbourne man was killed and another was injured in an underworld shooting at a luxury villa in Bali.

One man was arrested in Jakarta and another was caught making his way there, local police confirmed today.

The shooting triggered a nationwide manhunt in Indonesia after Melbourne man Zivan "Stipe" Radmanovic, 32, was shot dead just after midnight on Saturday.

The tropical paradise was shattered by gunfire on Saturday, killing 32-year-old Zivan Radmanovic in a hail of bullets.

Sanar Ghanim, 34, was also shot and beaten in the attack.

Ghanim - the former partner of murdered underworld figure Carl Williams' stepdaughter Danielle Stephens - was released from hospital and transported to a new Canggu apartment today.

Radmanovic died at the scene and was reportedly shot four times while his wife hid under the covers in the bedroom next door.

Doctors are still awaiting consent from Radmanovic's family to proceed with an autopsy.

The gunmen fled the scene and one was reportedly heard speaking in an Australian accent.

One man was arrested in Jakarta and another is overseas but is headed back to Indonesia.

Police suspected they had fled Bali but remained in Indonesia.

The fatal shooting is being treated as an organised hit.

Offenders arrested on Indonesian soil face the death penalty.

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