He is Iranian, was in prison.
from news.com.au:
Police have authorised the naming of Sheik Man Haron Monis, who is a self-styled preacher of Islamic State on bail for accessory to murder, as the gunman...
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Officials are not saying this is a terrorist incident.
He doesn’t look like a standard jihadi death wish type. Old and fat. Bomb is probably fake. Looks like a publicity stunt.