Chris Greenwood

Secretly filmed footage from the inside of an alleged terrorist bomb factory was shown in court for the first time yesterday.

Police concealed a camera inside a Walthamstow flat as they closed in on a gang of suspected Islamic fanatics.

Woolwich Crown Court was shown a clip of two men, Abdulla Ahmed Ali and Tanvir Hussain, inside the second-floor flat. The black-and-white footage was shot using a "fish-eye" lens from ankle height.

It appeared to show the men using a power drill to make a hole in the base of a plastic soft drink bottle. A second camera, hidden across the street, captured Mr Ali and Mr Hussain as they arrived and left the Forest Road flat.

Prosecutors claim the two men are key figures in a conspiracy to murder thousands by blowing up passenger jets.

Home-made liquid bombs disguised as Lucozade or Oasis drinks would be smuggled aboard before being detonated in mid-air, they said.

The flat was used to make the bombs and record suicide videos, the jury has been told.

Eight men are on trial accused of conspiracy to murder and to endanger aircraft. They deny the offences.

More evidence from a surveillance operation centred on east London and High Wycombe in July and August 2006 was shown in court.

Police followed Mr Ali and Mr Hussain around the clock in early August 2006 in the days before they were arrested.

The pair visited mobile phone stores, used internet cafes and chatted in a Walthamstow park.

Meanwhile, in High Wycombe, other officers watched co-defendant Assad Sarwar as he bought citric acid at three pharmacies in less than 20 minutes. It was claimed citric acid is one of several ingredients for the improvised bombs.

Mr Sarwar also visited supermarkets, an internet cafe and used a series of public telephones.

A fourth man, Mohammed Gulzar, was filmed as he met Mr Sarwar in east London.

The case was adjourned until Monday.