As hundreds of university students from Dili converged in front of National Parliament, police swiftly retaliated firing tear gas to disperse the crowd.

Police sources defended their response saying protestors were throwing rocks at officers and cars. Up to 13 government vehicles were reportedly damaged.

As a consequence members of parliament suspended a planned auction of government cars. Protestors alleged the cars were being deliberately marked down and would cause state losses. 

"We are doing this because we are not satisfied that members of parliament are taking such decisions to their own benefit,” said Duarte Antonio Nunes from a student organisation. He added that more demonstrations could take place if the auctions were not called off.

Several police officers were injured in scuffles and several protesters detained, officials said, and loud speakers and other equipment were confiscated from the students.Aderito Hugo, President of the national parliament, told local media after the demonstration that the auction had been "temporarily suspended".

"I ask for the public's patience on this...so we can review procedures on the use of the cars," Hugo said.

João Manuel Frederico, the Dean of UNTL Law Faculty, condemned the “brutal” police response. He said many students had sustained injuries and were traumatised by the violent response, including a pregnant woman.

Meanwhile Francisco Miguel Martins, the Rector of UNTL, said he did not authorize the protest, but said students had a right to demonstrate.

On August 8 national parliament unanimously approved a US$2.79 million budget to buy new Prado four wheal drive vehicles for its 65 members. Parliament agreed to auction off its old fleet.

The Movement of Students of Timor-Leste (MEUTL) said the decision to sell the vehicles ignored local need.

The group said hospitals across Timor-Leste were in need of vehicles to transport patients and medical supplies and called on parliament to donate their old vehicles to such health facilities.

“We consider this legal corruption,” MEUTL said in a statement-addressing parliament financially benefitting from the sale.