About 25 people had to be evacuated from the Crowne Plaza hotel on Binara Street in Civic on Friday at noon after an ironing machine malfunctioned and smoked out the basement.
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ACT Fire and Rescue attended, bringing three fire pumpers, the Breathing Apparatus Van, the Hazardous Materials Unit and one commander to ventilate the area.
Staff and guests returned to the building shortly after.
Emergency services said the damage was confined to the ironing machine in the laundry.
They said only some smoke spread through the basement area.
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