• Indonesia claims Australia made illegal payments to people smugglers 
• Police release photos of $30,000 US allegedly given to turn boats around
• Australian spies accused of paying people smugglers to return boats 
• They were paid $5,000 each to take asylum seekers to Indonesia, police say
• Indonesian Foreign Minister has demanded the claims be taken seriously
• Customs officers allegedly gave smugglers two boats near East Timor
• One boat ran out of fuel and the other crashed into a reef, police say 

Indonesia's foreign ministry claims Australia made illegal payments to people smugglers in an attempt to turn their boats back to the country.

Police and passengers on the boat alleged that six crew members were paid about $5,000 US dollars each to take the asylum seekers back to Indonesia.

Photographs have emerged of wads of cash taken by police as part of their investigation into the turn-back operation after the boat was intercepted at sea by Australian Customs. 

Australia's ambassador to Indonesia Paul Grigson visited Indonesia's Foreign Minister Retno Marsudi's office on Friday to deliver a letter from Australian counterpart Julie Bishop.

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A file image of asylum seekers aboard a boat. Australia has been accused of paying people smugglers

Australia's ambassador Paul Grigson (left) met with Indonesia's Foreign Minister Retno Marsudi on Friday

But the letter did not address the claims, with Ms Marsudi demanding the allegations to be taken seriously and asked Mr Grigson to seek an explanation on Saturday.

'Australia remains very committed to cooperation with Indonesia to combat people smuggling in all its forms,' Mr Grigson told reporters after the meeting.

'As my prime minister has said repeatedly - Australian officials have always acted within the law in this case.'

Foreign Affairs Ministry spokesman Arrmanatha Nasir said there has been no explanation of whether Australia allegedly paid cash to an asylum boat crew.

'When we did not receive any new information or any clarification, again, like I said, we cannot be blamed for taking the view that there was an illicit payment made to the smugglers,' Mr Nasir said.

Prime Minister Tony Abbott has used a speech to celebrate his government's work on boat turn-backs

On Saturday, Prime Minister Tony Abbott praised his government's success in turning back illegal boats during a speech in Sydney despite lingering questions over the allegations.

Mr Abbott addressed the Liberal Party faithful at the party's state council.

The member for Warringah paid tribute to fellow Sydney frontbench colleagues Malcolm Turnbull and Joe Hockey, singling out former immigration minister Scott Morrison for special praise.

'He did what everyone said couldn't be done - he stopped the boats,' Mr Abbott said, to shouts of 'hear, hear' from the audience at the Four Seasons ballroom.

'I can say that under this government, as far as we know, there have been no deaths at sea, and for more than 12 months there have been no boats whatsoever,' he said later.

'We will keep this country safe.

'Keeping this country safe starts with keeping our borders secure.'

The photos of cash, which were taken by police as part of their investigation into the turn-back operation, claim to show 'evidence' that more than $30,000 US dollars was paid to the people smugglers by Australia

Foreign Ministry spokesman Arrmanatha Nasir says Jakarta is shocked by Ms Bishop's view, but will avoid jumping to conclusions about the claims

It comes after police documents show two wooden boats were provided to the people smugglers when they were intercepted by Australian customs officials near East Timor, the ABC reports.

One of the boats provided by Australia allegedly ran out of fuel on the journey back. The 65 asylum seekers were forced to crowd onto the other boat, which later crashed into a reef.

Indonesian police have interviewed six smugglers, as well as the captain of the boat, who claim they were paid more than $30,000 US dollars to turn around.

Some of the asylum seekers also gave similar accounts of the alleged payments by an Australian customs official.

The police document alleges more than $30,000 changed hands, with officials providing photos of the money and the wooden boat used to transport the asylum seekers back to Indonesia.

'We have given you the evidence,' General Endang Sunjaya, the police chief of Nusa Tenggara Timur province, told Fairfax Media.

'The money is now being kept as evidence that this was not a made up story.'

Indonesian police have interviewed six smugglers, as well as the captain of the boat, who claim they were paid $5,000 each to turn around after they were intercepted near East Timor by Australian customs

One of the boats (pictured) provided by Australia allegedly ran out of fuel on the journey back. The 65 asylum seekers were forced to crowd onto the other boat, which later crashed into a reef

Indonesian police say the alleged payment took place on Andika, near Greenhill Island in the Northern Territory.

General Endang said the police investigation report had been handed to National Police headquarters in Jakarta. 

It comes after Indonesia's Vice President Jusuf Kalla said it was arguable that Australia itself was acting as a smuggler - if the reports Australian officials paid six people smugglers are true.

'It was bribing, right?' Mr Kalla told reporters in Jakarta on Monday, as quoted by local website detik.com. 

'People who bribe, that is already wrong. 

'Wow, a state bribing, that certainly doesn't fit with the correct ethics in state relations.' 

File image of asylum seekers. A senior intelligence source said the Australian Secret Intelligence Service paid $30,000 to smugglers to turn a vessel around and travel back to Indonesia

Indonesia's Vice President Jusuf Kalla (pictured) has said that Australia's alleged bribery of people smugglers amounts to bribery

The claims come as the Greens demand the government come clean on whether taxpayers' money was paid to asylum seeker boat crew members.

Prime Minister Tony Abbott said he is 'absolutely confident' Australian agencies had acted within the law at all times, but will not comment on the specifics.

Opposition Leader Bill Shorten says Labor governments never paid people smugglers to turn boats around, but refused to say whether the practice was used on land in Indonesia.

The Australian Federal Police is also considering whether the alleged payments warrant investigation. 

A supplied image of asylum seekers. It has also been alleged that Australian officials have been making cash payments to people traffickers for four years