The man accused of the 1998 murder of 12-year-old Sydney schoolgirl Quanne Diec has claimed his brother and partner were killed in revenge for his actions, a court has heard.
Vincent Tarantino, 49, made the comments against the advice of his lawyer as he appeared briefly at Central Local Court today, after being arrested yesterday.
"I believe my brother ... and partner ... have been murdered in retaliation for what I've done," Mr Tarantino told magistrate Les Mabbutt.
He did not apply for bail and will return to Parramatta Local Court on January 19, to faces the charges of murder, detaining for advantage and possession of a knife.
Detectives today began searching a home on Second Street in Granville, in Sydney's west, for the remains of Quanne.
Some people laid flowers outside the house in Quanne’s memory, and neighbours told 9NEWS they were “shocked” by the development.
“I was 15 years old…a kid up the street… when this all happened years ago,” Peter Yousef said.
“I’m in shock,” Mr Yousef added.
Superintendent Scott Whyte said police want to "bring Quanne home to her mum and dad and put her to rest".
More than 18 years ago, Quanne was last seen leaving her family's Granville home on Monday, July 27, 1998, to take the train to school.
9NEWS has been told Quanne was allegedly kidnapped for a ransom, and later killed.
Supt Whyte said police "do have an idea of how (the murder) has played out", but would not confirm any details.
He said Quanne’s family were “obviously very distressed".
"It’s a time of mixed emotions, I don’t think we ever give up hope," Supt Whyte said.
"They’re grieving, they would like some time alone."
A $200,000 reward had previously been offered for anyone who could provide police with information leading to the resolution of the case.
"We’re still certain that there are people out there who can assist us with this investigation," Supt Whyte said.
"So we ask them to come forward."
If she were still alive, Quanne would be 30 years old.
With AAP