FIFE, Wash. -- A thief implying he had a bomb attempted to rob a Bank of America branch in Fife late Tuesday morning, but is now in police custody.

The report of the robbery came down just before 11 a.m. at the branch on 5003 Pacific Highway East, said Det. Ed Troyer with the Pierce County Sheriff's Office.

A man walked up to the counter and gave the teller a note stating he was carrying a bomb. He then put a bag on the counter.

A police source told KOMO News there were reports of hostages taken inside during the robbery, but a bank employee later told police after the bag was set on the counter, the man just quietly sat on the floor.

"He sat down and knew the police were coming and didn't make an attempt to leave with the money, and waited for police to come and had to be negotiated out," Troyer said.

After a few minutes, someone asked if they all could leave and the man agreed, Troyer said.

Meanwhile, nearby businesses were evacuated and the bomb squad and SWAT team officers were brought in.

Police talked the man into surrendering a short time later, and video from Air 4 showed a man with his hands up standing in the bank parking lot and being taken into police custody.

"So they backed him, took about five minutes slowly backing him up towards police and finally got him down to his knees," said witness Jef Birnel.

Troyer said when the man was being arrested, they asked if the bag contained a bomb and the man replied, "Yes." When asked again, he said, "No," then said he didn't know whether the device was a bomb.

The bomb squad went back in and inspected the bag, which only contained some toiletry items and the money he had gotten from the teller.

"At this point, it appears to be the money and his personal belongings," said Troyer.

Troyer said the would-be robber had lately fallen on some rough times.

"(He was) a gambler and evidently it's a problem for him and he's also stating that he's suicidal and that he recently lost a job. And a combination of those things made him attempt to do what he did today," Troyer said. "Obviously it wasn't well-thought out and he's lucky that he's OK."

Troyer said no one was injured and the money has been recovered.