Officials warned the death toll could rise after the Hercules C-130 came down in a residential area of Medan, a city of two million on the island of Sumatra, leaving buildings severely damaged and cars reduced to flaming wrecks.
A rescue operation swung into action, with ambulances ferrying bodies from the accident site, and crowds of anxious residents gathering around a police cordon to have a look at the smouldering wreckage of the plane.
"It was very scary," she told AFP, adding she rushed to the site with her colleagues and the wreckage and plumes of smoke looked "very bad".
Another local resident Januar, 26, said the aircraft appeared to be in trouble just before the accident.
"I saw the plane from the direction of the airport and it was tilting already, then I saw smoke billowing."
Forty-five bodies had been brought to a hospital in Medan, hospital spokeswoman Sairi Saragih told AFP. Red Cross official Eko Triandi said there was at least one child among the dead, adding he feared there would be more victims.
The military said there were 12 crew on the plane, which had been transporting military supplies to airbases.
But it was also carrying other people, according to Jhoni Tarigan, a spokesman for Medan airbase where the plane had taken off from. He said 31 additional passengers had boarded the plane in Medan and others may have got on at previous stops.
He said these additional people were "mostly families of military officers, especially those who are moving as they were assigned to another area".
The plane took off at 12:08 pm (0508 GMT) from the airbase and crashed in the city about two minutes later, about five kilometres (three miles) from the base, according to the military.
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