Australia in command at Adelaide Oval

(CNN) -- Australia strengthened their position after the second day of the second Test against New Zealand at the Adelaide Oval, closing on the overall lead with seven wickets in hand.

After hustling out the Kiwis for 270, the home side reached stumps at 241 for three wickets and well on course to take a 2-0 lead in the series.

In the morning session Aussie Brett Lee ripped through New Zealand's lower order as he three for six in a 27-ball spell and finished with first-innings figures of four for 66.

Fellow paceman Mitchell Johnson took the other wicket as the visitors collapsed from 262 for six wickets overnight.

A change of pace saw Lee dismiss the dangerous Brendon McCullum. He also had Ian O'Brien caught behind before knocking Chris Martin's middle stump out of the ground to deliver the number 11 another duck.

Australia batted solidly in reply with Mike Hussey 69 not out and Michael Clarke unbeaten on 43 at the close.

Daniel Vettori bowled tirelessly over the final two sessions and finished with figures of one for 54 off 28 overs while Iain O'Brien took the important wicket of Ricky Ponting only minutes after the tea break and has one for 63.

Hussey and Clarke controlled the final session with some patient but stylish batting and have so far put on 86 for the fourth wicket.

Earlier, Matthew Hayden was run out for 24 on his 100th Test appearance before Ponting made an untroubled 79 until he was out pulling a ball from O'Brien to mid-wicket where he was caught by Peter Fulton.

In other cricket news on Saturday, the former chairman of the England and Wales Cricket Board (ECB) Ian MacLaurin said England should abandon plans to return to India in the wake of the Mumbai terror attacks.

"I think it's sad for cricket," MacLaurin said Saturday. "But the safety of our players is absolutely paramount and I am sure that the ECB will take the same view."

Lalit Modi, vice president of the Board of Control for Cricket in India, has insisted the two-match series will go ahead, with the second Test, scheduled to start in Mumbai on December 19, switched to Chennai.