From the World-Wide Resourses of the Western Australia Reserch Senter(*) OIL THE NEWS THAT FITS MY VIEWS #205 =============================== In the Run-Up to World War III, Reliably Reporting the News Relevant to Extreme Right-Wing Democratic Socialists Everywhere (validated for RiteThink(tm) by the Office of Our Man in Can-berra). Our Home Page: The Undeniable Evidence: Even More Uneniable Evidence: US Centcom News Releases: Iraqi Body Count: [9,211 as at 02 Jun 2004]. UN Mailing List: Some Of The News, Some Of The Time: This Stuff Blogged: Also Kindly Archived: ------------------------------------------------------------ Selecting latest news stories and other data for you... ------------------------------------------------------------ I completely reject the notion that anything this president has done or the justice dept has done has directly resulted in the kinds of atrocities cited. -- A-G John Ashcroft, 08 Jun 2004. Lawful torture. After a memo surfaced that indicated it was legal under US law for the Pres to order torture of POW's, Ashcroft pointed out to the Congress that people of Middle E appearance had not signed onto the Geneva Conventions. I suspect that Mr Latham finds some comfort... in the anti-Americanism expressed by Peter Garrett. -- Aussie FM Alex The Downer, 08 Jun 2004. The Lib Party has warned the ALP that recruiting an anti-nuclear campaigner will damage Mr Howard's relations with the Mr Bush. To think... that this great country... is bogged down [...] [to think] that this is an important issue [...] I just make the point to you, that this is a preposterous proposition. -- Aussie FM Alex Downer, 08 Jun 2004. POW abuse. A letter dated Dec 2003 partly written by an Aussie military officer indicates "some" Aussies knew about abuses even last y. Mr Downer needs to get out of denial mode... -- Shadow FM Kevin Rudd, 08 Jun 2004. The Opp'n says the FM is increasingly hysterical in his denials that the Howard govt is party to a POW abuse cover-up. I don't think polling is at all relevant to the decisions the government has to make. -- Aussie A-G Philip Ruddock, 08 Jun 2004. No poll matters? A new TV poll indicates a "close" result in support for gay marriage in AUS. This is not a discussion the G8 is having about the Middle East... This is a discussion the G8 is having with the Middle E. -- US Nat'l Sec Adv Conny Rice, 07 Jun 2004. Rice had just been talking with Donald Rumsfeld. ---------------------------------------- Tue, 08 Jun 2004 HEADLINES: Stable oil prices drive US market higher Communities urged to help combat Indigenous abuse Labor slams Downer in prisoner abuse row UN Sec Council on verge of Iraq deal Top Iraq cleric offers caution on UN resolution Iraq, terrorism top G-8 summit topics Iraq official wanted in Germany Inspectors: Iraq weapons sites destroyed Downer dismisses revelations over Iraq letter 9 Iraqi militias said to approve deal to disband "City that never sleeps" wants some rest ASX hits new high Aid workers hide as Pakistan hunts threat suspect Anderson hits back at criticism of road plan Astronomers count down to Venus transit Bank robber returns to crime scene, repays cash Boy saved as GP gets surgery tips via phone Bush not interfering, says GG Businesses prepare for economic slowdown Chronic border delays in Ontario costing Canada $8.3 bn a year: study E Timor pleased over ALP sea boundary comments E Timor urged to reconsider Timor Sea tax regime EU mulls Congo deployment Farmers urged not to let concerns derail water agreement Flint's resignation surprises everyone Forecaster tips smaller grain harvest Former Rwandan president jailed Foster's review writes down wine assets Garrett row threatens to embarrass Latham Get back to basics, SARS expert tells health workers Housing, retail slowdowns hit confidence Insurance industry aims to lift standards Israel attacks abandoned base in Lebanon Kufa mosque explosion kills 2 Labor stalwart attacks Garrett plan Latham welcomes Flint's resignation Militia deal excludes Sadr from power Pentagon confirms S Korea withdrawal plan Pilots breached safety laws says CASA Resignation to "restore confidence" in ABA Sharon's coalition teeters after Gaza pullout vote Thailand cracks down on black-market piranha trade Vic police chief moves to sack officers Vic prosecutors to drop corruption case: sources WA police hunt 4WD roo killers Western airliners may be al-Qaeda target Stable oil prices drive US market higher Wall Street made ground overnight. NY/Sydney. Wall Street stock prices have been driven higher by stabilising oil prices and the latest US employment measures. West Texas crude oil remains below $US39.00/bbl. Last Fri, Washington's latest non-farm payroll numbers showed the addition of 248,000 new jobs across America during May, which has restored confidence in the US economic recovery. Aircraft maker Boeing has been one of the stronger performers this morning on the NYSE. The DJIA has closed 148 points higher at 10,391, which is a rally of almost 1.5%. 2 minutes of silence have been observed in memory of former president Ronald Reagan who died at the weekend and the US markets will be closed on Fri as part of a nat'l day of mourning. Gains in Cisco Systems' share price have helped push the high-tech Nasdaq market up by 2.1%. The Nasdaq composite index has jumped 42 points to 2,021. There have also been solid gains on the Brit share market, with investor sentiment bolstered by cooling oil prices and a positive economic outlook. The UK mining and insurance sectors have been the best performers and London's FT100 index is up 37 points at 4,492. Yesterday in AUS, the market hit another record high with the All Ordinaries index ending trade 16 points ahead at 3,482, and local investors taking heart from last wk's strong US employment figures. The AUD has made solid headway overnight and at about 7.15 am it was quoted at 70.66 US cents and on the cross rates was worth 57.36 euros, 38.40 pence sterling and 77.41 yen. The gold price is at $US393.90/oz and W Texas intermediate crude oil is at $US38.72/bbl. ASX hits new high The ASX has pushed higher into record ground today. Sydney. The Aussie share market has pushed further into record territory this morning. The All Ordinaries index has been as high as 3,498. Just before midday (AEST), it had settled back and was trading up 5 points at 3,488. Chronic border delays in Ontario costing Canada $8.3 bn a year: study Toronto (CP). Chronic delays for trucks using Ontario border crossings to get in and out of the US are costing Canada's economy $8.3 bn a year, the Ontario Chamber of Commerce warned Mon. A new study by the chamber also warns that the figure stands to more than double over the course of the next 25 y to nearly $18 bn if Ottawa and the province don't start taking the problem seriously. "Border crossings are the choke point of our economy," chamber president Len Crispino told a news conference in front of the Ontario legislature. "We know that if the border is clogged, the economy suffers immediate and dramatic damage." The provincial share of the cost is $5.25 bn a year, much of it coming from the congested Detroit-Windsor corridor -- a bustling trade route that moves nearly half of the more than $1 bn in trade that crosses the border each day. The US market absorbs more than 93% of Ontario's exports and nearly 3/4 of all exports from Canada every year, and 70% of that is moved by truck, Crispino said. Ontario's export industry supports more than 1.6 mn jobs in Ontario and 52% of the province's gross domestic product. But despite plenty of encouraging rhetoric, no one seems willing to actually tackle the problem, said Harold Heffernan, general manager of Celadon Canada Inc, a trucking company based in Kitchener, Ont. "We have politicians that have been talking about it for 2 y, [but] I have yet to see a shovel break earth," Heffernan said. "Foreign investment as well as domestic investment is going to slow down. That means your friends, my friends, maybe us -- we are going to lose jobs." Delays vary depending on the crossing in question and other factors such as traffic and time of day, but they range between 10 minutes and 4 hr, the study said. Chamber members reported an average delay of between one and 2 hr every day, with Fri afternoons being the slowest period, it said. The problem is for both countries to fix, said PM Paul Martin, who has made both US Pres George W Bush and Homeland Security Secretary Tom Ridge aware of Canada's concerns. "We've got to make sure that there's confidence in both sides in what we're dealing with, and I think that is one thing we have established," Martin said. "I think there is now great confidence." A proposed Liberal plan to shore up Canada's crumbling infrastructure would also go a long way towards easing the pressure, he added. The study attributes the delays to a shortage of border staff and too few customs booths for vehicles to travel through, as well as and warns that post 9/11 security improvements are sure to slow the process even more. Ontario Finance Min Greg Sorbara said the problem is a combination of tighter security and a physical infrastructure that simply can't handle the volume. "We are living in a different world and the Americans are taking a different approach," Sorbara said. The province and Ottawa need to sit down with border state govts and fed US officials "and make it a top priority," he added. In Windsor, the Ambassador Bridge crossing -- the busiest in the world -- is operating at 78% capacity for commercial trucks and 95% capacity for passenger cars, the study said. But much of the delay comes before vehicles are even on the bridge, since the main artery runs right through Windsor itself. Some drivers have been known to look for alternate routes to the bridge through residential areas. Because of the integrated economies of the 2 countries -- parts and raw materials flow back and forth to manufacturing plants on either side of the border -- the delays, and subsequent costs, are amplified, Crispino said. "It is a very advanced and sophisticated economic model ... but it is also a model that requires maintenance and attention to operate effectively." Businesses prepare for economic slowdown High oil prices are among the factors weighing down business expectations. Sydney. Companies are bracing for a slower start to the new financial year with a new survey showing business expectations have fallen. The latest Dun and Bradstreet business expectations survey shows some executives are questioning the benefits of the global economic recovery. The survey puts the sales and investment outlook at its lowest level in 2 and a half y with 1/3 of executives saying their businesses have been hit by a slow down in consumer spending. Dun and Bradstreet economic consultant Duncan Ironmonger says there is also division over the potential benefits of the improved global outlook with more than a quarter of executives surveyed forecasting negative ramifications. "For some businesses they are worried about the oil prices, I think, and the continuing disarray that's going on in Iraq," Dr Ironmonger said. But businesses reported robust growth in sales and profits for the Mar quarter, with the employment and sales price outlook improving slightly. Inspectors: Iraq weapons sites destroyed UN (AP). A number of sites in Iraq known to have contained equipment and material that could have been used to produce banned weapons and long-range missiles have been either cleaned out or destroyed, UN weapons inspectors said Mon. The inspectors' report said they didn't know whether the items, which had been monitored by the UN, were at the sites during the US-led war in Iraq. UN inspectors were pulled from Iraq just before the war began in Mar 2003 and the US has refused to allow them to return, instead deploying its own teams to search for WMD. "It is possible that some of the materials may have been removed from Iraq by looters of sites and sold as scrap," the UN Monitoring, Verification and Inspection Commission said in its quarterly report to the UN Sec Council. UNMOVIC said its experts and a team from the Internat'l Atomic Energy Agency, which was responsible for dismantling Iraq's nuclear program, were jointly investigating items from Iraq that were discovered in a scrap yard in the Dutch port of Rotterdam. Through photographs taken during an initial IAEA investigation, UNMOVIC said it discovered that SA-2 engines used in Iraq's Al Samoud 2 banned missile program were among the scrap. Commission experts examined one missile engine at the site and discovered from the serial number that it had been tagged by UN inspectors in the past and had not been declared as having been fired. Representatives at the scrap yard indicated that between 5 and a dozen similar engines had been seen there in Jan and Feb, and that more could have passed through the yard unnoticed, the report said. Company staff said other items made of stainless steel and other corrosion-resistant metal alloys bearing the inscription "Iraq" or "Baghdad" had been observed in shipments delivered from the Middle E since Nov 2003, it said. UNMOVIC experts examined a number of items with a portable metal analyser and determined that they were composed of heat-resistant inconel and titanium -- both subject to monitoring because of their possible dual-use in legitimate civilian activities and banned weapons production, the report said. Despite cooperation from the Netherlands and the company, UNMOVIC said it wasn't possible to determine how many engines and how much other material previously subject to monitoring in Iraq may have been sent out of the country. It said its investigation was continuing. The report said high-resolution satellite photos had detected that some sites subject to UNMOVIC monitoring had been cleaned up and equipment and material had been removed. "In other areas, whole buildings that had previously contained equipment and materials subject to monitoring had been completely dismantled," it said. The report showed satellite photos of a storage site in Shumokh, about than 16 km NW of downtown Baghdad, taken in late May 2003 and late Feb 2004. UNMOVIC said that during the period between the photos, scrap items and other material was removed from one area and several buildings were demolished. UNMOVIC rep Ewen Buchanan said the Shumokh site and the adjacent Ibn Al-Batyr facility contained biological, chemical, and missile-related items subject to UN monitoring. These included fermenters, a freeze drier, distillation columns, parts of missiles, and a 130-gallon "jacketed reactor vessel" which could be used in biological or chemical weapons production, he said. "All sorts of sites seem to have been systematically dismantled, and it's not clear to us what has happened to items and material that was subject to UN monitoring," Buchanan said. "It creates a headache in trying to keep an accurate picture of what happened to everything." The report noted that the US inspection team -- the Iraq Survey Group now led by UNMOVIC's former deputy director Charles Duelfer -- has not provided the UN with any official info on its work or the results of its investigations. Nonetheless, UNMOVIC said it was evaluating Iraq's procurement network during the period from 1999 to 2002 when UN inspectors were not allowed to return and had discovered a sophisticated network to obtain foreign materials, equipment and technology. "To date, UNMOVIC has found no evidence that these were used for proscribed chemical or biological weapon purposes," it said. Iraq, terrorism top G-8 summit topics Washington (CP). World leaders who put on a show of unity to commemorate D-Day are back to dealing with deep divisions over Iraq this wk. US Pres George W Bush, who will host the Group of 8 Summit on Georgia's Sea Island starting tomorrow, needs all the support he can get among European leaders who opposed the US invasion and want to speed the Middle E country's transition to full sovereignty. Bush got a boost over the weekend when Iraq's new interim PM, Ayad Allawi, invited US troops to stay in Iraq beyond the Jun 30 transfer of power, hailing it as a "positive step forward." But it was clear there's still considerable tension between Bush and French Pres Jacques Chirac when the 2 met Sat in Paris. Bush didn't endear himself to the French leader with recent comparisons of the Iraq war and the fight against Nazi Germany in the Second World War. "History does not repeat itself," Chirac said, "and it is very difficult to compare historical situations that differ. The situation in Iraq has to be contained, has to be mastered. We have to roll up our sleeves ... Perhaps we will succeed." While Iraq will doubtless top the agenda, leaders gathering on the exclusive vacation island off the Georgia coast -- protected by the most extensive security measures ever taken for such an event -- will also discuss anti-terrorism, US proposals for broader democracy in the Middle East, weapons reduction, global warming and world economic issues. But some analysts didn't expect much progress on the most contentious items among leaders burdened by economic or political troubles at home. Even US officials downplayed the chances for substantial progress on Iraq. PM Paul Martin, in the middle of an election campaign, will duck out a day early to get back on the road. He's expected to discuss Canada's $300-mn Cdn commitment to help in Iraq and efforts in Afghanistan when he meets Bush tomorrow. The 2 will also likely broach the long-running softwood lumber dispute and Bush's promise in Apr to drop the ban on Canadian cattle that has yet to yield results. Other topics include rising gas prices and US and European agricultural subsidies. In the broader summit, Martin hoped to make headway on global poverty, including how the wealthy Group of 8 countries can facilitate private-sector development in developing countries. Other G-8 countries were expected to push for progress on less divisive issues, including HIV-AIDS initiatives, slave labour and dismantling stocks of nuclear and chemical weapons. Western airliners may be al-Qaeda target Cairo (AP). An Internet statement signed by an al-Qaeda cell in Saudi Arabia warned Mon that the terror network will target Western airlines, military bases and residential compounds and told Muslims to stay away from Westerners. The warning of attacks in "the nr future" appeared on a Web site known for posting messages from militants, including the video in which a terror group with al-Qaeda links executed Nicholas Berg, an American kidnapped in Iraq. The authenticity of the statement, signed "Al-Qaeda on the Arabian Peninsula," could not be confirmed. Al-Qaeda uses the term "Arabian Peninsula" to refer to Saudi Arabia because it rejects the rule of the Al Saud dynasty, after whom the country is named. In Washington, State Dept deputy rep Adam Ereli noted that existing US travel warnings call attention to possible threats to commercial aviation in Saudi Arabia and urge Americans to take that into account when making their travel plans. The statement did not specify that airline attacks would be limited to Saudi Arabia -- but suggested that more attacks on W targets in the kingdom were imminent. It warned that everything associated with "crusaders" -- the term used by militants for Americans and Europeans -- including "compounds, bases and means of transport, especially W and American airlines, will be the direct targets of our next operations in the path of holy war ... especially in the nr future." The statement warns all Muslims to avoid "contact with the American and W crusaders and all non-believers in the Arabian peninsula." Muslims should stay away from Americans and Westerners "in their homes, compounds, movements and means of transport -- in all shapes and forms." The statement said the warning aimed to spare Muslim blood. "We act only to protect them, their religion, honour and life," the statement said. Militants have stepped up attacks on foreigners in Saudi Arabia in past weeks, most recently in a shooting Sun that killed an Irish cameraman and wounded a Brit Broadcasting Corp reporter. On May 29, gunmen attacked a complex housing oil workers in the eastern city of Khobar, killing 22 people, most of them foreigners. During that assault -- claimed by al-Qaeda -- the gunmen reportedly separated out and spared Muslims and Arabs and killed non-Muslims. Previous bombings by al-Qaeda that killed Muslims raised an outcry in Saudi Arabia against the terror network. The statement called on "all security personnel, guards of crusader compounds and American bases, and all those that have stood by America and its allies ... to return to the right path, to separate themselves from non-believers, to become their enemies and to fight holy war against them by money, word and weapon." "This enemy must be fought," the statement said. "There is no other way but to fight it and eradicate it." The statement appeared to be concerned with the American presence in Saudi Arabia rather than in Iraq. It referred to the Arabian Peninsula in its signature and it spoke of "agents of the tyrannical Saudi govt." The Web site has carried several statements and claims of responsibility from Islamic militants, most recently for the Khobar attack. Get back to basics, SARS expert tells health workers SARS: The basics are the best defence. Cairns, FNQ. An internat'l SARS expert says AUS can learn simple lessons about infectious disease control from the Canadian outbreak last y. Dr Michael Murray is the emergency services medical director at the Canadian hospital at the centre of the epidemic of severe acute respiratory syndrome. Speaking at an emergency medicine conference in Cairns, Dr Murray says hospital staff need to get back to the basics of washing hands and wearing surgical masks. "I would not like to see anyone else to have to deal with SARS in order to make them understand the importance of these things," he said. "But having gone through it, you recognise putting on masks and washing your hands is very little to pay in order to prevent as something as serious as SARS." Dr Murray says maintaining those basic practices will be critical in containing the next large-scale disease outbreak. "The pandemic influenza that we've seen every 50 y in the course of history kills 100s of 1000s and certainly that will come," he said. "It's only a matter of time and we need to be prepared for that to limit its impact. "SARS was the warning that we need to put these precautions in place for the next one that's going to be worse." Downer dismisses revelations over Iraq letter Alex Downer says the Govt has taken a lot of abuse over the Abu Ghraib scandal. Canberra. FM Alexander Downer says revelations that an Aussie Army officer helped draft a letter on the status of prisoners in Iraq are a desperate attempt to involve the Govt in the prisoner abuse scandal. ABC TV's 4 Corners revealed last night that Aussie lawyer Maj George O'Kane helped draft a letter which said some prisoners would not be protected by the Geneva Convention. The Dec 24 letter said the US Army took the legal view that "where absolute military security so requires, security internees will not obtain full Geneva Convention protection". The letter was signed by the officer in charge of the Abu Ghraib prison, Brig Gen Janis Karpinski. Mr Downer says Maj O'Kane's involvement is not proof that the Govt knew of the abuse of prisoners in Iraq. "I think it just shows how desperate some people are to try to make a link between AUS and the Abu Ghraib atrocities," Mr Downer told Lateline. "To suggest that somehow AUS is culpable in this whole exercise because an Aussie Maj, which is a very junior officer, was involved in some assistance with the drafting, or the full drafting of a letter, that's more over the top than almost any claim I've heard in a long time." Mr Downer says it is preposterous to suggest the letter means the Aussie Govt was involved in a cover-up of Iraqi prisoner abuse. "You're so desperate that in the end you've found somebody who helped draft a letter," he said. "[It's] not the person who signed the letter, not the person who was responsible for the letter but out of 50,000 serving personnel in the Aussie Defence Force you can find one who helped draft a letter." Mr Downer says the Govt has taken a lot of "abuse" about the issue. "The ABC and the Labor Party are essentially making an argument here that somehow there was an Aussie involvement in these Abu Ghraib atrocities," Mr Downer said. "Now, whenever I say that there are sucking in of breath. I'm going to finish this because we've put up with an enormous amount of abuse about this. "Actually, if an Aussie -- if the Govt is involved in a cover-up, then the Govt therefore ipso facto must have known about the atrocities. "How could the Govt have known about the atrocities?" Labor slams Downer in prisoner abuse row Shadow Foreign Affairs rep Kevin Rudd has described the prison allegations as 'children overboard 2'. Canberra. The Fed Opp'n is again questioning the Govt's knowledge of the Iraqi prisoner abuse scandal. Last night, 4 Corners revealed details of a letter drafted by Aussie military lawyer Maj George O'Kane about the mistreatment of Iraqis held by the US. The document was sent to the Red Cross and admitted some prisoners would not be protected by the Geneva Conventions. FM Alex Downer says it is preposterous to suggest the letter shows the Aussie Govt was involved in the abuse cover-up. But Labor's foreign rep Kevin Rudd says it is an extraordinary development. "This is a serious question of this country's obligations under the Geneva Conventions," he said. "Mr Downer says it's the ABC's fault, it's the ALP's fault, it's uncle Tom Cobbly's fault, it's everyone's fault except the Aussie Govt. "It sounds to me like 'children overboard 2' that is it's everyone's fault except John Howard and Alexander Downer." 9 Iraqi militias said to approve deal to disband Baghdad (NY Times). American and Iraqi officials said today they had received commitments from 9 of the largest independent militias to disband, as part of a process the officials here said would rid Iraq of any private armed groups by the end of next y. The announcement was made by the new PM, Ayad Allawi. It followed wk of negotiations with the leaders of the 9 of the largest militias, which together are thought to have more 100,000 soldiers, nearly all of whom are operating outside any govt'l control. But there were indications that not all of the militias named in the agreement believed themselves to be part of it, and that carrying out the policy might prove more difficult than the writing of it. 2 of the largest armed groups operating inside the country were not included in the agreement: the Mahdi Army, the radical Shiite group that American soldiers have been battling for weeks, and the Fallujah Brigade, a force of ex-Republican Guard soldiers and anti-American insurgents cobbled together last m to end the fighting there. One indication of the difficulties ahead came this morning, when a senior leader of the one of the 9 militias was shot dead by unknown assailants in Baghdad. Under the agreement, the militia leaders agreed to a plan that would transfer their soldiers to the Iraqi police, army and other security services according to specific timetables that will gradually reduce the size of the private armies over time. Militia fighters will qualify for pensions as if they were members of the regular army. Those who don't want to stay will get job training. All told, the program is expected to cost $200 mn. Many Iraqis and Americans have long expressed fears here that the militias, if left unchecked, could derail the democratic elections scheduled for next y or lay the groundwork for civil war. Mr Allawi, who was named PM a wk ago, said the agreement would help strengthen the authority of the new Iraqi govt that is preparing to take over from the Americans on Jun 30. "The completion of these negotiations and the issuance of this order mark a watershed in establishing the rule of law, placing all armed forces under state control and strengthening the security of Iraq," Mr Allawi said from the steps of his office, inside the fortified American compound known as the Green Zone. Indeed, Mr Allawi, who is also the head of the Iraqi Nat'l Accord, a political party, said he had already disbanded the army under his control shortly after the fall of Mr Hussein's govt last y. "We don't have any armed militias anymore," Mr Alawi said of the INA. American officials said they had secured agreements to disband from the 9 largest armed groups, 3 of which, they said, held the overwhelming majority of fighters: the 2 Kurdish political parties, the Patriotic Union of Kurdistan and the Kurdish Democratic Party, which have about 75,000 fighters; and the Badr Brigade, the armed wing of a mainstream Shiite political party, which has about 15,000 fighters. 6 other groups are thought to deploy much smaller armies. Iraqi Hezbollah, a Shiite group; the Iraqi Communist Party; ad the Iraqi Islamic Party, which together are thought to have about 12,000 fighters. In addition to the I.N.A, the militias of 2 other political parties have told the Americans that they have disbanded: the Dawa Party, one of the country's largest Shiite parties; and the Iraqi Nat'l Congress, best known for its leader, Ahmed Chalabi. The development came amid continuing violence in Iraq today. In Kufa, an arms dump exploded nr the town's main mosque, where a radical Shiite cleric presides, officials said. The cause of the detonations was not immediately known. At least one rebel fighter was killed and 9 were wounded, witnesses and hospital sources told Reuters. The American military said in a news release that no American troops were in the area at the time of the explosion and that Iraqi police who had responded to the explosions were repelled by "unknown attackers" inside the mosque. For wk this spring, the mosque was the site of clashes between American troops and forces loyal to the radical cleric, Moqtada al-Sadr. But the town has been calm since last wk, when Mr Sadr and the American authorities agreed to a cease-fire there and in nearby Najaff. Riyadh Moussa, a militiaman who had been sleeping in the mosque compound, told The Associated Press that he had heard a "whoosh of a missile in the air" and a thud when a projectile hit the arms storage area. "I'm sure it was the Americans who did it," he said. "We have no other enemies." An American soldier was killed and 2 were wounded today when a roadside bomb exploded nr Iskandariyah, 40 km S of Baghdad, Agence France-Presse reported, quoting a military rep. American troops shot an unknown number of suspects fleeing the scene, the rep added. The developments came a day after bomb blasts killed at least 21 people in a car bombing at a military base N of Baghdad and at an Iraqi police station 65 km to the south. Iraq official wanted in Germany Baghdad (AP). An Iraqi official charged with purging Saddam Hussein's Baath party from govt faces prison if he returns to Germany -- his home of 25 y -- for his role in an Iraqi Embassy raid. Mithal al-Alusi, a snr aide to Iraqi politician Ahmad Chalabi, is among 6 Iraqis sentenced in the takeover of the Iraqi Embassy in Berlin in Aug 2002, 7 m before the war. A German citizen, al-Alusi left the country for Iraq last Nov and said he notified the judge, who wished him "success." But a rep for Berlin's state court said Mon that al-Alusi and the other men didn't have permission to go. "They had to check in with the police, that was the order of the court, and they haven't," Arnd Boedeker told The Associated Press. "If they return to Germany they will be arrested." Boedeker disputed al-Alusi's claim that the judge allowed him to leave. "I wouldn't think the judges meant that," he said. German police have issued a nat'l arrest warrant for the men, including al-Alusi, director general of the Supreme Committee of Nat'l de-Baathification and a member of Chalabi's Iraqi Nat'l Council. 4 of the 5 men left Germany for Iraq on Mar 10, al-Alusi said. German authorities issued the men travel documents dated Feb 27, 2004. They also provided plane tickets and pocket money -- about $600 each. Al-Alusi produced copies of the travel documents and the Royal Jordanian airline tickets. The fifth, Muslih al-Jabir, stayed in Germany to marry, said al-Alusi. The men who took over the embassy called themselves the Democratic Iraqi Opp'n of Germany and said their actions were "the 1st step toward the liberation of our beloved fatherland." German police commandos stormed the embassy and freed 2 captives after 5 hr. Al-Alusi, who owned a women's clothing shop in Hamburg, did not help storm the embassy, but planned the operation. The men spent 13 m in a German jail before they were each sentenced in Sep to 3 y and 3 m in prison. They were freed pending appeal. Al-Alusi said the judge promised he would be released if al-Alusi agreed to remove from defence evidence a statement by Iraqi diplomats in the embassy that they hadn't been treated as hostages. Jatta Heck, al-Alusi's German lawyer, confirmed his account. They're not so much "free" as "spared imprisonment" pending appeals, Heck told AP in Berlin. She said the Iraqis had to check in with the police, but "the judge was clear -- he signalled that they could also leave." "There is only a nat'l arrest warrant, not internat'l, but the judge has known for many m that he is back in Baghdad and Mr al-Alusi has always said that he will come back when the process goes forward," Heck said. The appeals court has not decided whether to hear the case, she said, but if there's a new trial, her client will return to Germany. If the verdict is upheld, Heck said al-Alusi would return to prison, though he likely would only serve a few months. The other men are Mohammed Tariq Mahmud Jal al-Aukati, 35, Harith Abed Ahmed al-Mashhadani, 35, Abdel Karim al-Khafagi, 45, and Ali Swah Ayada al-Furaidji, 39. They were refugees in Germany. "I am surprised by their behaviour," said al-Furaidji, al-Alusi's deputy at the de-Baathification committee. "We left legally with German documents." Al-Mashhadani said they notified the police and that German intel knew of their plans. "We kept asking if we could really leave and everyone said 'yes.' Police said they didn't mind," al-Mashhadani said. Al-Aukati runs the committee's science dept. Al-Khafagi is a clerk at the committee. The de-Baathification program, which has purged 1000s, uses computer databases and files of 1000s of former party members to identify those who did not commit crimes or abuse their positions. 11 m after its start, occupation authorities in Apr began softening the purge, letting 1000s of teachers and professors cleared as "Baath members in name only" return to work, for example. The top US administrator in Iraq, L Paul Bremer, also announced that the new Iraqi army would recruit former high-level officers from Saddam's disbanded military. Chalabi, who led the purge, called the re-hiring of former party members "the same as Nazis taking part in a German govt." Chalabi, once favoured by the Pentagon that groomed him as a possible Saddam successor, is now embroiled in a battle with the occupation authority. US forces raided his offices and home for documents. Al-Alusi suggested Bremer might be behind the attempt to return him in jail and had asked Chalabi several m ago "to get rid of me." "He said I am a terrorist for making problems with Germans. Chalabi said he's an Iraqi hero and he's no criminal," al-Alusi said. He added: "I am not afraid of Mr Bremer ... Mr Bremer is an American and I'm an Iraqi and I will stay in Iraq and he has to leave." Top Iraq cleric offers caution on UN resolution Najaff (Reuters). Iraq's top Shi'ite cleric, Grand Ayatollah Ali al-Sistani, warned Mon any UN resolution on Iraq that mentions an interim constitution endorsing autonomy for Kurds would have "dangerous consequences." "This law [constitution] was created by an unelected council in the shadow of occupation and under its direct impact," a statement from Sistani's office said. "This matter is illegal and is rejected by most of the Iraqi people. Therefore, any attempt to bestow legitimacy on this law [constitution] by mentioning it in the internat'l resolution ... will have dangerous consequences." Sistani's views hold huge sway with Iraq's 60% Shi'ite majority and his opp'n to measures proposed by US authorities in Iraq has prompted changes in the past. Iraq's Kurds, who make up 20% of the population, are pushing to have measures of autonomy granted to them in Iraq's interim constitution enshrined in the UN resolution. Kurdish PM Nechirvan Barzani said Sun Iraq's unity could be at risk if the resolution did not endorse autonomy granted to Kurds under the present interim constitution. "It would be a great disappointment for the Kurdish people -- we would not oppose the Americans, but we would not participate in Baghdad," Barzani told Reuters. The US and Brit are pressing UN Sec Council members to pass the resolution on Iraq's future quickly, possibly as early as Tue, and were struggling Mon to consider a flurry of amendments to the text. There was little chance the latest draft would accommodate the Kurds, who are threatening to quit the govt unless the resolution endorses the autonomy granted them in the interim constitution, which was signed in Mar. Measures adopted in the interim constitution are not mentioned in the latest drafts of the UN resolution because of long-standing objections from Sistani. Mon's statement from the cleric urged the 15-member Sec Council to take Sistani's objections on board. Militia deal excludes Sadr from power Excluded: The Mehdi Army of Sadr has not signed up to the deal. Baghdad (Reuters). A deal to disband Iraq's militias that excludes the Mehdi Army of Moqtada al Sadr, will effectively exclude the rebel cleric from holding any position of power in the country for 3 y. 9 of Iraq's militias have agreed to disband as part of a rewards and retraining program but the deal does not cover rebel cleric Moqtada al Sadr's fighters. Interim PM Iyad Allawi announced the deal, which will see most of the 100,000 militia fighters reintegrated into Iraq's new security forces. Others will be retrained for jobs in civilian life or go into retirement with a pension. "I am happy to announce today the successful completion of negotiations on the nationwide transition and reintegration of militias and other armed forces previously outside of state control," Mr Allawi said. The deal includes all of Iraq's largest private political armies, including the peshmerga fighters of the country's 2 Kurdish parties, the main Shiite militia and several smaller ones. However, it pointedly does not include Sadr's Mehdi Army group. Officials say that by not becoming party to the agreement, Sadr's militia is now officially recognised as an illegal body. Members of his militia will be banned from holding political office for 3 y after leaving the organisation. "As of now, all armed forces outside of state control, as provided by this order, are illegal," Mr Allwai said. "Those that have chosen violence and lawlessness over transition and reintegration will be dealt with harshly." The Mehdi Army launched an uprising against occupying troops across S Iraq 2 m ago. Last wk US forces agreed a truce with the militia after wk of skirmishing. According to plans presented by the US-run coalition in Iraq, some 60,000 former militiamen will have entered the program by Jul 1. The vast majority will join Iraqi security forces, about 10,000 will go into retirement and others will get new job training or join private security firms. A snr coalition official says $200 mn, to be administered by Iraq's Ministry of Labour and Social Affairs, has been set aside for paying pensions to veterans or to provide jobs, training and education to former fighters. "To reward former resistance fighters for their service, opportunities have been created for them to join state security services or lay down their arms and enter civilian life," Mr Allawi said. "Those who choose to return to civilian life will receive valuable job training and other benefits. "By doing this, we reward their heroism and sacrifices, while making Iraq stronger and eliminating armed forces outside of govt control." Sadr's militia is estimated to be up to 10,000 men strong and is Iraq's largest security threat after the Sunni-led anti-American insurgency. Iraq's interim constitution, which was agreed in Mar, outlaws militias. US officials had often said militias were disarming, although it was clear from the presence of fighters on the streets that they were not. While the agreement may put Iraq on the road to bringing its militias under control, there is not yet any clear process for monitoring and verifying the demobilisation agreement. Kufa mosque explosion kills 2 Kufa (AFP). 2 Iraqis have been killed and at least 9 wounded when a weapons cache used by militiamen loyal to Shiite radical leader Sheik Moqtada al-Sadr exploded. The explosion caused a fire inside Kufa's Great Mosque compound, according to witnesses, medical sources and the US military. Most witnesses say a rocket hit the ammunition depot used by Sadr's Mehdi Army militiamen nr the mosque, causing the dump to blow up. The Great Mosque is where Sadr delivers his Fri prayer sermons. A doctor at the Mohammad Baqr al-Hakim hospital puts the death toll at 2, while the nearby Furat al-Wasat hospital puts the wounded at 9 Iraqis. However, it did not specify whether they were gunmen or civilians. A statement by the US military confirms that an explosion has taken place and that part of the mosque is on fire. "Subsequent reports indicate Iraqi police attempted to investigate the area and render assistance, but were fired upon by Moqtada al-Sadr's militia from the vicinity of the Kufa Mosque," the statement said. "This demonstrates al-Sadr's complete disregard for holy sites because a weapons cache belonging to his militia that was stored there caused the explosion and fire." The shrine is built on hallowed ground where one of the founders of the Shiite faith, Ali, was assassinated in 661 AD. Although it remains unclear whether the blast is a result of an attack, the explosion has shaken the latest truce efforts aimed at putting an end to 2 m of deadly fighting between US forces and Sadr's militia. UN Sec Council on verge of Iraq deal UN (AFP). UN Sec Council diplomats say they expect a deal soon on a new draft resolution on Iraq after the US and Brit offered a last-minute compromise on the text. The council appeared headed for a showdown when the 2 allies presented a new version that snubbed a French request, which had backing from other nations, for a virtual Iraqi veto over US military operations in Iraq. But as consultations dragged on at UN HQ in NY, and with the US and Brit keen on a deal with the Jun 30 hand-over of power in Baghdad approaching, the 2 revised the language on military actions. Although the changes stopped well short of the virtual veto, the text added that US-led forces would consult with the new Iraqi Govt on security, "including policy on sensitive offensive operations". France had been concerned about a repeat of the incident earlier this year in Fallujah, when Iraqi forces refused to take part in a bloody US crackdown on militants. Diplomats say they expect the changes are now enough to satisfy lingering concerns and the 15 nation council would vote on the measure later today. "I think we have reached a state where the resolution has a very good text," German ambassador Gunter Pleuger told reporters. "The new text also reflects our concerns and I think we can live with that." The new resolution would endorse the interim govt of new Iraqi Prime Min Iyad Allawi but also authorise the presence of the roughly 160,000 US-led troops who will remain in Iraq after Jun 30. The US had repeatedly said it would not accept any Iraqi veto over military operations. Instead, the relationship between the Iraqis and the US-led troops was spelled out in 2 letters from Mr Allawi and US Secretary of State Colin Powell which were attached to the resolution. The letters pledged cooperation with the Iraqi Govt and underscore the Iraqi desire for the forces to remain in the country to maintain stability after self-rule begins at the end of the month. The draft says that the US-led force would have "authority to take all necessary measures to contribute to the maintenance of security and stability in Iraq," in accordance with the letters. The UN resolution would also endorse Mr Allawi's interim govt and specify that a separate security force would be dedicated to providing protection for the UN in Iraq. UN Sec-Gen Kofi Annan and his Iraq envoy Lakhdar Brahimi briefed the Security Council just moments after the latest draft resolution emerged. Mr Brahimi oversaw m of negotiations leading to the formation of the interim govt and UN officials are also trying to help Iraq prepare for elections by the end of Jan 2005. "Let me reaffirm our readiness to do our utmost, as circumstances permit," Mr Annan told the council. "We look forward to a clear definition of our role and to the creation of all the conditions, including the provision of security for our staff and adequate resources." Pentagon confirms S Korea withdrawal plan Washington (AFP). The Pentagon confirms the United States is proposing to withdraw 12,500 troops from S Korea by the end of next y as part of a realignment of forces under discussion with Seoul. Richard Lawless, the deputy under-secretary of defence for Asian and Pacific affairs, says US officials presented the proposal at a meeting with S Korean officials. "The proposal contained the following points: First, a redeployment of 12,500 troops from the peninsula over the 2004-2005 timeframe; second, that number does include the 3,600 troops from the 2nd Infantry Division, 2nd Brigade, who will deploy from Korea to Iraq later this year," he said. The US currently has about 38,000 troops in S Korea. There has been a large US force in the country since the 1950 to 1953 Korean war when the US led a UN-force against the communist North. Sharon's coalition teeters after Gaza pullout vote Jerusalem (Reuters). Ariel Sharon's coalition faced possible collapse on Mon when a key far-right partner said it was considering walking out in protest against a cabinet vote approving the Israeli PM's Gaza withdrawal plan. But the govt defeated 2 parliamentary no-confidence motions brought by small opp'n parties, the latest in a series in recent months. The plan was passed by 14 votes to 7 on Sun but only after Sharon placated mutinous ministers in his right-wing Likud party by agreeing not to evacuate Jewish settlements for at least 9 m and then in 4 phases each requiring a vote. By bowing to future votes of his unruly govt for each phase of withdrawal, Sharon effectively left in the air the fate of the 21 settlements in the Gaza Strip and 4 of 120 in the W Bank he said he intended to remove by the end of 2005. Palestinians welcome any pullout from occupied Gaza, but object to plans endorsed by Pres Bush for Israel to keep parts of the W Bank in return. The militant Hamas group called the cabinet decision "a big trick." Israel said it fired missiles on Palestinian guerrilla base S of Beirut on Mon in response to rocket fire at an Israeli navy ship in the Mediterranean earlier in the day. "This evening the [Israeli military] targeted a terrorist base located nr Beirut that is used as a platform for terrorist activity in Lebanon," the army said in a statement. In Beirut, a Lebanese security source said the attack was aimed at an area in which the radical Popular Front for the Liberation of Palestine -- General Command, has a large base. There were no reported casualties. Sharon was clinging to a one-seat majority in the 120-member parliament after firing 2 ultra-rightist ministers to secure the cabinet vote, capping wk of manoeuvring and brinkmanship. Leaders of the pro-settler Nat'l Religious Party (NRP) were split on whether to quit the coalition. Rabbis who help draft NRP policy declined to state their opinion later on Mon before a final decision by the party's parliamentary group, Israeli media reported. * ISRAELIS TIRED OF POLITICAL TURMOIL If the NRP left, the coalition would drop to an untenable 55 seats. This would force Sharon to court the centre-left Labour Party, which favours his plan, or go for an early election, which weary Israelis do not want after 3 in the past 5 y. "We hope the NRP will stay, and even if the NRP does quit, the prime minister has a clear political alternative to obtain a majority," Sharon's chief of staff, Dov Weisglass, told Army Radio in a clear reference to Labour. NRP deputy Shaul Yahalom said while many colleagues opposed leaving Gaza, "some say that if we leave the coalition, Labour will join immediately and the results will be worse." Sharon's govt defeated the 2 no-confidence motions sponsored by leftist and ultra-Orthodox parties which focused on its handling of social issues rather than the Gaza plan itself. Sharon would have been in more peril if Labour, with 19 deputies, had submitted a no-confidence motion threatened but later withdrawn. But Labour showed no inclination to throw Sharon a lifeline before a decision by the A-G, not expected before mid-Jun, on whether to indict him in a bribery scandal. In Cairo, Israeli officials said after talks between Foreign Min Silvan Shalom and Egyptian Pres Hosni Mubarak they were "very close" to a deal on Egypt deploying more police along Gaza's frontier to stop Palestinian arms-smuggling. Cairo's hand is indispensable to any future Israeli troop pullback from a Gaza border corridor Israel says it will leave only after a "reliable alternative arrangement" with Egypt. Palestinian Pres Yasser Arafat wrote to Mubarak saying he accepted his demand for Palestinian security reforms as a condition for Egypt to help stabilise Gaza if Israelis withdraw, Palestinian officials said. But the extent of reforms agreeable to Arafat was not known. He has previously thwarted such steps, complicating US-led efforts to revive peacemaking between Palestinians and Israel. Bush approved Sharon's blueprint to "disengage" from conflict with Palestinians as a potential means of reviving the US-backed peace "road map." Polls show most Israelis are behind Sharon, seeing Gaza as a bloody liability. Some 7,500 settlers live in heavily-protected enclaves among 1.3 mn Palestinians. Israel attacks abandoned base in Lebanon Beirut. Israeli warplanes have struck an abandoned Palestinian militia base just S of Lebanese capital Beirut. The missile strike was in response to an earlier Palestinian rocket attack launched from inside S Lebanon. The Israeli military says planes fired 2 missiles into a camp used by Palestinian terrorists, 20 km S of Beirut. But Palestinian sources say the Popular Front for the Liberation of Palestine had abandoned the base some time ago. There have been no reports of casualties and the Israeli military says the strike was in response to an earlier rocket attack launched by Palestinian militants from over the border in S Lebanon. Aid workers hide as Pakistan hunts threat suspect Afghan/Pak border (Reuters). Pakistani security forces are hunting a suspected Taliban militant accused of planning attacks on foreign aid workers. Officials say they believe the cleric, named Mullah Hashmi Sagzai, may be hiding in a refugee camp on the Afghan border. About 40 foreign aid workers in the SW town of Quetta shut up shop and took refuge in a hotel on Sun after being warned by the Govt that they could be targets of suicide attacks. A snr Govt official in Quetta says anti-terrorism squads have been sent to a refugee camp in Dalbandin, about 250 km SW of Quetta, to search for the suspect. Taliban rep Abdul Latif Hakmi denies that anyone called Sagzai is associated with the fundamentalist guerrilla group. It also says it did not carry out attacks in Pakistan. "We are attacking NGOs in Afghanistan," he said. "The Taliban are not involved in attacks in Pakistan." The Govt warned foreign agencies on Sat that Taliban remnants and Al Qaeda members are planning suicide attacks against the UN refugee agency (UNHCR) and other aid organisations. The chief of security in Quetta wrote to the aid workers on Mon, assuring them of complete protection, and urging them to return to work. However, UNHCR rep Jack Redden says it is waiting for the Govt to clarify the security situation. "In the meantime, we are keeping a low profile with minimal activity." E Timor urged to reconsider Timor Sea tax regime Sydney. The peak body for Aussie oil and gas producers says AUS is providing a more favourable tax regime than E Timor in the Timor Sea developments. Aussie Petroleum Production and Exploration Association rep Barry Jones says the controversy over the maritime borders is a govt issue. But he says E Timor should reconsider its tax arrangements which are considerably higher than AUS. Mr Jones says companies are not concerned about who they pay taxes to, as long as the companies remain competitive. "If we pay more tax as a result in a change of a border, that can threaten the viability of the project," he said. "You know tax is one of the largest operating costs of the industry so all the parties to this internat'l negotiation need to be very careful that they don't end up with a nice set of borders that suit everyone but no project." E Timor pleased over ALP sea boundary comments Darwin. East Timorese Prime Min Mari Alkatiri says the Fed Labor Party has made some very positive statements on maritime boundaries and the division of revenue from the Sunrise Gas Field. Dr Alkatiri addressed an oil and gas conference in Darwin yesterday and reiterated that his Govt will not ratify an agreement to develop the resource until the Aussie Govt provides assurances on sea boundaries. He wants the Howard Govt to agree to a timetable for negotiations and arbitration if the issue is not resolved during that period. Mr Alkatiri would not comment on whether the negotiations would be more successful under a Labor Govt. "It's not my duty to pre-judge but I think we have a lot of friends within the Labor Party," he said. "But Labor is ultimately making statements, very positive statements, on this issue." Yesterday, N Territory Chief Min Clare Martin told the conference the Fed Govt should negotiate a one-off revenue split with E Timor to overcome the impasse on maritime boundaries. EU mulls Congo deployment Brussels (Reuters). The European Union is considering sending troops to eastern Congo after rebels captured a key town last wk, threatening the country's fragile peace process. Belgium's Foreign Min, Louis Michel, says the EU is expected to discuss the matter more later today. "We are in agreement on the principle [of deployment]... But we have to be sure of the modalities," he said. "In principle I am not opposed to this idea. It is a good idea if it is necessary." Congo's turbulent E has plunged into a fresh spiral of violence since renegade troops captured the town of Bukavu on the eastern border with Rwanda last wk. The attack has triggered concerns it could spark a wider war. One of the rebel soldiers' leaders says the Democratic Republic of Congo army was is marching towards the town. "The enemy has advanced towards Bukavu and is now about 10 km from the town," Col Jules Mutebusi said. "We expected them to advance but obviously we will defend ourselves." Col Mutebusi says the advancing regular troops are led by regional military cmdr Felix Budja Mabe, whose forces were chased out of Bukavu on Jun 2. He says they are backed by Mai Mai militia fighters. On Sun, another renegade officer allied to Col Mutebusi, Gen Laurent Nkunda, left Bukavu with some of the 4,000 men he says are loyal to him. That move was in line with a pledge made to the UN peacekeeping force in DRC, MONUC. Congo blames neighbour Rwanda for aiding the rebel troops in the former Belgian colony, who say they are fighting Govt forces to protect fellow Tutsi tribesmen. Rwanda denies any involvement. The European Union approved a French-led emergency intervention force in the NE town of Bunia in Jun last y, the bloc's first military deployment outside Europe. Former Rwandan president jailed Kigali (Reuters). A Rwandan court has sentenced former president Pasteur Bizimungu to 15 y imprisonment for charges that include creating a militia and inciting violence in a country still scarred by the 1994 genocide. Bizimungu, whose trial began on Apr 1, has been convicted of attempting to form a militia group, inciting violence and embezzlement. He has received a consecutive 5-y jail sentence for each. Bizimungu denies all charges. An ethnic Hutu, Bizimungu became president when the ruling Tutsi-dominated Rwandan Patriotic Front (RPF) took power in 1994. The came to power after the genocide in which extremists from the Hutu majority butchered 800,000 Tutsis and politically moderate Hutus. Paul Kagame, whose Tutsi-led Rwandan Patriotic Army ended the hundred days of slaughter, was vice-president. The double-act of Bizimungu, a French-speaking Hutu, and Kagame, an English-speaking Tutsi, was intended to symbolise post-genocide reconciliation. However, their relationship soured. In Mar 2000, Bizimungu resigned after falling out with top RPF members. "City that never sleeps" wants some rest NY (Reuters). New York wants to be the city that sleeps according to Mayor Michael Bloomberg, who has proposed the largest overhaul of the city's noise code in 3 decades. The plan is Mr Bloomberg's latest effort to improve the quality of life for citizens of NY, famously known as the city that never sleeps. Barking dogs, humming air conditioners, booming car stereos, music spilling out of bars and heavy-duty construction noise will all result in fines if council approves the new law. Mr Bloomberg says the new rules will allow NY to stay vibrant "by balancing the need for construction, development and an exciting night life with NYers' well-deserved right to peace and quiet". But many NYers have blamed the Mayor's ban on smoking in bars, put in place last y, for increasing noise by forcing smokers on to the streets to hold loud conversations. Under the new proposal, police and noise inspectors would use a "common sense" standard rather than being required to use noise metres to measure decibels. Any sound that increases the ambient noise in a neighbourhood by 10 decibels during the day and 7 decibels at night will also be punished. No date has yet been set for a vote. The proposal follows an anti-noise crackdown called "Operation Silent Night" by the city 2 y ago. It targeted 24 noisy neighbourhoods and 34,000 tickets were issued. But that campaign failed to quell city noise entirely. New York's complaint hotline logs more calls from residents about noise -- about 1,000 calls daily -- than any other issue. Thailand cracks down on black-market piranha trade Thai officials are warning the piranha could pose a public danger if released into Bangkok's waterways. Bangkok (ABC, Peter Lloyd). Authorities in Thailand are cracking down on a thriving black-market trade in flesh-eating piranha fish. Nearly 500 piranhas have been seized during raids in the past year. Officials are warning the S American species could pose a public danger if released into Bangkok's waterways. It is a long way from the Amazon to the mighty Chao Phraya River that courses around Bangkok. Locals were on the lookout after reports the world's most notorious species of fish, the S American piranha, was making itself at home in the city's waterways. Alas, it turned out to be another proverbial fishing story, big on exaggeration, light on for substance. The story began when authorities expressed the real fear that collectors of exotic fish may well release piranha stock in a crackdown in the trade on illegal species. Nearly 500 have been netted this part year. Thailand's fisheries boss, Jaranthada Karnasuta, says most collectors are a sadistic bunch. "I think there are certain people, they like the violent habits of this fish," he said. Most of the trafficking is done at the capital's weekend market, which is a notorious centre for trade in all kind of illegal species. The piranha is not on show, but a shopkeeper promised he could supply the fish in bulk for more than $200 each. When I told him I thought that was expensive he replied: "That's not expensive, I bought one for 25,000 bhat." That is close to $1,000 for a fish. Other shopkeepers were just as happy to oblige. Back on the water, local children having an afternoon swim were dismissive of official concern about piranhas, claiming the Chao Phraya is simply too polluted for the fish to survive. In fact, the truth is quite the reverse. "These fish can breed all y around in Thailand. Also we believe if we let it in our nat'l water it will spread quite well and rapidly," Mr Jaranthada said. So those who bathe and swim in Bangkok's waterways can only hope piranha collectors keep their nerve. Boy saved as GP gets surgery tips via phone Naracoorte, SA. A doctor in SA's SE has recounted how he performed a life-saving operation on an 11-yo boy while receiving instructions over a mobile phone. A trail-bike accident nr his Naracoorte home 4 wk ago left Harry Moyle with brain swelling that only a neurosurgeon would normally operate on. But Harry's GP, Jeff Taylor, drilled into the boy's skull while receiving instructions over the phone from the head of neurosurgery at the Adel Women's and Children's Hospital. Dr Taylor says he had to act quickly when the boy's condition deteriorated. "[I used] the old-fashioned drill that probably hadn't been used for 15 y," he said. "I suppose fortunately none of us have ever had to use it but this was the day that it had to come out." Harry is recovering in the Adel Women's and Children's Hospital. Insurance industry aims to lift standards Sydney. The general insurance industry is moving to raise standards by developing a new code of practice. A draft code has been launched today and the industry is urging consumers and businesses to comment. The Insurance Council of AUS says the draft code aims to lift standards beyond the requirements of the Fed Govt's new regulatory regime. It covers the issue and renewal of policies, claims handling, responses to catastrophes, disputes and sanctions. Insurance Council president Mike Wilkis says it has been broadened to cover all classes of insurance including small business and commercial lines. "There were over 41 mn policies in force and the general insurance industry on average was paying around $49 mn a day in claims," he said. "I think that certainly demonstrates the effect that this industry has on our community generally. So this public consultation draft code, I think, is going to have a genuine impact on all Aussies." Foster's review writes down wine assets Melbourne. Beer and wine company Foster's Group is to write down its wine assets value by up to $300 mn. The move is part of a sweeping review of the company's global wine trade business, which begun in Jan. The review was in response to more competitive wine industry conditions, particularly in N America. A range of initiatives is expected to generate efficiency gains of $60 mn a y by 2007 and $85 mn by 2009. The company also plans to reduce its planned capital investment by at least 40% but it says there will be a substantially increased investment in brands and marketing. Among a number of management changes, Jamie Odell is to take over as Beringer Blass Wine Estates managing director from Jan next y. Housing, retail slowdowns hit confidence Concerns about the retail sector, along with housing, have hit confidence. Canberra. The cooling housing and retail sectors continue to weigh on business confidence. The latest Nat'l AUS Bank (NAB) business survey shows business confidence halved in May, hitting its lowest level in a year. The bank's chief economist, Alan Oster, says the housing and retail slowdowns are dragging business spirits down despite the benefits of the global recovery. "Other parts of the economy, particularly those in say mining and agribusiness, ie those exposed to a global economy are getting better so it's not all gloom and doom," he said. The record wheat crop is also helping prop up confidence in the wholesale sector. Overall business conditions were steady, with growth slowing from the runaway rates of late last y but still robust. Forecaster tips smaller grain harvest Grain crops are tipped to be lower. Canberra. This year's main grain crop in AUS is expected to be somewhat smaller than last y's bumper harvest. The Aussie Bureau of Agricultural and Resource Economics (ABARE) says the winter crop is forecast to be 2.6 mn tonnes down on the record production of 2003/2004. In its latest Aussie Crop Report, ABARE says 2004/2005 should produce about 36.7 mn tonnes as yields return to average after an exceptional season last y. This year, it says Autumn rainfall across the grain belt has been variable and some S areas are still waiting for sufficient planting rains to allow winter crops to be sown. Farmers urged not to let concerns derail water agreement Canberra. Deputy Prime Min John Anderson has urged farmers not to let concerns about risk derail the water agreement to be discussed at the next Council of Aussie Govts (COAG) meeting later this month. Mr Anderson has opened a Nat'l Farmers Federation (NFF) meeting in CBR today. The NFF has proposed the risk of changing water allocations should be divided in thirds between farmers, states and the Fed Govt. Mr Anderson will not say if he agrees with the plan but says it should not become a stumbling block. "You've got ministers, putting politics aside here very clearly, I think you can see that and they are singing the same tune," he said. "Look, you've got a lot of people negotiating in good faith. "Everyone is going to have to meet somewhere on this because if it falls over we'll never get an opportunity like this again." Anderson hits back at criticism of road plan Canberra. Fed Transport Min John Anderson is angry over the states' criticism of the nat'l road plan announced yesterday. The $12 bn plan will see the Pacific and Hume Highways upgraded to create 2 lanes each way between MEL, SYD and Bris, as well as a host of other road and rail projects. But the NSW Govt has dismissed the funding increase as a disgrace; the Vic Govt says it has been dudded and the Qld Govt says the plan is not good enough. Mr Anderson has hit out at that response, telling Channel 9 the plan delivers a massive increase in road funding. "[It is] really pretty pathetic, isn't it," he said. "I mean Victoria's had a 118% [increase], NSW has had a 76% increase [and] Qld's had about a 2 thirds increase. "Since when have any of their transport ministers, or their govts, put increase into their road funding of that sort of magnitude." Communities urged to help combat Indigenous abuse Perth. The Nat'l Association for the Prevention of Child Abuse and Neglect (NAPCAN) says welfare agencies need to develop specialised cultural skills for dealing with abuse in Aboriginal communities. It has been alleged that Aboriginal children in the Town of Warburton in W AUS's SE are being given solvents by adults in exchange for sex. The Dept of Community Development is investigating and says 2 welfare workers will be placed in the town. But Adam Foster from NAPCAN says welfare workers will need a good understanding of Aboriginal language and culture to enlist the help of the community. Mr Foster says child abuse is traditionally seen as a problem for welfare agencies but he believes communities need to be involved. "What's actually causing that is a question that would be well worth the whole community exploring," he said. Mr Foster says NAPCAN is working with the Aussie Arabic Communities Council and Aboriginal welfare groups to develop anti-abuse strategies for all cultural groups. Resignation to "restore confidence" in ABA Canberra. There has been a generally positive response to the resignation of Aussie Broadcasting Authority (ABA) chairman, Prof David Flint, 4 m before the end of his term. The Fed Govt is now considering how best to replace him ahead of next y's planned merger between the ABA and the Aussie Communications Authority. Prof Flint says his decision is based on that merger and denies he has quit because of public pressure over his involvement in a number of recent controversies. "I don't think my position has become untenable," Prof Flint said. "The board has indicated to me that they could continue to work effectively with me but I think there is a public interest in my vacating the office rather than waiting for what would be a matter of a few further weeks." But ABA board member Ian Robertson believes Prof Flint was finding his position increasingly untenable. "My own feeling, which I expect is shared by a majority of the board of the ABA, is relief to some extent," he said. "This whole episode particularly in recent m has been very distracting and I think we're now free to concentrate on the job at hand without this distraction." * Speculation PM John Howard will not comment on the speculation. "I don't have anything to add to what he's said at his news conference," he said. Prof Flint insists Mr Howard's office did not pressure him to quit, but concedes none of Mr Howard's staff tried to stop him leaving. Derek Wilding, the director of the Communications Law Centre at the University of New S Wales, is both surprised and pleased at the news of Prof Flint's resignation. "It provides the opportunity for restoring some public confidence, I think, in the role of the broadcasting authority," he said. Prof Flint's deputy, Lyn Maddock, will act in the position until the Govt fills the vacancy. Communications Min Daryl Williams says he will also consider replacements for other outgoing board members. FM Alexander Downer says Prof Flint's replacement is unlikely to be former communications minister Richard Alston. "I'm not sure that he particularly aspires to that job," Mr Downer said. "I know Richard very well and I've seen him recently. He never mentioned that to me so I have no idea. "David Flint's only just resigned and we'll wait and see what recommendation Daryl Williams comes forward with for a replacement." The Aussie Democrats say the ABA must have a merit-based appointment process. Communications spokesperson John Cherry fears there will be a political appointment otherwise. "I'm deeply concerned that given this Govt's track record of putting political mates into positions that if we don't change the act and put in a merit-based appointments process, we will get another mate into this position," he said. "I think the last thing the ABA needs after the experience the last couple of y under Prof Flint is another mate in such a sensitive political regulatory position." Flint's resignation surprises everyone Canberra (ABC, David Hardaker). The head of the Aussie Broadcasting Authority (ABA), Prof David Flint, has resigned in a move which has taken just about everybody by surprise, including his own board. Prof Flint had managed to weather 6 wk of intense scrutiny after revelations from the ABC's Media Watch program and it seemed to most observers that he would see out the little that's left of his term, which expires in Oct. The ABA chairman has been under extreme pressure over a number of claims of conflict of interest, most notably over letters which he exchanged with the controversial broadcaster Alan Jones, just four months before sitting on an inquiry into Mr Jones. In announcing that he would be stepping down as head of the ABA, Prof Flint said it was proof of how well democracy worked. "It's an irony, isn't it that the formal head of the Press Council and chairman of the ABA should find himself the subject of what eventually became a feeding frenzy?," he said. "But it encourages me in one particular way -- that is that you and I live in a country in which it is possible for the head of the media regulator to be subjected to requirements as to accountability and perhaps some excesses and yet that be done without anybody suffering any, certainly on the media side, suffering any disadvantages." The manner of Prof Flint's departure is as idiosyncratic as much of his tenure as head of the ABA. He told no one, bar one board member, of his decision. 2 board members contacted by PM said they had no idea of what was to come and had only learnt through a press release that "something" was happening. And his reasoning also took some deciphering. First Prof Flint said it was all about a planned merger of the ABA and the Aussie Communications Authority (ACA), which is due to take place early next year. Prof Flint wanted a seamless transition, untrammelled by controversy. But under questioning from PM and others, that melted away. Asked why he was resigning now when the merger was not happening until early next y, Prof Flint replied: "I think the Govt has indicated that it would wish to put in place a board of the new authority before the taking to effect of the new legislation. "They have kept the position of chairman of the ACA vacant and I see that there would be an advantage in doing that and for the other reason that I have indicated, that is that I think the merger should proceed seamlessly and in the absence of controversy." Asked whether it was a convenient cover for the fact that his position had become untenable, Prof Flint had this reply. "I don't think my position has become untenable and the board has indicated to me that they could continue to work effectively with me," he said. Prof Flint though lost board support dramatically 6 wk ago. That's when the Media Watch revealed an admiring letter, which he had written to the high profile broadcaster Alan Jones. He had written the letter 4 m before taking the chair of a special inquiry into Mr Jones but had failed to declare it, even though he had remembered 2 other fleeting contacts with the broadcaster. After that revelation, the ABA chairman only managed to dig himself into a deeper and deeper hole. He declared that the letter was only one of a stream of letters, then later corrected that to be just a trickle of letters, maybe only 1 or 2. But as he announced his resignation, he refused to say he did the wrong thing. "I in no way resile from the substance of those letters, whether they might have been on my personal letter head, or whether I might have expressed them orally, are things one can reflect over. I don't think there was any great moment in those letters, certainly when they were written, I had no knowledge of anything anybody else had of the events which would follow several m later," he said. But as is often the case, from little things, big things grow. Prof Flint's written indiscretion with Mr Jones led to more claims of bias. Ultimately he was forced to excuse himself not just from any complaint into Mr Jones, but into Mr Jones radio station, 2GB. As well, he had stepped aside from any inquiry into allegations against the ABC's AM program, having gone into print critical of the ABC. The Labor Party was also demanding he step aside from any complaint about political broadcasting, given that Prof Flint had involved himself in a recent Liberal Party preselection. In the end a majority of his 7-member board had become exasperated with him. But they were powerless to move against him. What may have been critical is the role of the PM. Mr Howard had described Prof Flint's failure to disclose his letters to Mr Jones as something he should regret and for a good month, Mr Howard's office has failed to give him unqualified support. Instead his office had been saying they were waiting for dept'al advice on the letters. Prof Flint denies there was pressure to resign from the Prime Min's office? "Not a dot of pressure. It is my decision and my decision alone," he said. "I didn't speak to the PM himself, I spoke to his staff and they said that they would be informing the Prime Minster. "A number of people have attempted to dissuade me. Nobody from the Prime Minster's office." Opp'n communications rep Lindsay Tanner has consistently called for the Govt to move on Prof Flint. "I welcome Prof Flint's resignation. It is good to see that he at last has summed up the courage to do the right thing, even if John Howard couldn't," Mr Tanner said. Prof Flint's resignation may have come as a surprise to the ABA's board but at least one board member, Ian Robertson, says he is relieved by the resignation. "Well my own feeling, which I expect is shared by a majority of the board of the ABA, is relief to some extent. This whole episode, particularly in recent m has been very distracting and I think we're now free to concentrate on the job at hand without this distraction," he said. "It is very important that the right processes are put in place now to ensure the new authority is as effective as possible. I expect, though, that he's probably felt his own position to be increasingly untenable." Latham welcomes Flint's resignation Canberra. Fed Opp'n leader Mark Latham has welcomed the resignation of Aussie Broadcasting Authority (ABA) chairman Prof David Flint. Prof Flint announced he will be standing down and insisted it had nothing to do with recent controversies surrounding his position. Speaking at an outer MEL primary school Mr Latham said Prof Flint had too many conflicts of interest to continue. He says the Fed Govt should not rush to find a replacement. "If the Govt is going to have an early election then obviously they shouldn't rush in, that should be something that happens after the election," he said. "But if the election goes out towards the end of the y then one would logically expect the Govt will put someone forward and we'll judge that person on their merits." Garrett row threatens to embarrass Latham Oil troubles waters: Local members are dismayed by the nomination of Garrett. Sydney. An internal Labor Party brawl threatens to embarrass Mark Latham, with rank and file members refusing to accept the fed leader's choice of candidate for a safe SYD seat. Mr Latham has personally endorsed environmentalist Peter Garrett for the inner-city seat of Kingsford Smith. The Labor leader has made it clear he wants Mr Garrett on Labor's side, saying it would be an honour if the former lead singer of rock band Midnight Oil would join the ALP. "To have someone of Peter Garrett's quality and reputation around AUS would be an asset for our party, an asset for the nat'l Parliament," he said. Officials from the party's executive met yesterday to discuss nominating Mr Garrett as the preferred candidate, without holding a rank and file vote. That has upset local branch members, including Dominic Sullivan who is planning to stand for preselection. "Party members are understandably aggrieved, I mean they're the ones who raise funds for the party and who work for the party," he said. "I believe they deserve their opportunity to choose their local candidate," Mr Sullivan added. Party assistant general secretary for NSW Mark Arbib, says the executive wants to talk further with the members and the leadership before it makes a decision. But if the infighting continues and locals win the brawl, it will be an embarrassing rebuff for Mr Latham. Labor stalwart attacks Garrett plan Sydney. ALP power-broker Bill Ludwig has attacked the party's leadership for offering a plum seat to environmentalist and former Midnight Oil front man Peter Garrett. Fed Opp'n leader Mark Latham says he would be "tickled pink" if Mr Garrett stood for the ALP in the safe SYD seat of Kingsford Smith. "To have someone of Peter Garrett's quality and reputation around AUS would be an asset for our party, an asset for the nat'l Parliament," Mr Latham said. But local party officials are fighting the move and they now have the backing of Mr Ludwig, a member of Labor's nat'l executive and the fed president of the Aussie Workers Union. Mr Ludwig says the move would send a dangerous message to hard-working supporters of the party. "I think the leadership has lost the plot to some degree," he said. "Are we just going to recruit people from whatever populist, particular position that they come from within the community and ignoring the will of those party members that really thought that all the y that they have put in that they would have some input into selecting the candidate." Mr Garrett has not commented on the speculation that he may run in Kingsford Smith, though a spokesperson said he was "considering his options". * Principles Aussie Greens Sen Kerry Nettle says she does not believe Mr Garrett will join Labor. Sen Nettle says she has worked closely with Mr Garrett on a number of environmental issues, including the logging of rainforests and uranium mining. She says Mr Garrett would have to sacrifice some of his main principles and ideals if he signs on to run for Labor in Kingsford-Smith. "I would genuinely be surprised if that was something that Peter was prepared to change -- that fervent fever for protecting our environment -- which he would need to do if he decided to play a role in an ALP parliamentary party," Sen Nettle said. Officials from Labor's executive met yesterday to discuss nominating Mr Garrett as the preferred candidate for Kingsford Smith without holding a rank-and-file vote. That has upset local branch members such as Dominic Sullivan, who is planning to stand for pre-selection. "Party members are understandably aggrieved, I mean they're the ones who raise funds for the party and who work for the party," he said. "I believe they deserve their opportunity to choose their local candidate," Mr Sullivan added. Bush not interfering, says GG Perth. Aussie G-G Michael Jeffery believes the US Pres George W Bush was not interfering in Aussie politics by commenting on Labor's pledge to withdraw troops from Iraq. During Prime Min John Howard's recent US visit, Mr Bush told a media conference any decision by AUS to withdraw from Iraq would be disastrous. The comment has been interpreted by many in the Labor Party as an attempt to interfere in Aussie politics. But Maj-Gen Jeffery has told ABC Radio in Perth, Mr Bush's answer was direct and truthful. "I interpreted it in the context that he got a straightforward question from an Aussie reporter on what would be his views if we carried out a certain action," he said. "I won't comment on that but I think the Pres gave an honest answer as he saw it." Pilots breached safety laws says CASA Launceston, Tas. 2 Qantas pilots charged with recklessly operating an aircraft have had their case adjourned in the Launceston Magistrates Court this morning. Peter Maxwell Edwards, 61, of Eltham in Vic and 39-yo Stephen Sarunic of Essendon in Vic are charged with 2 counts of reckless operation of an aircraft. Around 77 people were on board on the Qantas Boeing 737-400 which flew from Launceston to MEL in Oct 2001. The Civil Aviation Safety Authority alleges Qantas pilots Peter Edwards and Stephen Saranic failed to activate the Launceston Airport's runway, taxiway and obstacle lighting system before take off, around 11 pm. CASA says the flight arrived in MEL without incident but it believes the alleged actions breached the Civil Aviation Act. The men were not required to enter a plea or be present for their first appearance. The court heard the men's defence lawyers are yet to receive a detailed brief from the Commonwealth Dept of Public Prosecution. The matter was adjourned until the middle of next m. Vic prosecutors to drop corruption case: sources Police informant Terrence Hodson and his wife were shot dead in their MEL home. Melbourne (ABC, Nick McKenzie, Rachel Carbonell and Rafael Epstein). The Office of Public Prosecutions in Vic will drop drug-related charges against a suspended police officer tomorrow after an informer due to testify in the case was murdered last m, sources have told the ABC. DS Paul Dale is currently charged with conspiring to traffick large commercial quantities of illegal drugs. He was charged along with another policeman, David Miechel and police informer Terrence Hodson. Hodson was to testify against the officers but he and his wife Christine were shot dead in their E Kew home last m. Dale and Miechel have consistently denied any wrongdoing. ABC Radio's AM program has been told the Office of Public Prosecutions will drop the charges against Dale tomorrow. But Vic's Chief Commissioner, Christine Nixon, will use her 'no confidence' powers to sack Dale after the charges are dropped, sources say. Commissioner Nixon used her tough new 'no confidence' powers for the first time last week, moving to sack another officer, though not in relation to corruption issues. With the Vic Govt looking to toughen the Commissioner's powers to sack officers, Paul Mullett from the Police Association wants an independent body to review those decisions. "The Chief Commissioner does have discipline powers to remove members, yes she does have the no confidence provisions," Mr Mullett said. "But all those are best placed before an independent and external tribunal." The Office of Public Prosecutions is believed to be reviewing the charges against Detective Miechel. The ombudsman is investigating how a secret police file on Hodson was leaked to the underworld, with some police believing the leak could have contributed to his murder. Vic police chief moves to sack officers Christine Nixon has moved to dismiss 2 officers. Melbourne. The Chief Commissioner of Vic Police, Christine Nixon, has moved to dismiss 2 police officers as part of a crackdown on corruption and says up to 20 more dismissals could follow. She says Detective Sgt Paul Dale from the Major Drug Investigation Division and Snr Constable Edward Robb from Benalla are suspended and have until the end of the m to show why they should keep their jobs. The actions represent the 1st time Commissioner Nixon has used Vic's 'Commissioner's confidence' powers to dismiss members of the force. Commissioner Nixon says up to 20 other officers may also face dismissal. "Over the coming months, I intend to use this power in a bid to ensure that Vic Police is corruption free as best we can," she said. Detective Sgt Dale is facing drug-related charges but the Office of Public Prosecutions will drop those charges tomorrow, after the police informer who was to testify against him, Terrence Hodson, was murdered last m. Commissioner Nixon says the 'no confidence' powers are an important tool in fighting corruption, as courts and juries are generally loath to convict police officers. "I have to make some decisions about the way we deal with people and so 'commissioner's confidence' is part of it," she said. "Criminal charges where there is sufficient evidence to convict people is part of it as well." WA police hunt 4WD roo killers Perth. 6 kangaroos were killed in the SW W Aussie town of Australind on the weekend when they were deliberately run down by four-wheel drives. Police say they have an idea who killed the animals after examining three vehicles at the scene and questioning a number of people. Australind residents have been calling for increased patrols in the area for more than a y after an increase in hoon behaviour by young drivers. Senior Constable Craig Ralph says the scene was devastating. "It's quite a popular place for residents in the area. They actually take people down to Cathedral Avenue to show them where the kangaroos are...you don't know what sort of people can do something like this, but hopefully we'll be able to get to the bottom of it as soon as possible," he said. Astronomers count down to Venus transit Siding Springs Obs, NSW. Venus will leave a little black dot as it passes in front of the sun today, creating an image not seen since 1874. The head astronomer at Siding Springs Observatory at Coonabarabran in central-western NSW, Fred Watson, says Venus will look like a beauty spot on the sun. The transit begins from 3.00 pm today. But Dr Watson is warning people who want to view the transit of Venus not to look directly at the sun. "[Venus] is probably about a 60th of the diameter of the sun, something like that," he said. "All you see is this little black circle silhouetted against the sun, which is why someone beautifully described it as the sun will have a beauty spot." The transit of Venus will happen again in 2012 and then there will be another 120 y wait. The College of Ophthalmologists has warned that it is dangerous to look directly at the sun and says even using devices such as sunglasses, welder's masks or darkened mirrors will not protect those wanting to watch Venus's transit from damaging their retinas. College president Peter Henderson says people who are interested in the event should watch it on an Internet webcast. "With modern technology we've just got a great advantage to be able to see the great detail which is available by webcams -- people should be watching it through that," he said. James Cook University's Centre for Astronomy will offer one such webcam but Dr Watson has suggested viewers try some older technology. "If you get a piece of paper or card and put it behind the eyepiece of the telescope or the binoculars then what happens is you can focus the telescope so it makes a sharp image on this card," he said. "You're then looking at the card with your back to the sun so it's not dangerous." The vice-president of the Astronomical Society of Vic, Perry Vlahos, says the transit will look amazing so long as the weather is clear. "An intensely black spot moving over the front of the sun's disc, which is very bright, and the brown dot of Venus is about the size of a marble with the sun's bright disc being about the size of a beach ball -- that's how it appears to us from earth," he explained. Mr Vlahos says there is a strong connection between Capt James Cook and the rare astronomical event. "Cook's visit to the S Seas was initially 1st to observe the transit of Venus in Tahiti in 1769 and then he opened a second envelope with new orders to go and find the 'Great S Land' and map its Eastern coast, which is what he did later," he said. Astronomers have suggested Perth and Darwin will be the best places in AUS to view the transit. Bank robber returns to crime scene, repays cash London (Reuters). A Brit robber who stole about $300,000 in cash from a bank broke back in a wk later to give most of it back, police say. The thief got into the Barclays Bank in E London, smashed a window and helped himself to the cash in the automatic teller machine. A wk later, baffled staff called detectives to say the robber had returned about $270,000. "We were contacted by staff saying a large amount of cash had been found in a black bag in the premises," a police rep said. Police are investigating whether the bizarre double break in, thought to be unique in Brit, was an inside job, The Sun newspaper reports. "We know we offer cash back facilities but we didn't expect anything like this," a Barclays insider told the paper." {{ 1 am BBC World Service. Kigali. The former Pres of Rwanda has been sentenced to 15 y in prison on a number of charges, inciting a civil disturbance. The Pres, a Hutu, was accused of threatening state security. His trial has been dramatic, with one witness withdrawing testimony, saying it had been given under police pressure. The interim Iraqi govt says it's reached an agreement on disbanding 9 militias. Originally they belonged to groups who opposed Saddam Hussein. But the groups to be disbanded do not incl those recently fighting US forces. The 9 factions have members in the cabinet. They've agreed to integrate themselves into the nat'l security forces or civilian life by next y. Groups that have not agreed to disband are now outlawed. The move should mean Iraqi nat'l elections will be less vulnerable to intimidation. The US has confirmed it's proposed withdrawing 12,000 troops by the end of next y from Korea. The withdrawal incl 3,600 soldiers already earmarked for re-deployment to Iraq. Until recently, the US had denied reports troops would be removed permanently. The Pentagon now says it's part of world wide changes to make US forces more flexible. The US says new weapons will compensate for the loss of US personnel in the sensitive region. The largest-ever conf on Palestinian refugees is being hosted in Geneva by the Swiss Govt. Reps from 70 countries and 30 organisations are attending. The meeting comes at a time that fin'l aid for Pals is in decline. 1.5 mn Pals live in camps in Gaza and Lebanon where the UN says the need for aid has risen dramatically. The most pressing issues to be discussed will concern the inability of the internat'l community to solve the Pal problem of statelessness. Brit PM Blair says the world needs to remain vigilant for terrorism after an attack on BBC journalists in Saudi Arabia. Human Rights Watch has attacked Iran. It says the sit'n in Iran is worse than at any time since Hatamei came to power in 1997. Tehran has abandoned its duty to dispense justice fairly, says HRW. It also accused the Iran govt of abuses in illegal detention centres. A 5 day period of mourning for former Pres Reagan has begun. 2 am DW Radio News. Chancellor Schroeder says the UNSC is close to an agreement on the Iraq hand-over Res. US amb to the UN Negroponte says he will present the latest version of the Res later today. An arms depot in a mosque in Kufa has exploded. The blast killed 3 and wounded several others. Al-Sadr has blamed the US for the explosion. But American cmdrs says their forces were not in the area at the time. Israeli PM Sharon seems to be facing the collapse of his ruling coal'n. The NRP is debating whether to pull out of the govt. The row was sparked after Cabinet agreed to the withdrawal of 24 Jewish settlements from Gaza and the W Bank. The pull-out will start next Mar. Israeli has announced it will purchase 2 German subs. Saudi forces are looking for killers of a BBC journalist. 1 Brit is still in critical condition in hospital after surgery for several gunshot wounds. It was the 4th deadly attack on W-ers within 5 wks in the Kingdom. 5 aid groups in NW Afghanistan are pulling out of a prov after a grenade attack on an Italian NGO. There were no cas in the attack. Doctors Without Borders is one of the groups ceasing ops. Elsewhere, election officials were attacked with RPG's in the S. There are emergency talks in Europe and the UN to end the crisis in the DRC. At least 100 people have died in the last fews days. The crisis was sparked last wk after the town of Bukavu was seized by a rebel general. The town had been nominally under UN control. 2.15 am DW Radio, Kabul. A growing number of Afghans have come forward, claiming they have been physically, psychologically and sexually abused while in US detention at Bagram AFB, Afghanistan. At least 3 prisoner deaths have also been ruled "murder" by the US military. Afghanistan and US reps characterise it as "a few bad apples". But human rights groups say there's evidence abuse is widespread across US facilities in Afghanistan. The US military have turned down requests for rights groups to inspect prisons, adding it allows only the Red Cross into US facilities. 8 am Wall Street stock prices have been driven higher by stabilising oil prices and the latest United States employment measures. Companies are bracing for a slower start to the new FY with a new survey showing business expectations have fallen. 9 am The Aussie share market has pushed further into record territory this morning. Midday. The Aussie share market reached new highs today with the All Ordinaries peaking at a record 3,484.7 in afternoon trade before settling back to be up almost 16 points at just over 3,482. The Office of Public Prosecutions in Vic will drop drug-related charges against a suspended police officer tomorrow after an informer due to testify in the case was murdered last month, sources have told the ABC. The peak body for Aussie oil and gas producers says AUS is providing a more favourable tax regime than E Timor in the Timor Sea developments. 4 pm A bomb has exploded outside a US HQ in Baquba, killing 4 Iraqis and injuring 10 others. FM Downer has warned the ALP that recruiting Peter Garrett will damage Australia's relationship with the US. Garrett is a long-standing anti-nuclear campaigner and has demonstrated against US bases and nuclear targets in AUS. The AUD is trading around 70.37 US c. The All Ords has fallen to 3,480. In Japan, the Nikkei is up 82 pts. The Hang Seng is up 130 pts to 12,457. The FTSE is not trading yet. Gold is around $US394.05/oz. 4.30 pm The All Ords has closed unchanged. 5 pm MEL astronomers got what that wished for -- a clear sky for viewing the 6 hr transit of Venus. More than 100 visitors at the MEL Observatory watched the approx 1-in-122 y event. The next one's in 8 y. Israeli warplanes have fired 4 missiles at a deserted base 8 km s of Beirut. There were reportedly no cas. It's the first attack in C Lebanon in around 3 y. The Israeli military says the attack was in retaliation for a rocket attack on a naval vessel. Pal reps say the base is now a clinic and is not used for military purposes. [Other reports say it was deserted at the time]. 6.30 pm Iraq hand-over. A vote expected in the early hrs of tomorrow morning, AEST. A unanimous vote is expected. The main sticking pt -- US force and the interim govt> Despite snubbing the French idea to give the interim govt a veto over US operations, France says it's satisfied with the final wording of the Res. The Res gives the interim govt some powers over foreign forces. Meanwhile, the violence continues. 5 Polish troops have been killed during a de-mining operation S of Baghdad. In Mosul, 3 suicide attackers blew up 2 car bombs, 45 mins apart, and killed 10 people and injured at least 100. In the run-up to a G8 meeting in Georgia, US, differences remain over Iraqi debt. AUS has renewed travel warnings about Saudi Arabia. A terrorist web site threatens new attacks on W compounds and airlines in the Kingdom. The warning comes after an attack on BBC journalists. Authorities say they've renewed a crack-down, and that has led to new arrests. But officials also admit the sit'n is not completely under control. A new BBC team has arrived in Riyadh to investigate the first attack. 1 journalist remains in critical condition in hospital. New evidence has emerged that Aussies soldiers abused POW's in Somalia 11 y ago. Soldiers are accused of an assault on a POW during an interrogation. According to an Aussie witness, a rifle barrel was shoved into the prisoner's mouth and he was "slapped around a bit'. A new Newspoll commissioned by SBS shows 44% of Australians oppose gay marriage. But 38% agree with it. 18% are uncommitted. The govt says it will ban gay marriage in the nat'l interest. But activists say the idea will eventually be accepted by the community and govt has no mandate to ban it. Pollster Sol Lebovic said the survey was a "close" result. 7.30 pm At least 6 Coal'n soldiers have been killed in a de-mining operation S of Baghdad. The soldiers are from Poland, Slovakia and Latvia. They arte the first KIA's for Slovakia and Latvia in Iraq. A rep said the blast happened when soldiers were working in an ammo dump dating back to the Saddam regime. 10 pm Oil is trading at $US39.00/bbl. 11 pm The Italian FM says 3 Italian hostages in Iraq have just been released. [Some reports say the Italian govt paid a secret ransom for them]. Reuters says there's been another shooting in Riyadh. The agency quotes a Western diplomat saying an American has been killed. But the report has not been confirmed. At least 2 people have been killed by falling rocks after Mt Bromo erupted in E Java, Indonesia. Elsewhere, in the far NE of the country, some 15,000 have fled another volcano that started erupting earlier this wk. Israel says Hezbollah has fired rockets and mortars at posts in the disputed Shebaa Farms border region. The KDP is worried that the interim constitution doesn't mention the independence of the Kurdish region of N Iraq. In a letter from Kurdish leaders to Mr Bush, they reminded the US Pres they are unhappy about not being included in the positions of Pres or PM of Iraq. Reps say no decision has been made about a proposed boycott of the up-coming elections. Police in Italy have arrested at least 3 men they belive were involved in the Madrid bombings. Italy say one man played a prominent role in al-Qaeda bombings in which 191 people died. Shortly after, Belgian police said they'd arrested 15 men in connection with a planned attack. Microsoft has launched an appeal against the EC. The EC had accused M/S of using its monopoly position unfairly to bundle its media player in Windows and exclude competition from other s/w. While the $US600 mn fine was not a problem for the cash-rich company, analysts say M/S is afraid the EC could move on to claim unfair competition in other components bundled into its popular O/S. 11.30 pm A court in Moscow has set a trial date for Khodorkovsky. He will stand trial on Wed next wk. His trial will be combined with one of his business associates. 300 people at an ALP meeting in Kingsford Smith have sent a message to Opp'n leader Mark Latham, saying they don't want Peter Garrett imposed on them in the next Fed election. "Don't bother applying", one local ALP member said. }} ---------------------------------------- Wed, 09 Jun 2004 HEADLINES: Oil prices rebound after "attack" on Iraq pipeline US steps up pressure for massive Iraq debt forgiveness UN endorses Iraq sovereignty transfer UN council approves new Iraq deal Suicide car bombs in Iraq claim more lives Iraq-Turkey pipeline attacked Iraq hostages sold: cleric Iraq deal allows US to take prisoners G-G should stay clear of Iraq debate: expert G-8 summit opens with attention on Iraq Brit Muslims, angry over Iraq, to punish Blair's party 4 hostages freed in Iraq 18 anti-terrorism arrests made in Europe 2 quit Israeli Cabinet over Gaza pullout AUS joins terror exercise AUS to join anti-WMDs effort Arrests made in ganglands swoop Ashcroft refuses to hand over torture memo Ashcroft says Bush rejects use of torture Aust man deported from Thailand Autopsy report confirms Crick was cancer-free Belgium arrests 15 "Islamic extremists" Blair confident he wasn't misled on WMDs Bush team accused of sanctioning torture Canada expects to harmonise feed rules with US Cancer patients' genes used to tailor treatment: study Car bombs, mine blasts kill 21; Turkish hostages paraded Charity likens Qld prisons to Abu Ghraib Chief Min backs regional bodies to replace ATSIC Chirac gives lost Kiwi veteran a lift to Paris Consumer sentiment resilient, housing attractive Date set for Yukos tycoon's fraud trial East coast koalas could die out Fragile N Korean economy grows G8 leaders gather for meeting Gabon plane crash kills 16 Govt promises to look after minerals industry Gunmen kill American in Riyadh Hezbollah, Israel exchange fire Iran fostering trust with Europe on nuclear issue: Kharrazi Israeli helicopters strike Gaza workshops Latham unsure Garrett wants Labor gig Man shot dead answering front door Markets cautious as rates speculation grows Mineral exports earnings decline PBL appoints new CEO in shake-up Palestinians to lose jobs as Israel closes industrial zone Rates will rise if inflation grows: Greenspan Resolution exposes Shia, Kurd divisions Roh nominates new S Korean PM Rumsfeld authorised torture techniques Suspended policeman pleads case against sacking Third child dies after Matraville house fire UN resolution hastens troop return: PM US base to "pressure" Indonesia US troops free hostages US's Ashcroft won't release or discuss torture memo Venus captivates star-gazers Vic scientists to map wallabies' genome Warning issued on pregnancy drug Web domain registrations hit 63 mn Zimbabwe to nat'lise all farmland: report Iraq-Turkey pipeline attacked Kirkuk (Herald Sun). Saboteurs attacked the Kirkuk-Turkey pipeline on Sun, the security chief for Iraq's N Oil Company (NOC) said today, shortly after another official of the firm had denied any such attack. "Assailants detonated sound grenades on the pipeline Sun at dawn (local time), 120 km E of Kirkuk, causing damage, and a loss of a huge quantity of oil," said NOC security chief Ghazi Talabani. "The oil loss has been stopped and a group of technical experts are repairing the pipeline and the damage could be repaired by Tue night. Restarting production depends on the decision of the coalition and the oil ministry," he said. Earlier, NOC's project manager Abdullah al-Rubai said there had been no new attack on the Kirkuk-Turkey pipeline since May 24 and that the main export artery was about to reopen. Oil prices rebound after "attack" on Iraq pipeline London (The News, Pak). Oil prices shot higher in trading on Tue amid reports of an attack on a key pipeline in N Iraq, analysts said. The price of benchmark Brent N Sea crude oil for Jul delivery rose by 57 cents to 36.53 dollars/bbl in early afternoon trading in London following reports of the pipeline attack. NY's reference light sweet crude Jul contract climbed 41 cents to 39.07 dollars/bbl in pre-opening electronic deals. The contract remained a long way from a record high level of $42.45/bbl, however, seen in electronic trading on Jun 1 following a deadly attack in oil kingpin Saudi Arabia. "Prices are back up on the back of an attack on Iraq's vital oil pipeline to Turkey, which has again halted crude flows," Commerzbank analyst David Thomas said. "The rally is due to headlines about the attack on the Kirkuk-Ceyhan pipeline," said Prudential Bache analyst Christopher Bellew. Northern Iraq's pipeline which takes crude from the Kirkuk oilfields to Turkish's Mediterranean terminal of Ceyhan has not been in regular use since last Aug because of a series of sabotage operations blamed on anti-US guerrillas. Saboteurs meanwhile attacked a pipeline in S Iraq last m, halving tanker loadings from the port of Basra of about 1.7 mn bpd. Thomas said the latest attack in the N would reduce Iraqi oil exports by about 350,000 bpd. He added that oil prices were also winning support from a looming general strike in Nigeria against rising fuel costs. "In terms of support for oil prices, there is also the oil strike in Nigeria scheduled for tomorrow, which is a general strike and looks like it could disrupt exports," he said. Nigerian officials were meanwhile making a last ditch effort to head off the strike, with the Fed Govt going to court in Abuja seeking an injunction to halt the nationwide action. World oil prices had been easing following an agreement by the Organization of Petroleum Exporting Countries in Beirut last wk to raise its daily production ceiling of 23.5 mn barrels by 2 mn next m and by another 500,000 barrels in Aug. Prior to OPEC's move, prices surged to record high levels after suspected Islamist militants killed 22 people, many of them foreigners, in a shooting rampage and hostage-taking drama in Saudi Arabia's eastern oil city of Al-Khobar. Mineral exports earnings decline Canberra. There has been a 2% decline in the value of AUS's mineral exports in the Mar quarter. The Aussie Bureau of Agricultural and Resource Economics says total offshore earnings from mineral resources have fallen to $12.6 bn. In the latest Aussie Mineral Statistics, it says the weaker performance reflects lower export volumes for more than 3 quarters of the minerals and energy products that AUS exports. Export earnings are down 10% compared to this time last y. In the latest period, there have been significantly lower receipts for coking coal, iron ore, diamonds, zinc, alumina, liquid natural gas (LNG), copper and uranium oxide. Iron and steel, nickel and steaming coal have been the best performers. Canada expects to harmonise feed rules with US Ottawa (Reuters). Canada expects to change its livestock feed rules in concert with the US as part of a harmonised response to 2 cases of mad cow disease in the countries in the past year, Canadian Ag Min Bob Speller said on Tue. "It will be more than likely simultaneous," Speller told Reuters on the sidelines of an election debate on farm issues. Since 1997, both countries have banned the practice of feeding protein made from cud-chewing animals known as ruminants back to other ruminants -- a practice thought to have spread mad cow disease in European cattle in the 1990s. But the material can still be fed to pigs and chickens. After Canada and the US each reported a case of mad cow disease in the past year, internat'l experts recommended the countries tighten up regulations to ensure no ruminant material is inadvertently fed to cattle by way of pigs or chickens. Last week, Canada's top veterinary official said Canada would move to ban all ruminant material from livestock feed, including pig and poultry feed for 3 to 5 y. Speller did not, however, confirm that his govt would ban the material. Speller's governing Liberal Party is in the midst of a tight campaign for the Jun 28 fed election. But he acknowledged that Canada is working with industry players and US counterparts on strengthening feed rules. Rates will rise if inflation grows: Greenspan Washington (AFP). US Fed Reserve chairman Alan Greenspan says he still expects a "measured" response by the central bank on boosting interest rates but warns that it would "do what is required" to keep inflation in check. Dr Greenspan's comments were delivered by satellite to a London central bankers panel. The comments indicate the Fed Reserve could move quicker than anticipated in boosting rates if its judgement on economic conditions and inflation is "misplaced". Dr Greenspan notes that concerns about deflation are "presumably safely behind us". He reiterates that interest rates would have to rise to more normal levels after a long period of super-low rates to stimulate the economy and protect against deflation. He says this move on rates will be "at a pace that is likely to be measured". "[That conclusion] is based on our current judgement of how economic and financial forces will evolve in the m and quarters ahead. "Should that judgement prove misplaced, however, the FOMC [Fed Open Market Committee] is prepared to do what is required to fulfil our obligations to achieve the maintenance of price stability so as to ensure maximum sustainable economic growth." Most financial markets believe the "measured" pace of rate hikes would mean the fed funds rates, now at a 46-y low of 1%, would be lifted by a quarter-point in Jun and another quarter-point in Aug. Dr Greenspan says cost pressures have been "relatively subdued" but that the spike in oil prices is a "worrisome element" that has been a net drain on the economy and could boost inflation if the high price level persists. Markets cautious as rates speculation grows Rates talk has Wall Street nervous. NY/Sydney (ABC, Adrian Thirsk). US Fed Reserve chairman Alan Greenspan has sent a frisson through financial markets by indicating a heightened readiness to raise interest rates. He has told a central bankers' panel in London that he still expects a "measured" response on American rates. But he has also cautioned that the Fed Reserve will "do what is required" to keep inflation in check, especially if its current judgement of economic conditions should prove misplaced. On Wall Street, share prices initially fell in response to the Greenspan comments but a further slide in oil prices has helped lift sentiment. The DJIA closed 41 points higher at 10,433. The high-tech Nasdaq market has just inched forward with the Nasdaq composite index adding 3 points to 2,024. There has been a 5th straight day of gains on the Brit share market with more takeover talk swirling around banking group Abbey Nat'l. Some caution is evident ahead of tomorrow's meeting at the Bank of England, however, with a significant degree of expectation that United Kingdom interest rates could be raised. London's FT-100 index rose 13 points to finish trade at 4,505. Yesterday in AUS, the market remained steady overall after earlier touching on a new all-time high. Foster's Group shares added 2 cents to $4.59 after the company announced the results of its wine business review, while preparing to write down the value of its wine assets by as much as $300 mn. Investors bailed out of James Hardie shares on fears it faces increased claims for asbestos compensation. The company's stock was marked down 70 cents, or more than 11%, to $5.52. The All Ords ended virtually unchanged at 3,482. The AUD has eased back overnight. About 7.20 am it was buying 69.96 US c. It was quoted at 57.06 euro cents, 76.75 yen, 38.10 pence Sterling. The gold price is at $US391.40/oz. Crude oil futures have dropped sharply with the market punting on increased inventories in the US and shrugging aside reports of an attack on an important pipeline in N Iraq. West Texas intermediate crude oil is worth $US37.18/bbl. G8 leaders gather for meeting Sea Island, Ga (ABC, Leigh Sales). Leaders from the Group of 8 (G8) industrialised nations are gathering in the US for their annual summit. The G8 talks will be dominated by the Middle E and US Pres George W Bush would like to use the meetings to come up with a common position on spreading democracy through the Middle East. In reality, the outcomes of the meeting are likely to be limited. Oil prices will undoubtedly come up for discussion, as will the United Nations resolution on Iraq. African leaders have been invited to join the G8 for this meeting to discuss AIDS and development issues. The summit is being held on Sea Island, off the coast of the southern state of Georgia. Security is incredibly tight and only meeting participants are allowed onto the Island. The G8 includes the US, Canada, Italy, France, Germany, Japan, the United Kingdom and Russia and the leaders all of those countries are in attendance. Gabon plane crash kills 16 Libreville, Gabon (AFP). The Gabon Express HS 748's landing gear fell off just after take-off. 16 people have died and 3 are missing after a Gabonese airliner nose-dived into waters off the Gulf of Guinea coast in Africa. The plane crashed shortly after take-off from Libreville, with 30 people on board. The Gabon Express HS 748 was headed from Libreville to Franceville in the SE of the central African country when it crashed after take-off. Part of the plane's landing gear fell off and landed on the beach. 11 survivors -- 8 passengers and 3 of the 4 crew members -- were hospitalised in the capital, a rep of the airline, Gabon Express, said. The office of Gabon's Pres announced the toll after emergency services worked most of the day to rescue those trapped inside the plane. 7 French nat'ls were aboard the plane, 5 passengers and 2 crew members, and 5 of them were among the survivors, the French embassy told AFP. A hospital official said the survivors were in stable condition, adding they "were not seriously injured". The plane plunged into the sea about 100 metres off the beach, close to Libreville's Leon Mba internat'l airport, leaving only its tailplane jutting above the surface of the water, raising hopes more survivors could still be found. Many witnesses criticised the rescue efforts as too slow and too poorly equipped. Blair confident he wasn't misled on WMDs London. Brit PM Tony Blair, in an interview broadcast on Tue, said he remains confident he was not misled about Saddam Hussein and WMD in Iraq. In a BBC radio interview, Blair said that while no such weapons had yet been found in Iraq, Brit's intel services, as a rule, "very rarely" erred with regards to a "pattern" of intel. Blair also said he expected the findings of the Iraq Survey Group, which is hunting for clues to WMD, to conclude that Saddam's regime was indeed a threat, even if no actual weapons have been uncovered. "I think the basic pattern -- i.e, that this [Saddam] was someone who retained complete determination to pursue this WMD business -- I would be very surprised if that turned out to be wrong," he said. "My experience [with the intel services] is that they very rarely get a pattern wrong," he added. Blair made the remarks in the context of last Thu's resignation of George Tenet as head of the US Central Intel Agency (CIA) amid criticism over intel failures on Iraq and the Sep 11 attacks in 2001. An independent enquiry in Brit into the accuracy of intel in the run-up to the Mar 2003 invasion of Iraq is continuing, led by Lord Robin Butler. It is to report by this summer. Blair's interview with BBC radio's Today programme was recorded Mon as he was campaigning for Jun 10 local and EU elections. Blair, to a greater degree than US Pres George Bush, took Brit into the Iraq war on the basis of Saddam's suspected pursuit of WMD and the risk that such weapons might fall into terrorist hands. "In respect to the weapons, I think we should let the Iraq Survey Group do its work, because there are 2 things we know," the PM said. "We know he had them because he used them, and that's why we had 10 y of UN resolutions about Saddam and WMD. What we also know is that we haven't found them in Iraq," he said. Blair added: "Whatever else the Iraq Survey Group comes up with... they will not report there was no threat from Saddam, I don't believe." AUS to join anti-WMDs effort Washington (AFP). 7 new countries including AUS will join US Pres George W Bush's yo initiative to stop the spread of weapons of mass destruction by intercepting them in transit, a senior US official said. The official, speaking as leaders from the Group of 8 world powers prepared to open their annual summit, said the gathering would adopt an accord to expand the so-called Proliferation Security Initiative. "Tomorrow, the leaders will announce that 7 new countries have joined the global partnership, those being AUS, NZ, S Korea, Belgium, Denmark, Ireland and the Czech Republic," the official said. The announcement, coupled with the adoption of a G8 action plan on stopping the proliferation of nuclear, chemical and biological weapons, "will be the most significant statement on weapons of mass destruction that the G8 leaders have issued," the official said. Bush launched his initiative just before last year's G8 summit. From an initial group of 11 core participants there are now 17 with another 80 nations involved. Those now include Russia -- the only G8 member not to join -- which signed up to the program at the end of May. The initiative will intercept and seize nuclear, chemical and biological weapons, their components and delivery systems on the high seas, in internat'l airspace, or during overland transit. Bush created the scheme with the intent of stopping countries, particularly N Korea and Iran, from contributing to the proliferation of such weapons. A seizure of uranium enrichment components headed for Libya under the program last y is believed to have influenced Tripoli in its decision to renounce WMD. UN resolution hastens troop return: PM Canberra (AAP). The return of Aussie troops from Iraq is a little bit closer after the UN' backing of the new interim Iraqi govt, Prime Min John Howard says. Mr Howard said the UN's move was a good step forward for democracy in Iraq, which in turn would bring benefits to the entire Middle East. The UN Sec Council has unanimously backed a US-Brit resolution endorsing the new interim govt that will take power after the Jun 30 hand over and setting out a timetable leading to democratic elections next y. The US and Brit clinched the diplomatic victory with a compromise on US-led forces that won over France and Germany, 2 of the council's most vocal critics of the war. Mr Howard described the resolution as a very big step forward for the fledgling Iraqi govt. He said it showed the process in Iraq was working, and that eventually it would lead to the return of AUS's troops from that country. "If more and more involvement in the running in Iraq can be given to Iraqis, and this govt will have effective authority, then that is a real step forward and a real step along to the day we all look to when Iraq is democratic in its own Iraqi way," he told ABC radio. "If the various steps along the path to Iraqi democracy occur and occur effectively, that will bring a bit closer the day when our people can come home and the Americans who have 140,000 people there, by far the largest, they can also come home." Mr Howard said it was still unclear when AUS's troops would return. He also said that after his talks with US Pres George W Bush last wk, the president was still unsure when America's troops would come home. "I don't think he knows either," he said. "We all want to see the job finished as soon as we reasonably can. "Nobody wants to stay an occupier, nobody wants to stay in another country, nobody wants to have its troops overseas any longer than necessary." Mr Howard said bringing democracy to Iraq would help broaden the appeal of democracy in other parts of the region. He said Iraq would join Israel as the only democratic country in the region. "Iraqi democracy won't be the same as Aussie or Brit or American democracy and neither it should be," he said. "Nobody wants a country to take a form of govt it feels uncomfortable with, but it will be a terrific thing for the Middle E if we can have another democratic country there. "If we can see the emergence of a truly democratic Arab state that is going to have profoundly beneficial impact on the whole region and on the whole Arab world." Brit Muslims, angry over Iraq, to punish Blair's party London (AFP). Brit's Muslims, feeling stigmatised by the US-led "war on terrorism" and angry over Iraq, may use Thu's local and European elections to deliver a stinging rebuke of PM Tony Blair's Labour Party. Numbering only 1.6 mn in a nation of some 60 mn, Muslims could be a swing force in close races, their vote highlighting the influence of global politics on local elections, pollsters say. "Vote, and vote right" the Muslim Association of Brit [MAB] urged its members, issuing a list of preferred candidates that virtually boycotts Blair's party. Labour has put "a stigma on the Muslim community", the association's press officer Ihtisham Hibatullah told AFP. "The Muslims are being looked down upon, seen as something to fear," he said, adding: "We hold the govt directly responsible." In recommendations for 6 key races, MAB lists only one Labour member -- London's fiercely anti-war mayor, Ken Livingstone, who only recently rejoined the party. The other favoured candidates are from the anti-war Respect party or the Greens. Muslim groups fear that an expected turnout of only one in 3 may favour far-right parties on Thu, and have urged Muslims to vote strategically. "I have to say that on the whole it would be absolutely foolish... if the Muslims threw their vote away by giving it to Respect," said Pakistan-born Baroness Kishwer Falkner, a Muslim member of parliament's upper chamber the House of Lords. Falkner denounced the MAB list, calling Respect "a single-issue party [that] cannot build the critical mass". "As Muslims, we shouldn't be interested in protesting, but in parties that can change something." Her Liberal Democratic party, which strongly opposed the Iraq war, has most to gain from Labour's falling popularity among Brit Muslims, and has climbed to compete with the Conservatives as the main opp'n grouping. "Iraq is what has made [Muslims] open the door to the Liberal Democrats, and then they like what they see," Falkner said. While Blair's party has seen its support among Muslim voters fall from 75% in the 2001 election to 38% today, Liberal Democrats now are backed by some 36% of Muslims, according to the Guardian newspaper. Visiting a mosque last wk in the Welsh capital Cardiff, Liberal Democrat leader Charles Kennedy said his party was trying to engage in "as much dialogue as they can" with Muslims. He also criticised the "terrible errors" of Brit foreign policy over the past 2 y. The Iraq war and Brit domestic policies aimed at fighting Islamic extremism have shifted political debate from social and regional questions to global issues. They have also mobilised Muslims at a time when experts warn of rising Islamophobia across Brit and a possible backlash by Islamic radicals. "Muslims are made to feel that they do not truly belong here, they feel that they are not truly accepted, let alone welcomed, as full members of Brit society," a report by the Commission on Brit Islamophobia said last wk, warning that a "time bomb" of extremism was set to go off. Brit's largest Islamic group, the Muslim Council of Brit, urged all members of the faith to vote strategically to fight far-right parties also running on Jun 10. Muslims must vote, it said in a letter last Thu, "in order not to let in the racist and far-right parties simply by default, which could happen if people do not vote". "We understand that many Muslims are disillusioned," the council's media coordinator Inayat Bunglawala told AFP. "They turned out in huge demos [against the war] last y, and most politicians ignored them." But he said the council gave no voting preferences, just the call to participate to oppose groups like the far-right anti-immigration Brit Nat'l Party, which hopes to make it past the 5% mark to join the London Assembly. The council, an umbrella organisation for some 400 Islamic groups across Brit, wants to see "Muslim-friendly candidates" win, he said. He was certain that Thu's vote would go far beyond local concerns and focus on Blair's taking Britons to war. "Iraq is definitely going to be a major factor," Bunglawala said. AUS joins terror exercise Canberra (AAP). AUS will undertake its most extensive military training exercise with South-East Asia since the Cold War following concerns waterways between Malaysia and Indonesia are being used to train terrorists. Defence Min Robert Hill said a navy and air force exercise in the S China Sea, in which a mock merchant shipping strike would be staged, will be the 1st conducted under the 33-yo 5 Powers Defence Agreement (FPDA). The FPDA was set up in 1971 in defence of Malaysia and Singapore, mostly against Indonesia. The exercise comes amid concerns a growing number of crew abductions in the notorious Malacca Straits could be terrorist-linked, according to a report in The Aussie. Internat'l Maritime Organisation Sec Gen Efthmios Mitropoulos told a weekend conference in Singapore he feared terrorists could resort to pirate-style tactics, or collaborate with pirates. Mr Hill said invitations would be extended to nations outside the FPDA to observe the exercise, the most extensive cooperation since the collapse of the Cold War-era Southeast Asia Treaty Organisation, the report said. 18 anti-terrorism arrests made in Europe Rome (BBC). At least 18 people suspected of plotting terrorism attacks in Europe have been arrested in Belgium and Italy. One man, Rabei Osman Sayed Ahmed, is an Egyptian sought by the Spanish authorities as the alleged mastermind of the Madrid train bombings in Mar. Over the past few weeks, Italian and Belgian investigators have been sharing info about the activities of alleged terrorist cells operating in both countries. Suspects have been monitored and communications intercepted in a pan-European intel gathering operation and last night, police moved in to make a series of arrests. In the Belgian cities of Brussels and Antwerp, 200 officers searched dozens of homes and 15 men said to be of Palestinian, Egyptian, Jordanian and Moroccan origin, are now in detention. Documents, videos, and computers were taken away. Belgium arrests 15 "Islamic extremists" Brussels (AFP). 15 suspected Islamic extremists have been arrested in Belgium as part of a major Europe-wide investigation, officials say. Belgian fed prosecutor Daniel Bernard says the 15 are all foreigners. "They have been deprived of their liberty. Some of them will be referred to an examining magistrate," he said. Mr Bernard did not immediately draw a link between the arrests and the Madrid bombings in Mar. Spanish Interior Min Jose Antonio Alonso says that there has been "several people arrested in Belgium in relation to internat'l terrorism". Italian anti-terrorist police say they have netted one of the masterminds of the Mar 11 Madrid bombings as part of an investigation involving police in at least 2 other European countries. Gunmen kill American in Riyadh Riyadh (Reuters). Unidentified gunmen have shot dead an American in the Saudi capital of Riyadh in the 2nd attack on a foreigner this wk. "An American man was gunned down," a W diplomat said. Security sources say gunmen driving a Lexus car fired at the American before fleeing in an eastern suburb of Riyadh. A W executive says the man worked for a US contracting company. A statement purportedly from Al Qaeda militants in Saudi Arabia warned yesterday of new attacks on US and W airlines. The statement came as a Saudi diplomat said the militant group was behind an attack that killed a BBC cameraman. Suspected militants shot dead on Sun Irish cameraman Simon Cumbers, 36, and critically wounded BBC security correspondent Frank Gardner, 42 in a Riyadh area known as a militant stronghold. Warning issued on pregnancy drug Women urged to consult mums, doctors over pregnancy drug. Canberra. Women aged between 30 and 60 y old are being urged to ask their mothers if they were prescribed the drug Stilboestrol during pregnancy. The synthetic oestrogen is known to contribute to an increased risk of a rare cervical cancer and higher infertility rates. Stilboestrol was prescribed to pregnant women who had a history or were at risk of miscarriage between 1940 and 1971. Doctors stopped prescribing Stilboestrol in 1971 but the side effects carry over into the next generation. Women born during the period when the drug was prescribed are being encouraged to ask their mothers if they took the drug during pregnancy. Therapeutic Goods Admin medical advisor John McEwan has urged women to find out if their mothers used the drug and to consult their doctor. "They may miscarry, they may have difficulty conceiving," he said. "I guess that the reason that the Adverse Drug Reactions [Advisory] Committee published this item in its bulletin was to remind practising doctors about this, that many of the doctors who are practising today probably hadn't even gone to medical school in 1971." "We don't think that there will be any further serious consequences but because this is such an unusual thing it's actually important that women maintain an assurance that they're healthy," Mr McEwan added. The note reminds doctors that daughters of women who took the drug need to have regular pap smear tests and mammograms. Ashcroft refuses to hand over torture memo Washington (AFP). US A-G John Ashcroft has refused to give politicians copies of a Justice Dept memo that allegedly advised the Whitehouse that torture during war on terrorism interrogations could be justified. The Washington Post reports that an Aug 2002 memo sent by the Justice Dept in response to a Central Intel Agency request for legal guidance said internat'l laws against torture "may be unconstitutional if applied to interrogations" conducted in the war on terrorism. But Mr Ashcroft refused to provide the memo to politicians on the Senate Judiciary Committee. "We believe that to provide this kind of info would impair the ability of advice-giving in the executive branch to be candid, forthright, thorough and accurate at all times," Mr Ashcroft said. "This Admin rejects torture," he said, insisting the Whitehouse did nothing to contravene the Geneva Conventions or US law. "Congress has the right to ask whatever questions it wants," he said. But he added: "There are certain things that, in the interest of the executive branch operating effectively, that I think it's inappropriate for the A-G to say." He added that "some of these memos may be classified in some ways for some purposes". Democrats have expressed outrage at Ashcroft's refusal to provide the documents. "You may be in contempt of Congress," warned Democratic Sen Joseph Biden. "You are not allowed not to answer our questions," he said, adding that the Justice Dept had "better come up with a good rationale" for refusing to furnish the memo. The Senate's top Democrat, Tom Daschle, said at a press conference that "it's very important ... for the Congress to have the documents". Any document that suggests torture might be permissible "undermines the rule of law in this country and around the world", he said. Sen Ted Kennedy drew a direct link between the memo and the abuse committed by US troops against inmates at the Abu Ghraib prison in Iraq. "We know when we have these kinds of orders what happens," Sen Kennedy said at the hearing, holding now-familiar photos of detainees being mistreated at the facility. "We get the stress test, we get the use of dogs, we get the forced nakedness that we've all seen ... this is what directly results when you have that kind of memoranda out there." The Justice Dept memo, addressed to Whitehouse Counsel Alberto Gonzalez, reportedly said torturing a suspect in captivity "may be justified" if it would "prevent further attacks on the US by the Al Qaeda terrorist network". Arguments about "necessity and self-defence could provide justifications that would eliminate any criminal liability", the 50-page document signed by Assistant A-G Jay Baybee and obtained by The Washington Post said. The memo served as basis for a Mar 2003 classified report prepared for Def Sec Donald Rumsfeld, after cmdrs at the US military prison in Guantanamo Bay, Cuba, complained that they were not getting enough info from prisoners. The Wall Street Journal on Mon revealed the 2003 report. The Aug 2002 memo, The Washington Post wrote, argued that inflicting moderate or fleeting pain did not necessarily constitute torture, which "must be equivalent in intensity to the pain accompanying serious physical injury, such as organ failure, impairment of bodily function, or even death". The newspaper said US Army manuals on interrogations were more restrictive, banning such practices as pain induced by chemicals or bondage; forcing an individual to stand, sit or kneel in abnormal positions for prolonged periods of time; and food deprivation. US's Ashcroft won't release or discuss torture memo Washington (Bloomberg). US A-G John Ashcroft, testifying before a congressional committee, refused to release or discuss memoranda that news reports say offered justification for torturing suspected terrorists. 2 Democratic senators said Ashcroft's stance may constitute contempt of Congress, a fed crime. Democrats on the Senate Judiciary Committee asked Ashcroft about reports in the Wall Street Journal, the Washington Post and the NY Times that the Justice Dept advised the Whitehouse in 2002 and 2003 that it might not be bound by US and internat'l laws prohibiting torture. Ashcroft said he wouldn't reveal advice he gave to Pres George W Bush or discuss it with Congress. "The president has a right to hear advice from his attorney general, in confidence," Ashcroft said. He also refused to answer whether he personally believes torture can be justified under certain circumstances. Sen Joseph Biden, a Delaware Democrat, challenged Ashcroft to say whether he was invoking executive privilege in refusing to give Congress the Justice Dept memos. Ashcroft said he wasn't invoking executive privilege. "You might be in contempt of Congress, then," Biden replied. "You have to have a reason. You better come up with a good rationale." * Contempt Citation The committee's chairman, Utah Republican Orrin Hatch, gave no indication that he intends to pursue a contempt citation against Ashcroft. The citation, if approved by the full House or Senate, triggers a criminal investigation by a fed prosecutor. Sen Richard Durbin, an Illinois Democrat, said Ashcroft had to cite a fed statute to justify not sharing the requested info. Ashcroft replied that his refusal was "protected by the doctrine of separation of powers in the Constitution." Durbin shot back, "You are not citing a law." Hatch asked Ashcroft whether the memos in question are classified. After consulting with staff members, Ashcroft replied, "Some of these memos might be classified in some ways, and for some purposes." Durbin called that answer "an evasion." * Prison Photographs The Washington Post, citing one Justice Dept memo, said govt lawyers told the Whitehouse in Aug 2002 that torturing captured al-Qaeda members abroad may be justified in the war on terrorism. Sen Edward Kennedy, a Massachusetts Democrat, held up copies of some of the photographs that have been released that depict abuses against inmates at Abu Ghraib prison nr Baghdad. 7 US military police soldiers have been charged in the abuses. "This is what directly results when you have that kind of memoranda out there," Kennedy said. Ashcroft denied any link between the Admin's deliberations and the mistreatment of prisoners at Abu Ghraib. "The kind of atrocities" depicted in the photographs "are being prosecuted by this Admin," he said. "They are being investigated by this Admin. They are rejected by this Admin." "This Admin rejects torture," Ashcroft said. Bush "has not directed or ordered any conduct that would violate the Constitution of the US," any US laws or any internat'l treaties, he said. Ashcroft challenged the lawmakers on whether their questions were appropriate. "We are at war," Ashcroft said. "And for us to begin to discuss all the legal ramifications of the war is not in our best interest, and it has never been in times of war." Sen Jeff Sessions, an Alabama Republican, told Ashcroft that "you are wise" not to offer an opinion "on the absolute, ultimate power of a president of the US to protect the people of this country." Ashcroft says Bush rejects use of torture Washington (AP). A-G John Ashcroft, pressed by senators in testy exchanges Tue, refused to make public Justice Dept memos that contended a wartime president was not bound by anti-torture laws or treaties. However, Ashcroft denied that Pres Bush had issued orders that would have allowed violations of such laws. During a three-hr appearance before the Senate Judiciary Committee, Ashcroft repeatedly insisted that the Bush Admin does not condone torture, even of al-Qaeda terrorist suspects. He said his dept would investigate vigorously anyone accused of it who is outside military jurisdiction. "This Admin rejects torture," Ashcroft said. Later, he added: "I don't think it's productive, let alone justified." Still, the A-G refused to give the committee copies of dept memos written in 2002 that Democratic senators said could have laid legal groundwork for abuses that occurred at Iraq's Abu Ghraib prison and elsewhere in the war on terror. "I do believe the president has the right to have legal advice from his A-G and not have that revealed to the whole world," said Ashcroft. Yet the Admin was not invoking executive privilege claims to protect the documents, he said. One of the memos, cited in a Mar 2003 Pentagon policy paper, stated that the president's broad wartime nat'l security authority may override anti-torture laws and treaties, including the Geneva Conventions, in certain circumstances. Waving photos of abused prisoners in Iraq, Sen Edward M Kennedy, D-Mass, said such memos could lead to interpretations by military personnel or interrogators that laws and agreements that forbid torture were no longer in effect. "We know when we have these kinds of orders what happens: we get the stress test, we get the use of dogs, we get the forced nakedness that we've all seen, and we get the hooding," Kennedy said. * bickering Ashcroft said, however, that the Bush Admin has done nothing that "has directly resulted in the kind of atrocity which were cited. That is false." Several Democrats said Ashcroft was coming perilously close to contempt of Congress by refusing to provide the memos, many of which have been subjects of published news stories. Sen Charles Schumer, D-NY, scolded Ashcroft by saying "sometimes you're your own worst enemy" by invoking secrecy. Sen Joseph Biden, D-Del, his voice booming, suggested that American military personnel could be in greater danger of torture because of the US mistreatment. "That's why we have these treaties. So when Americans are captured, they are not tortured. That's the reason, in case anybody forgets it," said Biden, noting that his son, Beau, is in training for the Delaware Nat'l Guard's judge advocate general office. Glaring back at the committee, Ashcroft responded that his son, Andy, recently returned from duty in the Persian Gulf aboard a Navy destroyer, the USS McFaul, and is scheduled to return there soon. "Well, as a person whose son is in the military now on active duty and has been in the Gulf within the last several months, I'm aware of those considerations," he said. The Justice Dept has several cases of prisoner abuse under investigation that were referred for prosecution by the Defense Dept and the CIA, he said. Ashcroft also told the committee that the Bush Admin had determined that al-Qaeda operatives were not covered by the Geneva Conventions because they did not belong to govts that had signed the agreements and did not meet other requirements, such as wearing of recognisable military uniforms. "The Geneva Convention does not apply everywhere, by its own terms," he said. Nonetheless, Ashcroft said, Bush issued a directive requiring that Taliban and al-Qaeda captives be treated under the same principles as other soldiers. Most of those prisoners are held on a US naval base at Guantanamo Bay, Cuba, and testimony at hearings on the Abu Ghraib abuses said Bush had ordered that their treatment be "consistent with" the Geneva principles. Some Republican senators rallied to the Admin's defence Tue on the Justice Dept memos, arguing that their release could lead to misinterpretation about US policy regarding torture. Sen John Kyl, R-Ariz, said terrorists could train to resist certain interrogation techniques if documents detailing them were made public. "It's not useful to give them a blueprint on how we go about interrogating them," Kyl said. Ashcroft also was subjected to criticism about the broader war on terror, especially by Sen Patrick Leahy of Vermont, snr Democrat on the Judiciary Committee. Leahy drew attention to a Jun 3 story by The Associated Press that detailed how the Justice Dept overruled prosecutors and deported rather than filed criminal charges against Nabil al-Marabh, once one of the FBI's most-wanted terrorist suspects. "This is one of the most disturbing and, frankly, stunning revelations to emerge from the home front in the war on terrorism," Leahy said. Ashcroft did not directly respond but said much progress had been made in the war on terror, even though the threat from al-Qaeda remains high. Rumsfeld authorised torture techniques Washington (AP). US Def Sec Donald Rumsfeld last y approved 24 interrogation techniques for use on suspected Taliban and Al Qaeda prisoners in Guantanamo Bay, Cuba, including 7 techniques that were not in the army's field manual for interrogation, a Pentagon rep said yesterday. Cmdrs were required to give Rumsfeld 7 days' notice before using 4 of the additional techniques, but 3 other additional techniques required no special notification, said Bryan Whitman. "At this point in time, I can't tell you specific techniques because those remain classified," he said. Justice Dept lawyers are reported to have argued in legal analyses that torture could be justified as a necessity to prevent attacks, raising new questions about the actual interrogation techniques that have been authorised. According to The Washington Post, an analysis justifying torture was 1st drawn up in Aug 2002 in response to a request for legal guidance by the CIA, and surfaced again in a draft report in Mar 2003 to Rumsfeld on a review of rules for interrogation at a detention centre in Guantanamo Bay, Cuba. Whitman said the Defence Dept was weighing whether to make public the interrogation techniques authorised by Rumsfeld "to further demonstrate that the policy of the US has always been the humane treatment of those people in our custody." But there were "competing interests" against disclosure, he added, saying "a certain amount of ambiguity" was desirable because public knowledge of the techniques would make it easier for terrorists to train to counter them. Whitman said the Pentagon working group that reviewed the interrogation policy at Guantanamo considered 35 interrogation techniques in all, but discarded nearly a dozen of them. Bush team accused of sanctioning torture Washington (FT). The Admin of Pres George W Bush was accused on Tue by some members of Congress of sanctioning torture by preparing legal analyses that said harsh treatment of detainees was permissible under US and internat'l laws. The charges came following the leak of memos from 2002 and 2003 in which snr lawyers from the justice and defence depts had concluded that torture may be legally permitted as part of the war on terrorism. In heated exchanges before the Senate judiciary committee, the charges were angrily denied by John Ashcroft, the US A-G, who endorsed the arguments contained in the Admin's memos. But snr Democratic senators charged that the Admin had in effect authorised the sorts of abuses that occurred at Abu Ghraib prison in Iraq and had endangered US soldiers by weakening the internat'l prohibitions against torture. Holding up some of the pictures taken at Abu Ghraib, Sen Edward Kennedy said: "This is what directly results when you have that kind of memorandum out there." Joe Biden, the top Democrat on the Senate's foreign relations committee, said: "There's a reason we sign these treaties. It's to protect my son in the military, so that when Americans are captured they are not tortured." The Bush Admin has insisted that the abuses in Iraq were the work of a handful of soldiers who defied explicit military orders that prisoners should not be mistreated. But the revelation of the memos this wk showed that as early as Aug, 2002, top Admin lawyers were trying to enable the US to interrogate detainees in the war on terrorism as harshly as possible without falling foul of domestic or internat'l laws. Mr Ashcroft on Mon strongly denied any link between the memoranda and the abuses in Iraq. "I completely reject the notion that anything this president has done or the justice dept has done has directly resulted in the kinds of atrocities cited," he said in response to Mr Kennedy. "That is false. It is an inappropriate conclusion." He said the Admin would "both investigate and prosecute" anyone who violates domestic laws or internat'l treaties against torture. But he defended much of the reasoning underlying the documents. In the memoranda, Admin lawyers concluded that Congress had defined both internat'l and domestic prohibitions on torture very narrowly, saying that harsh treatment was torture only if interrogators deliberately afflict serious physical or mental harm over prolonged periods. "When the Congress of the US makes these definitions, that's what I have to live by," he said. And he refused to rule out one of the most radical interpretations in the documents that the president's inherent authority as cmdr-in-chief overrides congressional laws against torture during wartime. Mr Ashcroft denied that the president had at any point written a directive giving immunity to govt interrogators who are found to have engaged in torture of detainees. A draft memo dated Mar 2003 and prepared by the Defence and Justice depts said that exercise of the president's authority to bypass congressional laws against torture "would be best if it can be shown to have been derived from the Pres's authority through presidential directive or other writing." Some senators on Tue warned Mr Ashcroft he could face contempt of Congress charges for refusing to turn over any of the memoranda to Congress. Mr Ashcroft said that sharing the documents would harm the Justice dept's ability to provide unfettered advice to the president, but he did not cite any statutes or assert executive privilege. Iraq deal allows US to take prisoners The US can keep taking prisoners in Iraq under a new UN resolution. NY (Reuters). A UN Sec Council resolution adopted today ends the US occupation of Iraq but lets the US military keep taking and holding prisoners even after the Jun 30 hand over of power to Iraqis. The text of the resolution, drafted by the US and Brit, is silent on the issue of the military prisons where the US holds more than 8,000 "security and criminal detainees", including the now-infamous Abu Ghraib detention centre. But a side letter from US Secretary of State Colin Powell authorises the US-led multinat'l force in Iraq "to undertake a broad range of tasks to contribute to the maintenance of security" including "internment where this is necessary for imperative reasons of security". Council members Brazil, Chile and Spain had pressed Washington and London during negotiations on the draft resolution to add language committing the multinat'l force to humane treatment of prisoners and protection of civilians in combat zones as required under internat'l humanitarian law. But the co-sponsors rejected their request. Instead they added a phrase to the non-binding preamble "noting the commitment of all forces promoting the maintenance of security and stability in Iraq to act in accordance with internat'l law, including obligations under internat'l humanitarian law, and to cooperate with relevant internat'l organisations". Iraqi For Min Hoshiyar Zebari signalled last wk that despite the scandal over US soldiers' abuse of Iraqi prisoners at Abu Ghraib, the new interim govt would agree to Washington's demand that US forces be allowed to take and hold prisoners after the hand over. While the new govt generally should have power over its prisons, civilian and military prisons were "two separate things", and the new govt would leave the issue of the US military prisons to the Powell letter, he told Reuters. Amnesty Internat'l says it is "deeply concerned" that the Security Council missed an opportunity to clearly set out the multinat'l force's legal obligations in carrying out any internments. "Internment is a provision of the Fourth Geneva Convention that deals with the powers of occupying forces," Amnesty's representative at the UN, Yvonne Terlingen, said in a printed statement. "However, neither the resolution nor the letter from the US Secretary of State clarify the legal basis for such internment, or the internat'l or nat'l standards that must be observed by the multinat'l force under the broad powers given to them in the resolution," her statement said. UN endorses Iraq sovereignty transfer UN (AP). The UN Sec Council gave resounding approval Tue to a resolution endorsing the transfer of sovereignty to Iraq's new govt by the end of Jun. Pres Bush said the measure will set the stage for democracy in Iraq and be a "catalyst for change" in the The unanimous 15-0 vote came after a last-minute compromise allowed France and Germany to drop their objections to the US-Brit resolution, which underwent 4 revisions over wk of tough negotiations. Diplomats on the council, which was deeply divided over the war, welcomed the Americans' flexibility. The compromise gives Iraqi leaders control over the activities of their own fledgling security forces and a say on "sensitive offensive operations" by the US-led multinat'l force -- such as the controversial siege of Fallujah. But the measure stops short of granting the Iraqis a veto over major US-led military operations. The resolution spells out the powers and the limitations of the new interim Iraqi govt that will assume power on Jun 30. It authorises the multinat'l force to remain in Iraq to help ensure security but gives the Iraqi govt the right to ask the force to leave at any time. Bush claimed victory before the vote, telling reporters at the Group of 8 summit in Sea Island, Ga, that a unanimous approval would tell the world that the council nations "are interested in working together to make sure Iraq is free, peaceful and democratic." "These nations understand that a free Iraq will serve as a catalyst for change in the broader Middle East, which is an important part of winning the war on terror," Bush said. But his Admin lowered expectations of gaining other countries' military support -- one of the original hopes behind the resolution. 4 members of the Group of 8 summit -- France, Germany, Russia and Canada -- have said they won't send troops to take the burden off the 138,000 American soldiers and the 24,000 troops from coalition partners. Nevertheless, the adoption of the resolution will likely buy time for the new Iraqi govt, boosting its internat'l stature as it struggles to win acceptance and cope with a security crisis at home. The interim govt -- put together by a UN envoy, the Americans and their Iraqi allies -- hopes the vote will give it a legitimacy that eluded its predecessor, the US-appointed Iraqi Governing Council. That legitimacy would put it in a better position to curry support among fellow Arab regimes and seek economic help from abroad. Iraqi For Min Hoshyar Zebari, speaking in NY at the Council on Foreign Relations, predicted it would have a "positive impact" on security by removing the perception of the US-led multinat'l force as an occupying power. Although the resolution says the interim govt will have authority to ask the force to leave, new Iraqi PM Iyad Allawi indicated in a letter to Secretary of State Colin Powell that the force will remain at least until an elected transitional govt takes power early next y. French For Min Michel Barnier said many French ideas were incorporated in the final text though Paris would have liked a clearer definition of the relationship between the new Iraqi govt and the US-led force. "That doesn't stop us from a positive vote in NY to help in a constructive way find a positive exit to this tragedy," he told France-Inter radio. Iraqi Pres Ghazi al-Yawer, meeting in Washington with Powell, brushed off any suggestion that there might be disagreement between US and Iraqi cmdrs. "We are working together," al-Yawer told reporters. "These people are in our country to help us." He added: "We have to think proactive. We cannot afford to be pessimistic." In Berlin, German For Min Joschka Fischer said he hopes "that now there will finally be a stabilisation of the security situation in Iraq." France and Germany had been among the sharpest critics in the Sec Council of the US decision to invade Iraq. On Tue, Barnier said that during the wk of negotiations on the resolution "there was a real dialogue for the 1st time in this affair." "The Americans clearly understood, after m and m of military operations, that there was no way out by arms, by military operations in Iraq," the foreign minister said. "Washington understood that we have to get out of this tragedy by the high road." Brit PM Tony Blair called the vote "an important milestone for the new Iraq." "We all now want to put the divisions of the past behind us and unite behind the vision of a modern democratic and stable Iraq that will be a force for good not just for the Iraqi people themselves but for the whole of the region and therefore the wider world," Blair said in Sea Island. US Ambassador John Negroponte, who will become US ambassador to Iraq after the hand over of power, said the unanimous vote was "a vivid demo" of broad internat'l support for "a fed, democratic, pluralist and unified Iraq in which there is full respect for political and human rights." UN council approves new Iraq deal Iraqi interim president Ghazi al-Yawar says the resolution ushers in a new age. NY (Reuters/AFP). The United Nations Security Council has approved a US-Brit resolution on Iraq's future that formally ends the occupation of Iraq on Jun 30 and authorises a US-led force to keep the peace. Iraq's new interim president, Ghazi al-Yawar, says the resolution "means full sovereignty for Iraq ... [and] a new age in hopefully very pleasant Iraqi history". The unanimous vote by the 15-nation Security Council endorses a "sovereign" interim Iraqi govt and means the country's new leaders have the right to order internat'l troops to leave at any time. The resolution says the mandate of the multinat'l force commanded by the Americans will expire, in any case, by the end of Jan 2006. As part of the text, the US pledged "partnership" and coordination with Iraq's leaders on military campaigns. However, it stopped short of giving Baghdad a veto over major offensives as France, Germany, Algeria and other council members had wanted. US Pres George W Bush has welcomed the resolution's passage as "a great victory for the Iraqi people". "The vote today in the UN Sec Council was a great victory for the Iraqi people," Mr Bush told reporters covering the Group of Eight summit. "It showed we stand side-by-side with the Iraqi people." Mr Bush, speaking during a photo opportunity with fellow G8 leader Vladimir Putin of Russia, said the resolution supported the interim Iraqi govt. "I appreciate your help, Vladimir, in getting that Sec Council resolution through today," Mr Bush said. Mr Putin said: "Without any exaggeration, I would state that it is a major step forward." The United States envoy to the UN, John Negroponte, says the motion gives internat'l legitimacy to the interim govt that will take over from the US-led occupation. "This resolution makes clear that Iraq's sovereignty will be undiluted and that the Govt of Iraq will have the sovereign authority to request and to decline assistance, including in the security sector," Mr Negroponte said. "The Govt of Iraq will have the final say on the presence of the multi-nat'l force." Resolution exposes Shia, Kurd divisions "The abandonment of Iraqi interim constitution is seen as gambling the destiny of Kurdish people, and this is a red line." -- Masoud Barazani, leader, KDP UN (Al-Jazeera). UN Sec Council set to vote on power hand over resolution Iraq's Arab Muslim Shia and Sunni Muslim Kurds exchanged blows Tue over the wording of a new UN Sec Council resolution recognising Iraq's "sovereignty", with the political battle threatening to bring down the caretaker govt. Kurdish leaders Massoud Barzani and Jalal Talabani issued a joint statement warning Iraq's interim constitution, or fundamental law, should be mentioned in the new UN resolution as they sought legitimacy for the cause of Kurdish self-rule. In a statement he made to Aljazeera.net in Arbil Ahmad al-Zawiti, Masoud Barazani, the leader of Kurdistan Democratic Party (KDP) held those who want to put the Iraqi interim constitution on the shelf for any future consequences. "The abandonment of the Iraqi interim constitution is seen as gambling the destiny of Kurdish people, and this is a red line." Barazani said. He stressed that the Iraqi interim constitution is the only reason that convinced Iraqi Kurds to stay within Iraq. The war-weary country's ethnic fault-lines resurfaced as the world's diplomats said they had all but clinched a deal in NY on a new Sec Council resolution, giving the stamp of approval to a sovereign Iraq. * Conflicted demands Shia militias in Iraq are up in arms over the fundamental law's guarantee of Kurdish semi-autonomy in the N provinces of Duhuk, Arbil and Sulaimaniyya. The country's most influential Shia leader Grand Ayatollah Ali al-Sistani, who is based in Najaff, Iraq, cautioned the UN against any reference to the charter in its resolution, threatening dire complications if they did. Any mention of the interim constitution "is illegal and is rejected by a majority of Iraqis", Sistani's office said in a statement. "Any attempt to give it legitimacy by mentioning it in the resolution ... could have dangerous consequences," the statement read, dated 6 Jun and handed out in the S Muslim holy city of Najaff on Mon. When the interim law was adopted 8 Mar, Sistani and Shia politicians voiced anger, allegedly over the fact Islam was not the sole basis of the charter and that Kurds were granted an implicit veto over a permanent constitution to be drafted next y. The law gave the veto to any 3 Iraqi governorates which agree to object to any piece of legislation. Kurds form the majority in 3 governorates. Around 2,000 Muslim Shia Arabs marched through the streets of Baghdad on Tue heeding Sistani's latest call. They headed from the N district of Al-Shaab toward the coalition's HQ, waving Sistani posters. The crowd denounced the interim constitution as an instrument of the US, drafted behind closed doors with the aid of the US-picked and now dissolved Governing Council. "No, no to the provisional constitution. Yes, Yes to Ali. The Governing Council and the occupation forces have no right to write the Iraqi provisional constitution," they shouted. * Hard-earned privileges The Kurds, estimated to make up anywhere from 15 to 20% of Iraq's population, are determined to keep their hard-earned privileges, which they have fought for over more than 5 decades. "We want the fundamental law to be mentioned in the UN Security Council resolution," Talabani and Barzani said, in the statement published in the Kurdistan Democratic Party's Al-Taakhi newspaper. "We want to be sure that it will be the basis of govt before and after elections" scheduled for Jan. The govt picked early next y will rule until a permanent constitution is drafted and approved at the end of 2005, "We want to obtain assurances in this interim period so that we can participate actively in the transitional govt," the statement read. "In case the law is not applied or is suppressed, there will not be any choice for the Kurdistan govt but to stop participating in the central govt and its institutions, to boycott elections and forbid members of the central govt from entering Kurdistan," it added. The leaders made clear they would never relinquish the self-rule they won in the N after the 1991 Gulf War. "The people of Kurdistan will not be treated as second-class citizens after Saddam," the 2 leaders wrote. The Kurds were also annoyed with the occupation authorities. "We hope the new Iraq will be different from that of the past concerning the rights of the Kurdish people. But after the liberation of the country, we feel that the US authorities are against the Kurds for inexplicable reasons." Both Barzani and Talabani had wanted the presidency or role of premier in the new caretaker govt, but had been blocked by US overseer Paul Bremer, some former Governing Council members said. Iraq hostages sold: cleric London (The Australian). AN Anglican cleric in Iraq said today that about 20 foreigners are still being held hostage there and it could be very difficult to win their freedom since some may have been sold by their captors to Islamic militants. "Things are looking very bad for the hostages," said Canon Andrew White, an adviser to the Brit-funded Iraqi Centre for Reconciliation and Peace who has been seeking the release of foreign hostages in Iraq for nearly 2 m. "The groups that kidnap them are selling them off to militant groups who sell them off again. It is very hard to track them down. I'm worried that eventually these people will end up in the hands of groups such as al-Qaeda," White said in a telephone interview from Iraq. The complexity of the hostage situation in Iraq, involving everything from former Saddam Hussein agents to highway bandits, was obvious in 2 developments today. First, US officials announced that coalition forces had freed 3 Italians and a Polish hostage in a military operation S of Baghdad. Then Iraqi gunmen displayed 7 Turkish citizens, saying they had kidnapped the men because they worked for Americans. Videotape obtained by Associated Press Television News showed 3 of the hostages surrounded by armed men wearing masks. The 4 other hostages were shown to reporters separately. White, 39, who is working with the US-led Admin in Iraq and some embassies in an effort to free hostages, refused to say whether he had played any role in the release of the Italians and the Pole. But he said about 20 foreigners remain in captivity in Iraq. As many as 40 people from several nations have been abducted in Iraq in the last 2 m as Iraqi insurgents became more emboldened, often targeting foreigners working with contractors taking part in the rebuilding of Iraq. Many of the captives were later freed, but at least 2 were killed, including American Michael Berg who was beheaded by Islamic militants. A video of Berg's slaying was posted on the internet, and Washington has accused Abu Musab al-Zarqawi, a suspected operative in Osama bin Laden's al-Qaeda network, of carrying out the killing. White said he has been involved in the hostage-freeing efforts in Iraq for the last 53 days, working with tribal leaders and sheiks in Iraq to try to penetrate the complex network of hostage holders and to open negotiations with them. "I don't want to say too much because this work is very sensitive," he said. "The whole situation of trying to identify who is holding the hostages is an unending process," he said. It also can be difficult to find reliable intermediaries, especially when the captives are from America or key allies in the US-led coalition, he said. A key goal of the Iraqi Centre for Reconciliation and Peace, which is based at Coventry Cathedral in England, is to try to help reconcile Iraq's complex mix of Sunni and Shi'ite Muslims, Kurds and Christians in the hope of averting a possible civil war as a new Iraqi govt is formed. White, a veteran peacemaker in Africa and the Middle East, has visited Iraq regularly over the past 6 y. G-8 summit opens with attention on Iraq Sea Island, Ga (AP). Pres Bush welcomed world leaders today for three days of discussions with his Admin's hopes high that the Group of 8 summit will help the president and his adversaries set aside differences on Iraq. An upbeat Bush told reporters he believed a UN Sec Council resolution recognising the new Iraqi interim govt would be a "catalyst for change" in the region. "There were some who said we would never get it," Bush said of the UN resolution before lunch with Japanese PM Junichiro Koizumi, whose country has sent troops to Iraq. Asked if the US expected the resolution to persuade additional countries to contribute troops, Bush said: "I expect nations to contribute as they see fit." His nat'l security adviser said Mon that the Admin no longer expects the resolution to draw in additional troops, but hopes it will help countries with troops already in Iraq stay the course. Koizumi told reporters that he was looking forward to discussing Iraq reconstruction and the issue of N Korea's nuclear ambitions with Bush. Bush also had one-on-one sessions scheduled today with the leaders of Russia, Canada and Germany, countries that opposed the US-led war in Iraq. The G-8 meetings were scheduled to get under way with a dinner tonight. Iraq and the broader Mideast have eclipsed the official economic agenda of the annual gathering of powerful countries -- the United States, Japan, Germany, France, Brit, Italy, Canada and Russia. US officials did, however, announce G-8 agreement today on fighting famine on the Horn of Africa, eradicating polio, cutting poverty and developing an HIV vaccine. US officials also expected agreement Wed on a declaration on promoting democracy across the broader Middle East. Turkey's PM warned today, however, that the success of the Middle E initiative depends on resolving conflicts in Iraq and between Israel and the Palestinians. "Solving the Israeli-Palestinian problem is an urgent matter above everything else," Recep Tayyip Erdogan told reporters at the Ankara airport before leaving for the summit. "As long as we don't solve these problems, as long as we don't achieve these, it won't be easy to implement the project," he said. Anticipating that line of criticism, American officials said the document will include a firm rejection of the idea that the Israeli-Palestinian conflict has stalled democratic and human-rights reforms. Overall, Bush Admin officials say they sensed an opening on Iraq, thanks to a confluence of positive developments and what they see as the absence of the bitter disagreements that have characterised other recent summits. The establishment of an interim Iraqi govt last wk marked the beginning of the end of the US occupation, they say, and the caretaker govt's president was due to arrive at the summit this evening. Images of Bush meeting with Ghazi al-Yawer on Wed will send a powerful symbolic message about the president's intention to give Iraq full sovereignty, aides say. But the Whitehouse's cautious hope that violence had diminished in Iraq was shattered in an eruption of violence today. 2 car bombs exploded in separate cities, killing at least 14 Iraqis and one US soldier. Dozens were wounded, including 10 American soldiers. A US Marine was killed in action W of Baghdad, and elsewhere, 6 coalition soldiers -- 2 Poles, 3 Slovaks and a Latvian -- were killed while defusing mines. US officials acknowledged their previous goal of drawing in more foreign troops was all but gone, even with the new resolution. Bush's nat'l security adviser, Condoleezza Rice, said the hope now was that the new resolution would convince those countries with troops already in Iraq to "stay the course." Police and journalists far outnumbered protesters at the start of the G-8 Summit, disappointing activists who said heavy security scared away many others. Protest marches in Brunswick, the closed inland community nr the summit site of Sea Island, and Savannah, 80 miles to the north, drew around 100 activists each today as the Group of 8 leaders arrived for the start of their 3-day meeting. The G-8 countries reached consensus on 4 humanitarian issues, according to Jim Wilkinson, deputy nat'l security adviser. Each measure seemed tailored to burnish Bush's "compassionate conservative" credentials in an election year. -- On famine in the Horn of Africa, the 8 countries were endorsing efforts to improve worldwide hunger-monitoring and response efforts, to raise agricultural production and bring "food security" to 5 mn Ethiopians by 2009. -- They were agreeing to take "all necessary steps" to eradicate polio by the end of next y. The disease remains a problem in 15 countries. -- On fighting poverty, they were backing efforts to allow migrant workers to send money home less expensively by cutting in half transaction costs, which can reach 15%. They were placing special emphasis on the Mideast. -- They were announcing a Global HIV Vaccine Enterprise program to accelerate the development of a vaccine against the AIDS virus. The initiative would streamline research and development efforts. US steps up pressure for massive Iraq debt forgiveness Savannah (AFP/Channelnewsasia). The US stepped up pressure on the world's economic powers to forgive the "vast majority" of Iraq's debt in the face of resistance from creditors France and Germany. Pres George W Bush's Admin, hosting a three-day summit of world leaders starting Tue, said it was winning the argument for wiping out 80 to 90% of the Iraqi debt, estimated at 120 bn dollars. Iraq war opponents France and Germany, whose leaders are attending the Group of 8 meeting in the Atlantic beach retreat of Sea Island, have balked at letting Iraq off the hook on such a huge sum. A snr US Admin official said the Internat'l Monetary Fund had issued Iraq's creditors with a detailed analysis of the Iraqi debt situation, including its economic growth prospects and reconstruction requirements. Each of the members of the Paris Club -- a gathering of public creditors -- was examining the IMF report, the official said on condition of anonymity. "I think that analysis supports strongly the position that we have been taking for some time that the vast majority of Iraq's debt needs to be reduced," the Admin official said. "It just shows that the numbers add up to the need for the vast majority of the debt to be reduced for Iraq situation to be sustainable and we continue to hold that position." Paris Club members and other creditors would discuss how to resolve the debt, the official said. "I just think that the weight of analysis is going to be supporting of the need for the vast majority of the debt to be reduced." Although forgiving the Iraq debt is not on the official agenda of the G8 -- Brit, Canada, France, Germany, Italy, Japan, Russia and the US -- the dispute mars US efforts to show a united front on Iraq's future. Bush secured a diplomatic coup after France and Germany said they would vote for a new UN Sec Council resolution endorsing the new Iraqi interim govt and allowing US forces to stay in the country after self-rule begins. But Germany and France have indicated they are not willing to go beyond forgiving 50% of the Iraq debt. In Paris, French sources said it was impossible for political reasons to forgive 80 to 90% of the debt, noting that debt cancellations traditionally only amount to 2/3 of the total. It would be difficult to explain to Nigeria, Indonesia and other debtor nations why Iraq had been given more over the course of a y than the rest of the world's poorest countries combined, sources in Chirac's office said. Washington has put enormous pressure on its partners to forgive Iraq's debt, arguing that such a gesture would help stabilise the violence-wracked country and put a stop to attacks by insurgents. French sources said that while Paris and Berlin were on the same page with respect to the debt issue, Brit, Italy and Japan were "more open" to fulfilling US demands. About 1/3 of Iraq's debt is owed to the Paris Club, an informal group of industrialised creditors that meets monthly with debtor nations to discuss debt restructuring. Car bombs, mine blasts kill 21; Turkish hostages paraded 3 Turkish hostages, said to have been kidnapped because they worked for Americans, are displayed by Iraqi resistance forces at an undisclosed location in Iraq, Tue. Baghdad (AP). Iraqi gunmen put 7 kidnapped Turkish citizens on display Tue, saying they abducted the men because they worked for the Americans. Videotape showed 3 of the hostages surrounded by armed men wearing masks. 4 other hostages were shown to reporters separately. The hostages were sitting against the backdrop of the old Iraqi flag, held by some of the kidnappers. "We urge the Muslim Turkish people ... to stand by the side of their Iraqi Muslim brothers in their crisis by refusing to work with the occupation forces," said one of the masked men. "We also ask the companies that deal with the occupation forces to cancel their contracts and withdraw its personnel from Iraq in order for the hostages to be released," the masked man said. At the end of the statement he said "God is great" 3 times.2 car bombs exploded in separate cities in Iraq on Tue, killing at least 14 Iraqis and one US soldier. Dozens were wounded, including 10 American soldiers. A US marine was killed in action W of Baghdad. Elsewhere, 6 coalition soldiers -- 2 Poles, 3 Slovaks and a Latvian -- were killed in an explosion while defusing mines in Suwayrah, 40 kms S of Baghdad, authorities said. The Slovaks and the Latvian were the 1st soldiers from either of those countries to die in Iraq, Polish officials said in Warsaw. One of the car bombs blew up in the N city of Mosul as a convoy of provincial council members passed by. The council members escaped injury, officials said. But 9 other people died and about 25 were injured, the US military said. The Mosul deputy police chief was hurt, but not seriously. In the other blast, a suicide attacker detonated a car bomb during rush hour outside the American forward operating base called War Horse in Baqouba, about 50 km NE of Baghdad. At least 5 Iraqis and one American soldier were killed, the US military and police said. 15 Iraqis and 10 American soldiers were wounded while standing at a security checkpoint. In Ramadi, a Sunni Muslim city in Anbar province, a bomb exploded as a convoy of westerners passed by, witnesses and police said Tue. The westerners fired back after the Mon night attack. Hospital officials said 8 Iraqis were killed and 3 injured. The identity of the westerners was unclear, and there was no comment from US authorities. Attackers also fired several mortar rounds at a military base camp in the northern part of Mosul, the military said. 2 contract employees received non-life-threatening injuries. The latest violence occurred as the UN Sec Council in NY prepared to vote on a US-Brit resolution outlining a blueprint for post-occupation Iraq and giving internat'l support to the new Iraqi leadership. Suicide car bombs in Iraq claim more lives Baghdad (AFP/Reuters). 2 suicide car bombs have killed at least 12 people, including a US soldier, and wounded 68 in Iraq's Sunni Muslim heartland. In the latest unrest, a suicide car bomb and a roadside bomb exploded simultaneously in the N city of Mosul, killing 10 people and wounding 37, according to hospital sources. The fate of 3 suicide bombers who helped carry out the attack was unclear. "A car bomb and a roadside bomb exploded as Maj Gen Sammi al-Haj Issa's 9 car convoy passed by," said police Brig Gen Adnan Obeidi. Maj Gen Issa, who is chief of the city's security committee, was slightly wounded by the blasts as the convoy passed the city hall, said Maj Gen Tareq Mohammed Ali. The US military said an orange and white taxi exploded at 9.15 am [local], with 3 suicide bombers in the car. An hour earlier, a suicide car bomb exploded as Iraqis queued for work at the US military base in Baqubah, 60 km NE of Baghdad. The explosion killed one US soldier and one Iraqi and wounded 31 others, the military and medical sources said. Those wounded included 10 US troops. At least 6 soldiers, including 2 from Poland, 3 from Slovakia and one from Latvia were killed in a blast on Tue during a de-mining operation S of Baghdad, military authorities and diplomats said. The US military announced that a marine died on Mon in al-Anbar province, W of the capital. During clashes in Karma nr Fallujah, reports say at least four Iraqis were killed and 10 injured in clashes between US forces and guerrillas nr the Sunni city, hospital sources said. Some reports say up to 11 people were killed, however. Witnesses said the clashes broke out in Karma when guerrillas attacked a US military convoy using mortars, RPGs and automatic weapons. "Fighting broke at around 12.30 pm [local] as the insurgents opened fire at the US forces nr the police station," resident Mohammed Sleiman told AFP. "The Americans then called over loudspeaker for residents to stay away from the clashes and to hand over the terrorists," the witness said. The marines denied knowledge of the clashes but said that a mortar fired by insurgents had hit a house in Karma, causing civilian casualties. 4 hostages freed in Iraq Baghdad (Reuters). Special forces from the US-led coalition have raided a hideout S of Baghdad and freed 3 Italian hostages held for almost 2 m and a Pole abducted last wk, coalition officials say. The cmdr of US forces in Iraq, Lt Gen Ricardo Sanchez, said some of the kidnappers were seized during the operation on Tue which was conducted without a shot being fired. Italy said no deal had been cut with the hostage-takers. "At this point in time the hostages are in coalition control, in good hands, and in good health," Sanchez told a news conference in Baghdad, flanked by Italian and Polish diplomats. "This was a happy ending to a story that could have been tragic," Italian PM Silvio Berlusconi said on state TV. He said the men were being flown by helicopter to Baghdad and were due to return to Italy on Wed. Even as the dramatic rescue was announced, Turkey said suspected insurgents had abducted 2 Turks and their Iraqi driver in Fallujah on Mon. Turkey's embassy in Baghdad later said one Turkish hostage had been freed but the 2nd was still being held. Dozens of foreigners have been taken hostage by armed groups who are battling the US-led presence in Iraq. Some hostages have been freed, others have been killed. Italy, unlike Turkey, has troops in the US-led coalition in Iraq, contributing 2,700 soldiers. The Rome govt stood to make political capital out of the Italian hostages' release ahead of European elections this weekend. It could help the centre-right govt by tempering some bad feeling in Italy over the presence of the troops in Iraq. * WINDOW OF OPPORTUNITY Berlusconi said coalition forces identified the place where the hostages were being held several days ago and considered approaching local religious authorities to help win their freedom. But the forces took advantage of a window of opportunity on Tue and launched a rescue operation. The 3 Italians, Umberto Cupertino, Maurizio Agliana and Salvatore Stefio, worked in Iraq for a US security firm and were kidnapped on Apr 12 as a wave of abductions swept Iraq. A 4th Italian hostage, Fabrizio Quattrocchi, was shot dead after Italy refused to bow to demands to withdraw its 2,700 troops from Iraq. Agliana's father Carlo said he had not told his wife about the kidnapping of their son because she was too ill. "Finally I won't have to lie to my wife any more," he said. The hostage's sister, Antonella Agliana, said: "When I see my brother again I'll kiss him, I'll hug him and I'll tell him off." Angelo Stefio, father of another hostage, celebrated with crowds in his home town, a rainbow "peace flag" around his neck and an Italian flag in his hand. "The nightmare is over, the anguish is over," said Carmela Chimenti, mother of Umberto Cupertino. "Today, for me, it's as if my son Umberto was born again." Pope John Paul greeted the release with "joy and relief", his rep said, adding that the pope was also thinking of the family of Quatrocchi. "They were freed about one and a half hours ago by coalition forces near Baghdad. There was no bloodshed. The boys are on their way to the airport now," Italian For Min Franco Frattini said. "We are confirming again today that there have been no deals. When it comes to kidnappers it is not possible [to cut deals]," Frattini said, denying money had been paid. The Pole freed along with the Italians on Tue was Jerzy Kos, a manager with the Polish construction company Jedynka. Italy has the 3rd biggest contingent with the occupation forces after the US and Brit. Poland also has a sizeable contingent of troops in Iraq. Italy was shocked last Nov when 19 Italians, most of them paramilitary Carabinieri police, were killed by a truck bomb in the southern Iraqi town of Nassiriya. US troops free hostages Baghdad (Reuters). 3 Italian hostages, who have been held in Iraq for almost 2 months, have been freed and are in good condition, the Italian FM says. "They were freed about one-and-a-half hours ago by coalition forces near Baghdad," For Min France Frattini said. "There was no bloodshed. The boys are on their way to the airport now." Mr Frattini says no deal has been cut for the release of the hostages. A Polish hostage has also been freed. The cmdr of Polish troops in Iraq says special forces from the US-led coalition freed the four. "Thanks to coalition special forces, the Polish citizen ... was freed along with 3 other captives of Italian nat'lity," Gen Mieczyslaw Bieniek said. The Turkish embassy in Baghdad also says one Turkish hostage has been freed but another Turk abducted with him remains in captivity. Few other details were immediately available. 4 Italians working for a US security firm were abducted on Apr 12 near Baghdad. One of them was shot dead after Italy refused to bow to demands to withdraw its 2,700 troops from Iraq. Footage of the other 3 was shown on Arabic satellite channel Al Jazeera last wk. One of them said they were being treated well. Al Jazeera also aired a statement from the kidnappers, who called themselves the Green Battalion, urging Italian people to demonstrate against the policies of the US and PM Silvio Berlusconi. Iran fostering trust with Europe on nuclear issue: Kharrazi Tehran (MNA). FM Kamal Kharrazi says Iran's diplomatic efforts, including his recent trips to Germany, Belgium, and Denmark, have increased trust between the Islamic Republic and Europe about Tehran's nuclear program. Upon returning here Sat morning, Kharrazi made an upbeat assessment of his trip, describing it as positive. He said, "Overall, it was necessary to brief European Union officials on the country's nuclear developments, including those of Germany, Belgium, and Denmark, which are following up Iran's nuclear dossier. "There was a positive development in negotiations with officials of those countries concerning Iran's nuclear dossier and given the Islamic Republic's cooperation and the important steps which it has taken, increased trust has been fostered," he said. Kharrazi added that Tehran is committed to total cooperation with the Internat'l Atomic Energy Agency [IAEA], predicting, "We will witness notable achievements in the future in this regard." The Iranian foreign minister stressed that all outstanding issues must be tackled between Tehran and the UN nuclear watchdog before the IAEA Board of Governors session in Jun. "[IAEA Director Mohamed] ElBaradei has expressed satisfaction with the positive trend of cooperation concerning Iran's nuclear issues. Naturally, this trend must continue so that all outstanding issues can be resolved and we reach a final settlement during the next session," he said. ElBaradei was quoted as saying on Thu that Tehran was moving "in the right direction' towards full cooperation with the internat'l nuclear watchdog. "Overall I think we are moving in the right direction," AFP quoted him as telling a French parliamentary hearing during a visit to Paris. Kharrazi said several other topics, including Tehran's ties with European countries as well as issues relating to Iraq, the Middle East, and Afghanistan were also discussed during his talks with European officials. He also mentioned the recent revelations about the abuse of Iraqi prisoners by US troops, which has provoked an internat'l outcry. Kharrazi said, "All European officials expressed disgust at the blatant violation of human rights and the US soldiers" disrespect of human dignity. "What is happening in Iraq indicates a contradiction between the claims of the Americans and their performance in Iraq, showing that they are pursuing other objectives in that country." Kharrazi arrived in Brussels Mon on a European tour to discuss a series of issues, including Tehran's civilian nuclear program and the situation in Iraq. In Belgium, Kharrazi met European Commission Chairman Romano Prodi, European Union foreign policy chief Javier Solana and EU foreign affairs commissioner Chris Patten. The Iranian foreign minister also met Belgian PM Guy Verhofstadt and his Belgian counterpart Louis Michel to discuss the 2 countries' ties. On Wed, Kharrazi arrived in Berlin on the 2nd leg of the trip, where he met with Chancellor Gerhard Schroeder and his German counterpart Joschka Fischer. In Denmark, the Iranian foreign minister met with PM Anders Fogh Rasmussen and his Danish counterpart Per Stig Moeller. Fragile N Korean economy grows Seoul. North Korea's fragile economy is showing modest progress, expanding for the 5th y in a row. It is hard to know the truth about N Korea's economic performance. However, according S Korea's central bank the communist country's gross domestic product grew by 1.8% in the past year. The economy was buoyed by increased industrial output and improved exports. I It is the 5th consecutive y of growth but N Korea's economy remains fragile. The country still replies on foreign aid to feed its people. Roh nominates new S Korean PM Seoul (AFP). South Korean Pres Roh Moo-Hyun has nominated reform-minded senior ruling party lawmaker Lee Hai-Chan as the new PM. "A motion will be sent to the parliament tomorrow to get approval for his nomination," the Pres's office said in a statement. Mr Lee, 51, is a 5-term lawmaker of the ruling Uri Party. He was once been a student activist and was even jailed for his dissident activities in the 1980s before joining the politics. Under the previous Admin, Mr Lee served as vice mayor of Seoul and education minister to lead various reforms led by then-president Kim Dae-Jung. Under S Korean laws, the presidential appointment of a new prime minister requires parliamentary approval. Mr Lee, if approved, is to succeed to former PM Goh Kun, who resigned last m. He resigned when Pres Roh returned to office after a 2-month suspension following a parliamentary vote to impeach him. Media reports say Pres Roh is to conduct a cabinet reshuffle after appointing his new PM. Israeli helicopters strike Gaza workshops Gaza (AFP). Israeli helicopter gunships have fired rockets at 2 workshops at the Chatti refugee camp entrance in Gaza city, Palestinian security sources said. There was no immediate word on any casualties but the 2 workshops were destroyed. In a brief statement the Israeli Army said it had attacked "a workshop containing weapons for the Hamas terrorist group". "The arms depot destroyed was used by Hamas terrorists for terror attacks on Israeli civilians," the statement said. The raid follows an attack from the Gaza Strip with Qassam rockets on the southern Israeli city of Sderot, which did not cause any injuries. The rocket struck a road, damaging 2 vehicles and 5 people were treated at the scene for shock, said Israeli public TV. The Qassam rockets take their name from the Ezz ad-Din Al-Qassam Brigades, the military wing of Hamas which manufactures them. 2 quit Israeli Cabinet over Gaza pullout Jerusalem (Reuters). Israeli PM Ariel Sharon has lost his parliamentary majority after the head of a pro-settler party quit Cabinet over the leader's Gaza pullout plan. However, Mr Sharon appears in no immediate danger of being toppled. Housing Min Effi Eitam, who leads the Nat'l Religious Party (NRP), and deputy minister Yitzhak Levy, also of the NRP, tendered their resignations to Mr Sharon. "As a comrade in arms, a Cabinet colleague and a brother of the Jewish people, I call upon you Mr PM: 'Stop! don't hand the country over to terror,'" Mr Eitam wrote in his resignation letter. Before the ministers quit, Mr Sharon controlled 61 of Parliament's 120 seats. The NRP's 4 other legislators made no immediate decision to leave the coalition and are weighing a compromise to keep the party in Govt for at least 3 more m. That would grant Mr Sharon a temporary reprieve from total breakdown of his coalition, which would force him to reshape his Govt or call elections. "From this moment on, we have 59 Knesset members in the coalition," Gideon Saar, the head of Mr Sharon's Likud faction in Parliament, told Channel One TV. But Mr Saar noted there was still no unified group in Parliament able to muster the 61 votes required to bring down the Govt in a no-confidence vote. Israeli political commentators say the pro-withdrawal Labour Party led by Shimon Peres is likely to spread a safety net under Mr Sharon, backing him from the opp'n benches to ensure plans for a Gaza pullout move ahead. In a boost to Mr Sharon, Labour has withdrawn a no confidence motion one day after Cabinet approved "in principle" the proposal to remove all 21 Jewish settlements in Gaza and 4 of the 120 W Bank settlements. Mr Sharon pushed the plan through the Cabinet only after firing 2 of his ministers and placating Likud dissidents by agreeing not to evacuate settlements for at least 9 m and then in 4 phases, each requiring a vote. Opponents of the withdrawal say it would only reward "Palestinian terror" after more then 3 y of bloodshed. If the plan is carried out, it would mark Israel's 1st removal of settlements in the W Bank and Gaza Strip, territories captured in the 1967 Middle E war. Polls show a majority of Israelis are willing to part with Gaza's hard-to-defend settlements, where 7,500 Jews live cloistered from 1.3 mn Palestinians. But Mr Sharon's Likud rejected his pullout plan in a May 2 referendum. Hezbollah, Israel exchange fire Beirut (AFP). The Lebanese Shiite Muslim militia Hezbollah has launched about 20 rockets and mortar rounds at 3 Israeli army posts in the disputed Shebaa Farms border area. Military sources in Israel say that army positions nr the border with Lebanon have come under Hezbollah attack. Lebanese police say the combatants fired about 20 rockets and rounds on the Ruwaisat al-Alam, Ramta and Sammaqa positions in the Shebaa Farms. Hezbollah's TV station, Al-Manar, reports the attacks have been carried out by fighters of the Islamic Resistance, the group's military wing. In response, Israeli troops inside the Shebaa Farms fired back around 40 shells on the outskirts of the Lebanese border villages of Kfarhamam, Kfarshuba and Hebbariyeh. There are no reports of casualties from the attack or the shelling. "The shelling targeted 2 of our positions in the so-called Shebaa Farms area," the Israeli sources said. "We are checking for damages and for the kind of weapons that were used." The attacks come a day after Israeli jets bombed suspected positions of the Damascus-based Popular Front for the Liberation of Palestine-General Command in Naameh, 20 km S of the Lebanese capital. The raid was in response to an earlier attack that has not been claimed by any group. Israel said that attack had targeted a naval vessel patrolling in Israeli territorial waters. Palestinians to lose jobs as Israel closes industrial zone Jerusalem (ABC, Mark Willacy). Israel will close a large industrial zone on the border with the Gaza Strip, which employs about 4,000 Palestinians. The Israeli Govt says the businesses inside the zone will be moved to Israel as part of the pullout from Gaza. Announcing the decision to close the Erez industrial zone, Israeli Trade Min Ehud Olmert blamed the volatile security situation. The area straddles the Israel-Gaza Strip border and is the site of several large Israeli-owned factories which employ about 4,000 Palestinian workers. The zone has been the target of several Palestinian mortar attacks and suicide bombings. Mr Olmert says the businesses will be moved to communities inside Israel, meaning Palestinians will be unable to keep their jobs. US base to "pressure" Indonesia Canberra (AAP). The US move to set up a joint training base in AUS aims to pressure Indonesia to take more effective action against terrorists, the US think tank Stratfor says. In an analysis of the proposed training facility, Stratfor, a private sector intel group based in Texas, said the base would allow the US military to continually pre-position limited troops and equipment a relatively short distance from Indonesia. It said Indonesia was the home of the al-Qaeda linked terror group Jemaah Islamiah and, with Pakistan and Saudi Arabia, was one of the epicentres of the militant Islamic world. The US had already launched operations against militant groups in the Philippines while long-time ally Thailand had shown its willingness to assist US efforts. "All these moves are intended to pressure Jakarta to take further action against militants operating in its territory," Stratfor said. "The also position the US to act unilaterally if necessary." Stratfor said the Aussie facility, plus facilities in Singapore and the Philippines would give the US access to the Indonesian archipelago from the NW, NE and south. "Jakarta will feel pressured to take more aggressive action under the shadow of an increasing US military footprint in the region," it said. "If former ruling party Golkar's candidate Gen Wiranto wins Indonesia's upcoming election, the US might have an ally in Jakarta with enough political muscle and military authority to aggressively move against JI." The proposed joint training base has been under discussion for a y and Defence Min Robert Hill and US Def Sec Donald Rumsfeld, who met in Singapore at the weekend, foreshadowed a formal agreement to be announced next m. The deal would involve substantial US investment to upgrade an existing Aussie Defence Force facility, either at Shoalwater Bay in Qld or at one of the training areas in the NT. Stratfor said the US basing strategy might not pay dividends in the nr future since such pressure was not guaranteed to change Jakarta's behaviour. But it was working in other places. "The US occupation of Iraq caused the Saudi govt to re-evaluate its policies and crack down on al-Qaeda operations, embroiling the kingdom in a low intensity civil war," it said. Aust man deported from Thailand Canberra (AAP). An Aussie man previously convicted in Qld and NSW for indecent dealings with boys is being deported from Thailand. The Dept of Foreign Affairs and Trade confirmed David Leonard Arthur, 48, was being deported, but would not comment further. Arthur was due to arrive in Bris on Wed morning after a Thai court ordered his deportation, the ABC reported. He was arrested and charged with sheltering illegal immigrants in Chiang Mai in Apr after a tip off by the Aussie Embassy that sex offences were being committed. However, police found no evidence of any paedophile activity. The Aussie embassy in Bangkok was not immediately available for comment and the Aussie Fed Police (AFP) would not comment. Arthur, who has lived in Thailand on and off for about 10 y, has been found guilty in the past of child sex offences and possession of child pornography. Date set for Yukos tycoon's fraud trial Moscow (AFP). Russia's richest man and Kremlin foe Mikhail Khodorkovsky is to go on trial next wk on charges of fraud and tax evasion that his supporters say are politically motivated. In a small victory for Khodorkovsky, a judge has ruled that he can be tried together with Platon Lebedev, another key shareholder in Russia's largest oil company Yukos, who faces the same charges. The judge has set a trial date for Jun 16. Khodorkovsky has been held in custody since his arrest in Oct. He is charged with 7 counts of tax evasion, fraud and embezzlement, and faces a possible jail term of 10 y. He and Lebedev are accused of cheating the state out of more than $US1 bn through their business dealings. The defence team had pushed for the 2 cases to be combined, believing that a joint trial could help their case. Today's decision is the 1st since Lebedev was arrested in Jul that a court has ruled in favour of the defence. The trial of the Yukos founders will be open to the press and will be heard by 3 judges rather than an open jury, another concession to the defence. It is expected to last several months. Khodorkovsky's defence team and a clutch of family and friends have been defiant in their backing of the 40-yo. They say that the Kremlin launched a campaign against him only because he dared challenge Pres Vladimir Putin's rule by openly funding the opp'n. A benchmark of post-Soviet Russia's judicial system followed around the world, the Yukos case began with the Jul 2 arrest of Lebedev, followed by the arrest or self-imposed exile of the company's main shareholders and founders. The company has since warned that it may go into bankruptcy. The Russian stock market -- just recently the most booming emerging market in the world -- has followed the fall of Yukos. Zimbabwe to nat'lise all farmland: report Harare (Reuters). Zimbabwe plans to nat'lise all the country's farmland and issue farmers with 99-y leases, according to Land Reform and Resettlement Min John Nkomo. "The Govt has stepped up efforts to acquire more land with the sole objective of nat'lising all productive farmland, from crop fields to conservancies, in the country," Mr Nkomo told the official Herald newspaper. "In the end all land shall be state land and there will be no such thing called private land," Mr Nkomo said Mr Nkomo is urging all landowners to offer their land so that they could be considered for the leases. He was not immediately contactable. The Zimbabwean Govt has forced about 2/3 of Zimbabwe's 4,500 white commercial farmers off their land in the past 4 y. The redistribution is part of Pres Robert Mugabe's controversial program to resettle landless blacks on the plots. Farm output has fallen sharply, an outcome blamed by Mr Mugabe's opponents largely on his land seizure policy and by Govt officials on economic sabotage and bad weather. The Herald's report did not give a timeframe for the nat'lisation program. However, it says the Govt would issue 99-y leases, referred to as "in perpetuity", for productive farmland and 25-y leases for wildlife and conservation areas. The Govt has forcibly acquired 259 mostly white-owned farms since Jan alone and given notice to confiscate 918 more. It has also confiscated agricultural equipment and machinery authorities say was lying idle on the farms and allocated it to black Zimbabweans resettled on the land. The land reforms have drawn criticism mostly from W countries. Mr Mugabe argues the program is necessary to restore land to blacks dispossessed when Brit colonised the country over a century ago and white farmers took the best farmland. Mr Mugabe, in power since independence in 1980, has vowed to pay compensation only for improvements on the farms that are taken over, saying it is Brit's responsibility to compensate dispossessed farmers for the land itself. Chirac gives lost Kiwi veteran a lift to Paris Paris (Reuters). French Pres Jacques Chirac gave a D-day veteran a lift back to Paris in one of his jets after the NZer got lost following Sun's ceremonies in N France to honour World War 2 Allied troops. Keith Coleman hopped on a coach after the main internat'l ceremony in Arromanches to mark the 60th anniversary of the D-day landings in Normandy. But instead of taking him back to the French capital, he ended up at a remote military airfield where all the other veterans got on a plane. "There was this important-looking guy wearing gold braid who I told my story to and I guess he must have felt sorry for me because he made a few phone calls and told me he thought he could get me back to Paris," Mr Coleman, who speaks no French, told Brit's Guardian newspaper. A car whisked the 86-yo former gunner with Brit's Royal Air Force to another airfield, where 2 jets were waiting. A cavalcade pulled up and the French Pres got out. "He came over ... I snapped to attention and gave him a little salute ... he put his arm round me," Mr Coleman told the paper. "He said he would be happy for me to travel in one of the aeroplanes and gave instructions that I was to be driven to the door of my hotel." Autopsy report confirms Crick was cancer-free Brisbane. An autopsy report on the suicide of a Gold Coast woman more than 2 ya has confirmed she did not have cancer when she died. The autopsy report into 69-yo Nancy Crick's death has been released to her family more than 2 y after her death but prosecutors are yet to lay charges on the 21 people who were with Mrs Crick when she took her life. Exit AUS director Philip Nitschke says there are 42 occasions in the autopsy report where it is pointed out that Mrs Crick did not have cancer. He says he does not know if that changes the legal position of the witnesses. "It is lawful to end your life but is it a crime to sit with them," Dr Nitschke asked. "That question should be a simple question to answer legally and maybe they'll be encouraged to take some legal steps against the 21 [people]. "If they do, that might be a good thing because then at last we'll see a decision and a clarification of laws." Dr Nitschke says the report does not change how he feels about Mrs Crick's death but despite the confirmation she did not have cancer, he still believes she was very sick. "Because I watched her in those last few m and I effectively listened to her carefully as she described what she was going through and why she just simply didn't want to go through anymore and I could only empathise with her," he said. "I know that plenty of people will say: 'oh well, she didn't have cancer, therefore she must have been a well woman' and that's just rubbish. "I mean, this was not a well woman. You don't find a 32 kg woman who has lost that much body fat, wasting away and then say that they're a well woman." Govt promises to look after minerals industry Canberra. The Fed Govt says it has not forgotten the minerals industry. Fed Min for Industry Tourism and Resources Ian Macfarlane has promised the minerals sector will be looked after despite a lack of funding in last m's Budget. It is hoped an announcement will be made soon to increase exploration in AUS. Minerals Council of AUS rep Mitch Hooke says the industry wants tax incentives in the exploration area. "The Govt cannot continue to lay silent on the issue of minerals exploration," he said. "It needs a determination and it needs to determine [that] the flow-through shares are a useful adjunct to assisting the industry in that cause." Charity likens Qld prisons to Abu Ghraib Brisbane. Qld's anti-discrimination commissioner has been asked to investigate claims of human rights abuses in the state's women's prisons. Prisoner support group Sisters Inside has compared the Qld claims to the abuse alleged to have occurred inside Iraq's notorious Abu Graib prison. The group says many female inmates who are victims of sexual abuse are further abused when subjected to humiliating strip searches. The organisation also alleges prisoners with a mental illness or disability are often placed in isolation without proper care, or are forcefully restrained. Sisters Inside director Debbie Kilroy says the organisation has asked anti-discrimination commissioner Susan Booth to investigate. "When you look at the photographs that are coming out of Abu Ghraib and the stories, they're the same stories we hear on a daily basis in our prisons," she said. "I'm hoping that she will have an inquiry and then go and speak to the Govt and get changes." PBL appoints new CEO in shake-up Melbourne. Kerry Packer's Publishing and Broadcasting Limited (PBL) has announced a big shake-up of its boardroom and executive positions, including the appointment of a new chief executive. Incumbent chief executive officer Peter Yates is leaving the company immediately for personal reasons and will be replaced by John Alexander. Mr Alexander is currently the chief executive of PBL's Aussie Consolidated Press unit and he will retain that role. David Gyngell will become the 9 Network's chief executive officer and Chris Anderson, who recently left the SingTel Optus board, joins PBL as a non-executive director. Mr Packer will assume the position of PBL deputy chairman. His son, James Packer, remains executive chairman. In a statement to the Aussie Stock Exchange, James Packer said: "Peter has done an outstanding job as CEO of PBL. "He has re-focused and re-energised the PBL business, leaving it in significantly better shape than when he started. "He has brought the PBL group businesses together which has allowed us to capitalise on the scale of the company." Mr Alexander says he is looking forward to taking on the role of chief executive. "We have terrific momentum across all of our businesses," he said in the statement. The PBL share price initially dropped as low as $12.80 but by 11.00 am, it was up 7 cents at $12.95. Consumer sentiment resilient, housing attractive Consumer confidence remains resilient. Canberra. Consumers appear to be re-assessing their views of the housing market. A new survey indicates a growing belief that now is a better time to buy a home. The Westpac-MEL Institute Index of Consumer Sentiment has dipped a modest 1.1% overall this m. However, it is still less than 4 % below the decade high registered at the start of the year, in a result Westpac described as "surprisingly resilient". The survey was taken after last wk's lower-than-expected measure of economic growth and the decision by the Reserve Bank to hold interest rates steady. The index measuring whether now is a good time to buy a home has jumped more than 29% for the Jun quarter. It is only 2 per cent below its level of a y ago and possibly reflects perceptions that housing is becoming more affordable with steady interest rates and declining prices. Third child dies after Matraville house fire Sydney. A seven-yo boy who was critically injured in a SYD house fire that killed his younger brother and sister has died. The boy had been in intensive care at Westmead Children's Hospital after suffering burns in a house fire in Matraville, in SYD's east, early on Mon morning. According to a police media officer, the boy died overnight. His mother remains in a critical condition at the Royal N Shore Hospital. Chief Min backs regional bodies to replace ATSIC Darwin. NT Chief Min Clare Martin believes stronger regional authorities are the key to giving Aboriginal people a voice once ATSIC is dismantled. Key stakeholders are attending a series of meetings across the Top End this wk about ways the Indigenous community can retain representation after ATSIC goes. The Miwatj Provincial Governing Council is holding a summit today at Gulkula nr Nhulunbuy. Ms Martin believes a regional authorities model should be pursued. "What it is about [is] building stronger regional authorities and representation on those authorities because they are spread around the Territory and would be predominantly Indigenous," he said. "We believe this is the most effective way to have Indigenous voice in decision- making through the stronger regions policy, so we've put that forward to the Fed Govt." Ms Martin also says she will use this m's Council of Aussie Govts Meeting (COAG) to push for more bilateral agreements on Indigenous service delivery. She says she wants to see Commonwealth and Territory Govt depts working more closely together. "What we want is bilateral relationships. We want bilateral agreements between the Fed Govt and the Territory about delivery of those services and we believe this is the most effective way to go," she said. "To have a duplication of services has not served our remote communities well." Cancer patients' genes used to tailor treatment: study Melbourne. A Vic company involved in cancer treatment trials says it has proof that genetic make-up can be used to optimise chemotherapy doses. AGT Biosciences has detailed its results at a cancer conference in the US. Company chief executive George Collier says patients metabolise the chemotherapy drug at different rates meaning their treatment can be optimised by adjusting doses. "We can measure the rate of metabolism of the drug by measuring their genetic background and then we can give them different doses of the drug," he said. "The exciting thing about this is, by varying the dose based on the genotype and the way that the individual actually metabolises the drug, you are actually able to limit the side effects and therefore increase and optimise the dose." Dr Collier says the trial is one of the 1st examples of personalised medicine. "That's where you're able to look at the actual patient, look at the individual and personalise the medicine based on the individual's genetic background and the way they can metabolise drugs." Vic scientists to map wallabies' genome Scientists are set to map the genetic code of the tammar wallaby. Melbourne. Vic scientists will lead the world's 1st gene study on marsupials. The $12 mn study to be overseen by the Nat'l Institute of Health in the United States will map the genomic sequence of wallabies. Speaking from the US, Vic Innovation Min John Brumby says it is the most important gene study to involve Aussie scientists. "It is research of internat'l significance. It is research which will be keenly examined right round the world," Mr Brumby said. "It is research which is in partnership with the biggest research facility in the world, the Nat'l Institute of Health in the United States, and it's going to put AUS on the map." "We expect the data generated by the kangaroo genome project will prove to be extremely valuable for medical research, as well as agricultural research, around the globe," Mr Brumby added in a statement. The animal to be studied is the small tammar wallaby, known scientifically as Macropus eugenii and found on islands along AUS's S and W coasts. Mr Brumby says the results will be of interest to AUS's dairy industry because the study will examine the impact of gestation periods on milk production. "[It offers] huge benefits in terms of human health, things like spinal regeneration," he said. "And in terms of animal health, things like milk production, eyesight and gestation periods are of great interest right through agriculture but in particular in the dairy industry." The idea of the project is to add to the variety of animals whose DNA is fully sequenced so they can be compared genetically to humans, thus shedding light on disease and basic biology. Because the wallaby is a marsupial and relatively distantly related to humans, differences between it and other mammals such as humans may offer insights into the biology of reproduction. The director of the US's Nat'l Human Genome Research Institute, Francis Collins, says the project is a critical next step. "This scientific collaboration between the US and AUS represents another important step in our quest to gain a better understanding of the human genome," Dr Collins said. "As we build on the success of the Human Genome Project, it has been increasingly clear that one of the best tools for identifying crucial elements in the human genome is to compare it with the genomes of a wide variety of other animals." Marsupials such as the wallaby give birth to extremely undeveloped embryos that develop in a pouch, nursing on milk, while other mammals carry their young inside the body using a placenta to nourish it. Scientists believe marsupials last shared a common ancestor with humans about 130 mn y ago, while chimpanzees, for instance, split off 7 mn y ago. East coast koalas could die out Koala populations at risk, study suggests. Canberra. The Fed Govt has been asked to list AUS's koalas as a vulnerable species, with new research showing the animals could be extinct in the eastern states within 15 y. The Aussie Koala Foundation has been conducting surveys of 1,000 sites along the E coast and says the population is been decimated by urban sprawl, roads through the middle of koala habitat and dogs. Foundation executive director Deborah Tabart says in SE Qld alone, 20,000 koalas were killed in just 8 y and that is having a devastating impact on breeding cycles. "We might be looking at koalas who are living happily in the bush but because they live until 10 y old, you might actually be looking at an extinct population," she said. "Because they haven't got any way of going out of their little home range, mating with someone then coming home pregnant. "So they just sit there, eke their time out and then the bush will go silent." Ms Tabart says roads, housing and dogs are the main reasons for the decline. "I think within 15 y it'll be very hard to find a koala on the east coast, on the E of the Great Divide," she said. "That is because the urbanisation of our country is so rapid and I don't think they can handle the pressure." G-G should stay clear of Iraq debate: expert An expert says Maj Jeffery is leaving himself open to perceptions of bias. Sydney. A constitutional law expert says the G-G should not have weighed in to the highly contentious political debate over how long Aussie troops should remain in Iraq. G-G Michael Jeffrey told the ABC the US Pres was not interfering in Aussie domestic politics when he appeared to criticise Labor's Christmas deadline for withdrawing troops. During a joint press conference with PM John Howard, Pres George W Bush said it would be disastrous if AUS pulled out of Iraq. Maj-Gen Jeffrey says Mr Bush was simply giving an honest answer to a direct question. But a constitutional law expert from the University of SYD, Professor George Williams, says the G-G's comments may suggest he has political view on the matter. "He would have been sensible not to enter into that debate and that's because it's such a hot political issue," Prof Williams said. "I think governors-general and governors need to be careful not to talk about matters in ways that might give rise to perceptions of bias or politicisation. "That means when you're dealing with something like this that governors-general just have to be very very careful when they tread on that ground." Professor Williams says any suggestion that the G-G has a political perspective is dangerous. "That's dangerous in someone who may have to act as an umpire if a constitutional crisis arose," he said. Latham unsure Garrett wants Labor gig Labor wants Peter Garrett but does he want Labor? Sydney. Labor Party leader Mark Latham has admitted he does not know whether environmentalist and former Midnight Oil front-man Peter Garrett wants to join his election team. The ALP machine appears likely to impose its own candidate on the safe Labor seat of Kingsford Smith in SYD, despite strong support for a rank-and-file preselection ballot. Labor leader Mark Latham has said the party has offered Mr Garrett endorsement in the seat. But about 200 local branch members have formally declared they want to choose their own candidate for the next fed election. The branch meeting last night agreed to demand the vacancy created by Laurie Brereton's resignation be filled by a candidate who wins preselection in a rank-and-file vote. Former deputy PM Lionel Bowen was at the meeting and says that if Labor wants Mr Garrett to get a spot on the frontbenches, it should put him in a seat that will increase the party's overall majority, not a safe seat that already has good candidates. "My idea as a professional politician is that you've got to win as many seats as you can," Mr Bowen said. The branch's resolution will be put to NSW party officials this wk but many at the meeting privately say the vote will make no difference. * Persuasive Mr Garrett is yet to announce whether he wants the job and Mr Latham says he does not know whether Mr Garrett will take the job. "Bob Carr, the Prem of NSW, tried to get him into state politics and he said no," Mr Latham told Channel Ten's Rove program last night. "Hopefully this time we can be more persuasive." Mr Latham says he is expecting an answer in the next few days. Meanwhile, barrister and unionist Tony Slevin, who spoke at last night's branch meeting, says members will eventually accept Mr Garrett as their candidate when the dust of the preselection battle settles. He says branch members are justified in their anger over the way the matter has been handled but will eventually do what is best for the party's fed election chances. He says that though there has been little consultation about the preselection, "if you're going to have someone dumped on you, he's not a bad guy to have dumped on you". Man shot dead answering front door Dubbo. NSW police have launched a murder inquiry after a man was shot while answering the door to his home in the state's central west. The man's wife found the fatally wounded man in the hallway of their Fitzroy Street home in Dubbo. She had rushed to his aid from another part of the house after hearing several gunshots. The man was in his 40s and police rep Norris Smith says officers need more info to help to catch his killer. "A vehicle described only as a white tray utility was seen in the area about the time of the incident," he said. "Police are appealing for members of the public who saw anyone acting suspiciously in the vicinity of Fitzroy Street at about 9.00 pm last night to contact Dubbo Police or Crime Stoppers." SYD police are flying to the state's central-west to help find the person who shot the man. Acting Orana Local Area Cmdr Ian Borland says the man was known to police before his murder. He says police are now looking for a man seen driving a white ute near the house at the time of the shooting. "I just simply appeal to anybody that may have seen anyone in the area last night or seen something they may think is suspicious to contact police," he said. "Because they may have the very pieces of info we need to assist us in progressing the matter." Suspended policeman pleads case against sacking Melbourne. A police officer from Benalla, in NE Vic, suspended by the Chief Police Commissioner says he has been forced to publicly defend himself. Commissioner Christine Nixon has used her loss of confidence powers for the 1st time in suspending Edward Robb of Benalla and Detective Sgt Paul Dale of the drug investigation division. Both men have been given 3 wk to show why they should not be sacked. SC Robb says people will assume he is guilty if he makes no comment. "What choice do I have? I have done my absolute best to keep my name out of the media and to keep these allegations out of the media," he said. "My family don't deserve it and I don't deserve it. By Christine Nixon naming me and publicly trying to shame me, that is her way of giving her case some credibility." Snr Constable Robb says he has never been involved in corruption. He has been acquitted of charges relating to intent to cause injury and serious injury, false imprisonment and attempting to pervert the course of justice. The police association has called on the Chief Commissioner to prove that the Benalla community has lost faith in Snr Constable Robb. Association secretary Paul Mullett says he thinks the people of Benalla still have faith in the officer. "Well, the community of Benalla support their police, the police at Benalla have an excellent relationship with all their local communities and it's one of the issues that the Chief Commissioner has to prove, that this member has lost the confidence of the community, so that's an interesting aspect," he said. Arrests made in ganglands swoop MEL police have made several arrests this morning. Melbourne. Police investigating MEL's gangland killings have arrested several people in a major operation this morning, including accused drug trafficker Carl Williams. Police say there may be more arrests as part of a larger operation expected to unfold throughout the day. Mr Williams and the 16-yo son of his wife Roberta Williams were arrested this morning, according to Ms Williams. Their arrests coincide with a Purana task force operation nr the cemetery in Brighton this morning, in which 2 men were taken into custody. Purana members and the Special Operations Group arrested the 2 men shortly after 7.00 am on the footpath in busy N Road outside the cemetery. Detectives wearing blue plastic gloves began examining the scene shortly afterwards. A number of items -- including yellow police raincoats, other clothing and a handgun -- were found on the footpath and police have taken the items away in brown paper bags. Police were also guarding a nearby house in Raymond Grove which has been cordoned off. All those arrested have been taken to the St Kilda Road police complex for questioning. * Crime commission The arrests come as alleged underworld figure Mick Gatto joined calls for a crime commission to put an end to MEL's gang war. Gatto is facing a murder charge over the death of underworld figure Andrew Benji Veniamin in Mar. He has joined the list of Vic's calling for a standing crime commission to deal with the ongoing allegations of links between allegedly corrupt police and the underworld. However, he has told The Bulletin magazine he doubts the "state's power elites would allow a commission to uncover corruption at the highest echelons". Some members of MEL's legal fraternity have been lobbying for an independent inquiry and Vic Opp'n leader Robert Doyle maintains a royal commission is required. Mr Doyle says the Govt's moves of giving more powers to the Chief Commissioner of police and the ombudsman to tackle the problem are not enough. Venus captivates star-gazers Sydney (Reuters). Venus has made a rare transit across the face of the Sunn, giving star-gazers from AUS to the Middle E and Africa a celestial view that no living person has seen before. To the delight of 100s of people around the globe -- armed for the occasion with telescopes, pinhole cameras and special glasses -- Venus appeared as a small black dot on the lower edge of the Sun at the start of its six-hr transit. In AUS, it was already afternoon when 40 amateur astronomers gathered at the home of Jos Roberts N of SYD. "I feel very privileged to be alive at the right time, to be in the right place, to have no clouds or monsoons," said Mr Roberts, who toasted the event with champagne with his colleagues. Similar Venus-watching celebrations were held all over the country, despite cloud obscuring Aussies' views of the final passage of the planet. * Historic quest The discovery of the transit in the 17th Century triggered a quest for glory between Brit and France. They were eager to be the 1st to time the eclipse from different parts of the world and thus calculate the "astronomical unit" -- the distance between the Sun and Earth, the fundamentalist unit of measurement in space. Europe's 2 great powers sent scientists on dangerous expeditions to distant parts of the globe to carry out the parallax measurement. In doing so, they pushed the envelope on scientific knowledge. After the 1769 transit, Brit's James Cook became the 1st European to discover AUS's Great Barrier Reef and make the 1st detailed map of NZ. And in 1882, French astronomer Pierre Janssen invented a rotating photographic plate to take swift, multiple exposures. His device was picked up by the Lumiere Brothers to make the first movie camera. This time, too, observers around the world timed the transit and repeated the historic calculations. "It's the different timings, from different locations, which allow you to measure the distance [to Venus]," John Mucklow, of the Astronomical Society of S Africa, said. He used an old telescope mounted on a wooden tripod to watch the spectacle from the roof of a hotel nr Johannesburg. * Eager crowds In the UK, more than 100 people gathered in the courtyard of Brit's Royal Observatory to witness the phenomenon. "This morning we are watching the 1st transit of Venus since 1882. Until this morning no one alive has ever seen this event," Dr Robert Massey, from the observatory in Greenwich, said. Banks of photographers with telephoto lens and TV crews captured the event. People queued patiently as parents lifted small children to gaze into telescopes set up in the courtyard of the observatory on a clear, warm morning. Others used special glasses handed out by staff to see the event. "It is very mysterious," Japanese tourist Hiroyuki Narasawa said, after peering up at the sky through a cardboard tube and camera. In the Middle East, school children gathered on the hills outside Beirut to watch the passage through dark glasses. The complete transit was only partially visible in the Americas. * Rare event The Venusian transit only occurs 4 times every 243 y. 2 are in Dec, 8 y apart, and then 121.5 y later there are 2 Jun transits, also 8 y apart. After another 105.5 y the cycle begins again. The next passage will occur in 2012 but will not be visible in many parts of the world. But Dr Robert Walsh, of the University of Central Lancashire in northern England, had arguably the best viewing position for this year's spectacle. He was in the bedroom of Brit astronomer Jeremiah Horrocks, who was the 1st person to observe a transit in 1639. "To see what he saw from a specific point is very exciting indeed," he said. Web domain registrations hit 63 mn LA (AFP). The total number of registered Internet addresses has reached a new high of 63 mn, after a record increase of 4.7 mn in the first quarter of this y. VeriSign, which owns the domain registrar Network Solutions, says the surge in registrations reflects interest in the newer extensions like dot-biz, dot-info and dot-museum. The total number of 63 mn is roughly one for every 100 people living in the world today. "This number is greater than at any time in the Internet's history, surpassing even the heights that were seen during the Internet 'bubble.'" VeriSign said in a statement. "Moreover, data reveal that the current base of domain names is being utilised more actively than ever before, as measured by renewal rates, look-up rates and the%age of domain names tied to live sites." The spike in demand is at least partly driven by the recent availability of Arabic, Chinese and Russian characters within domain names, VeriSign officials said. More than 72% of the domain names are part of a live website, up from 55 % at the height of the boom in Dec 2002, the firm said. This indicates "that the speculative purchase of domain names that fuelled much of the growth in the late nineties has been replaced by real websites and e-mail boxes, to which real people are connecting." Rusty Lewis, executive vice president of VeriSign's Naming and Directory Services, says Asia and Europe are driving extra growth. "Though N America has the highest number of Internet users as a percentage of its population -- about 55% -- increasing Internet traffic is a reflection of a fast-growing group of Internet users around the world," Mr Lewis said. "For instance, 223 mn people in Asia and 173 mn people in Europe currently use the Internet on a regular basis, compared with around 175 mn in N America. "But those Internet users represent only 6% and 22%, respectively, of the total populations of Asia and Europe." {{ 0.30 am 2 key members of Ariel Sharon's cabinet have resigned in protest at the planned phased pull-out from the Gaza Strip. Analysts in Brit say Tony Blair has become the "invisible man" in the up-coming local and EP elections. The PM -- once considered a prime asset for the Labour Party -- has reportedly not appeared in campaign literature or on TV in Yorkshire or other N council areas. Opinion polls indicate Labour won't do well in the elections. A Brit committee says about 1/3 of the cost of milk is unexplained. A report says suspicion and mistrust plague the industry. It says there are a number of unexplained costs that originate somewhere in the retail chain. 9.30 am Israel has announced it will close a large industrial zone nr the Gaza border. It's the site of several large Israeli-owned factories that employ about 4,000 Pals. Olmert says it will be moved inside Israel, meaning Pals will be unable to keep their jobs. Israel has announced it has developed a SS missile with a range of at least 250 km. Observers say it is capable of flying much further than its stated range. The missile will be able to hit any regional capital except Tehran. Israel has long sought such a capability . 10.15 am The All Ords is down slightly. The Nikkei is down 50 pts. The AUD is trading at 70 US c. Oil is up 17 c. 11 am US A-G Ashcroft has refused to release memos that discuss the use of torture in Bush War on Terror. A US newspaper have published details of legal advice to the US govt that say the Pres had the authority to order torture of prisoners and that it could be necessary in the war on terror. Previously, the Whitehouse had claimed torture at Abu Ghraib was the work of a few rogue privates despite the fact it has also emerged that similar techniques were used in Afghanistan and Guantanamo Bay. Before a Senate committee yesterday, the A-G refused to release personal memos to the Pres that discussed techniques that could be used to interrogate prisoners. He claimed the memos were part of his personal advice to the Pres. The session was marked by several sharp exchanges, with the A-G refusing to give reasons for not co-operating, and several Senators reminding him about the powers of the Senate and the US Const'n. Observers and human rights groups say the revelations indicate the Bush Admin virtually authorised a policy of torturing POW's. Midday. US A-G John Ashcroft has refused to give politicians copies of a Justice Dept memo that allegedly advised the White House that torture during war on terrorism interrogations could be justified. A UN Sec Council resolution adopted today ends the US occupation of Iraq but lets the US military keep taking and holding prisoners even after the Jun 30 hand over of power to Iraqis. All 15 members of the UN security council voted to approve a US-Brit resolution on Iraq's future, formally giving Baghdad sovereignty when the occupation ends on Jun 30. PM John Howard has welcomed a new resolution from the United Nations Sec Council formally ending the occupation of Iraq at the end of this m. A police officer from Benalla, in NE Vic, suspended by the Chief Police Commissioner says he has been forced to publicly defend himself. Israel will close a large industrial zone on the border with the Gaza Strip, which employs about 4,000 Palestinians. Platypus researchers fear the mammal's numbers on King Island, north of Tas, could be devastated if an application to kill one for research purposes is granted. The Fed Govt has been asked to list AUS's koalas as a vulnerable species, with new research showing the animals could be extinct in the eastern states within 15 y. Vic scientists will lead the world's 1st gene study on marsupials. 6.30 pm 1000s of O/S students each y have their visas cancelled in AUS. They are found to be working, rather than study. Some colleges offer "flexible attendance" in order to poach students from other institutions. SBS TV says QUT is the biggest offender -- with 20% of its O/S intake having their visas cancelled last y. 7 pm Anti-nuclear and land rights campaigner Peter Garrett today formally applied to join the ALP. Pundits say despite strident protests from the safe seat of Kingsford Smith, he'll be endorsed as the Labor candidate within 2 wks. He's also resigned as the head of the ACF, a position he's held since 1998. 11 pm BBC News Hour. Key Arab states are staying away from the G8 meeting. There is growing cynicism about US motives in the Middle E. A general strike is proceeding in Nigeria, despite govt broadcasts claiming it has been called off. Is also went ahead despite a court order that it be cancelled. The strike was called by trade unions in protest at a petrol price hike. The govt has announced the end of fuel subsidies. Opp'n groups say it's unbelievable the world's 6th-largest exporter of oil can't offer cheap fuel to its own pop'n. Banks and public offices closed in Abuja. There are few cars and bikes on the streets in Lagos. Petrol stns are closed after it became clear the strike was going ahead. The sit'n is calm. 200,000 officers have been deployed to keep the peace. At the G8 summit Pres Bush says he wants to promote democracy in the Middle E. But rather than his prev vision of modelling the region after the west, he now calls his policy a "partnership for progress". Mr Bush is trying to convince the Middle E his plan is not just another form of colonialism. But Egypt and Saudi Arabia declined invitations to attend the summit. There's renewed political friction in Iraq over the latest UN Res. Kurds say they may withdraw from the interim govt because the Res didn't enshrine the independence of the N. 15% of the Iraq pop'n is Kurdish, and they control 3 of Iraq's 18 provs. The interim const'n in Mar recognised Kurdish autonomy. Police in Fiji are claiming the biggest drug bust ever in the S hemisphere. Police from Fiji, AUS and NZ have captured $US500 mn of "ice" and 7 men have been arrested. A drug factory was set to produce about 500 kg of ice per wk -- intended for the US, Europe, AUS and NZ. Chinese state media reports the country's biggest corruption trial has started. The trial is taking place on the S Is of Hunan and involves $3 bn that was embezzled by officials of a investment company. But the tentacles of the case stretch across the country. The principal defendant was a security official in the firm. He allegedly used client's money to trade in shares and buy property. The US military says it will give the Red Cross access to its 2-dozen jails in Afghanistan. Until now, the ICRC had only been allowed to visit 1 of the US-run prisons. US cmdrs say prisoners are treated in accord with the Geneva Conventions. But prisoners released from prison say they were sometimes treated in the same manner as prisoners in Abu Ghraib. A Turkish court has announced that the conviction of several Kurds on charges of belonging to an illegal organisation will be quashed. The EU has been pressuring Turkey on its human rights ahead of its joining the group. In another sign of a cultural thaw, Turkey has started broadcasting Kurdish-language programs on state TV. Until the 80s it was illegal to speak the language in public. The 30 min program was attacked by Turkish nationalists who warned it could lead to the disintegration of the country, which is made up of more than 2 dozen ethnic groups }} ======================================== (*) Who is responcible for W.A.R.S? A small group of dedicated sandgrubbers, bannana-lickers and 5th columnists on the run from support payments and sundry legalese in their home countries. Mention us at any Uncle Harry's Suburban Bunker and get a 10% discount on cop-killers! All speling macroizated for correctitood by Mcrosotf Speelchek. *** Please stand by for further orders from The Leader ***