NO, NOT THE OIL! #161 (4/4)

[R Kym Horsell]

Controller in air disaster was stabbed 'after row'
Berlin/Zurich (Independent). The murder of an air traffic controller
who was stabbed to death at his home in Zurich on Tue could have been
a revenge attack by relatives of the 71 people killed in an air crash
over Germany 2 y ago, Swiss investigators said yesterday.
The victim, a 36-yo Dane employed by Skyguide, the Swiss air traffic
control company, was attacked on Tue evening after he opened his door
to an un-ID'ed man who fled after stabbing him with a knife.
Witnesses said the attacker, who appeared to be about 50-yo, had
argued with the controller in a "broken German" accent while the 2 men
were standing on the balcony of the victim's Zurich apartment. The
attacker then lunged at the controller and escaped on foot, leaving
the controller, who had 3 children, to bleed to death.
Swiss police investigators said yesterday they were not ruling out the
possibility that the murder was connected to the crash on 1 Jul 2002,
when a Russian passenger plane and an American DHL transport aircraft
collided over S Germany. But witnesses also said they though the air
crash was apparently not the subject of the argument that happened
prior to the attack, which was witnessed by the controller's wife.
Pascal Gossner, the chief Swiss police investigator, said: "Whether or
not the killing was linked to the air accident is, of course, a very
central issue for us in conducting our investigation." Police revealed
that the controller had been on duty at a radar screen at Zurich
airport at the time of the air collision, where his job was to guide
aircraft to their destinations in S Germany.
Shortly before midnight on 1 Jul 2002, the controller had permitted
one of his colleagues to take a break, leaving him with several radar
screens to supervise. At the same time, a telephone line used for emergency
communication at the Skyguide control tower had failed to function. As
a result, the controller was able to warn the pilot of the Russian
aircraft about the impending collision only seconds before it happened.
The accident killed a party of children and young people from the
Russian republic of Bashkiria, who were on their way to Spain for a
holiday. The controller was suspended from duty immediately after the
collision. He had still been employed by Skyguide up until his death
but not as an air traffic controller.
Despite suspicions that the controller's murder was a revenge attack,
relatives of those killed in the accident ruled out the suggestion
yesterday and said they wanted to hear the controller's testimony when
the circumstances of the collision were examined by the courts. The
police said there were several indications that the man they were
looking for was from Eastern Europe.
A rep for the relatives of the dead, contacted by the German media in
Bashkiria said: "We mourn for the victim's widow and his 2 children.
We cannot imagine that any of us would have been behind this attack."
The causes of the crash have yet to be fully established. Germany's
Fed Bureau of Aircraft Accidents Investigation is due to publish a
report of its investigation into the collision later this y before a
full legal inquiry is launched.
The 30 families of those killed in the crash have so far been unable
to reach an agreement with Skyguide on financial compensation for
their children's deaths. Gerrit Wilmans, a Hamburg lawyer who is
representing them, said yesterday: "The families concerned consider
the amounts so far offered by Skyguide to be too low."

Washington. A US govt report says human rights abuses worsened last
year in a raft of countries including China, Cuba, Iran and Burma.
The annual US State Dept human rights report says N Korea and Haiti
remained 2 of the worst human rights hot spots, while key Washington
allies were also criticised. Key allies Saudi Arabia and Israel, as
well as Russian Pres Vladimir Putin, were rapped for stepping up
repression of minority groups and political opponents

Anchorage. A Labrador retriever has been found alive on an isolated
cove of a SE Alaska island. The discovery comes more than 1 m after
the dog's owner was given up for dead when his boat sank in rough
seas. 2 local fishermen found the dog named Brick on Heceta Island
several km from the accident. The men had known the dog's owner, who
went down with his boat in late Jan. The dog swam to the men's boat
and was hauled aboard -- underweight, with an injured leg, fur matted
with tree sap, but wiggling with joy.

Blair wants asylum-seeker camp in Africa
London (Independent). The Govt was accused yesterday of starting "an
internat'l trade in displaced people" after Tony Blair confirmed plans
to process people seeking asylum in Brit nr their country of origin.
Downing Street denied a "cash for people" deal under which
asylum-seekers would be dumped on some of the world's poorest
countries. But Brit has offered Tanzania an extra #4m in aid if it
opens an asylum camp to house people claiming to be Somalian refugees
while their applications to live in Brit are assessed. The Govt wants
to send those who have had asylum claims refused in Brit to the camp.
The Tanzanian deal would be a pilot scheme that could lead to other
claims for asylum being handled nr the applicants' home country rather
than after they arrive in Brit. The Govt is in talks with another
African nation about a 2nd camp, possibly in W Africa, and has
explored a similar arrangement for the Balkans. Somalis fleeing the
country's long-running civil war have topped the number of
asylum-seekers seeking refuge in Brit for the past 3 y.
But many applicants claiming to be Somalis, some of whom arrive in
Brit without identity documents, are deemed to be from other countries
in the region. The claims to be processed in Tanzania are likely to be
handled by Tanzanian officials but their Brit counterparts may offer
training and advice.
In the Commons, Charles Kennedy, the Liberal Democrat leader,
challenged Mr Blair over the Tanzanian scheme. He said: "This could be
the beginning of an internat'l trade in displaced people and that
would be a very bad precedent to set."
Later Mr Kennedy said the prospect had disturbing implications. "It is
a matter of people who actually come to our country, who seek asylum
status, are denied it, and are then being sent potentially to a 3rd
country with a cheque attached to take the matter off our hands."
Mr Blair described the proposed scheme as "sensible" and the
discussions with Tanzania as "perfectly amicable". Dismissing Mr
Kennedy's criticism as "absurd", he did not understand objections to
seeing whether it is possible to process claims close to the
applicant's country of origin. "I do not think there is any question
at all of that ending up in a trade of displaced people,"he said.
The PM was barracked by Tory MPs, who accused him of adopting the Tory
policy of deporting asylum-seekers arriving in Brit to a "far
offshore" island to have their claims processed. David Davis, the
shadow Home Secretary, said: "This smacks of sheer hypocrisy. The Govt
has continually mocked Conservative plans to deal with asylum-seekers
offshore, and now it has decided to adopt them on the quiet."
Oxfam warned that making aid to Tanzania conditional on co-operation
with asylum applications would be illegal because it would contravene
the Internat'l Development Act and the 1951 Refugee Convention. Peter
Kallaghe, director of communications for the Tanzanian Pres, Benjamin
Mkapa, could not confirm the amount of aid offered.

Canberra. AUS's competition watchdog is investigating whether Telstra
has acted anti-competitively in the pricing of its retail broadband
internet services. Telstra's competitors have complained that the
communications giant is charging less for its retail broadband product
than for the wholesale service. ACCC chairman Graeme Samuel says the
commission is concerned that Telstra's decision to drop its retail
price has not been matched by a similar reduction in its wholesale prices.

Sydney. A major highway remains closed on the NSW Blue Mountains this
morning, after 2 truck drivers died in separate semitrailer crashes.
Police say the 1st crash about 1.30 pm yesterday involved a
semitrailer driving E on the Great Western Highway, at Forty Bends,
about 5 km E of Lithgow. In the other crash, a semitrailer laden with
mixed chemicals failed to negotiate a sharp bend at the bottom of the
Mt Vic pass about 11 pm.

Brisbane. A German diving instructor has drowned in a Cairns swimming
pool. The 33-yo was found on the bottom of the Sunny Lodge's pool in
Grove Street about 11.30 pm AEST yesterday. Cairns police say he had
been seen entering the pool about 6 hr earlier. It's believed the man
blacked out underwater. Detectives are investigating the cause of
death, which is not being treated as suspicious.

Canberra. Treasurer Peter Costello and PM John Howard will today begin
the hard sell to convince Aussies to work past the traditional
retirement age. Mr Costello yesterday outlined the govt's vision to
keep older people in the workforce longer and encourage lone parents
and disabled people back into paid jobs. As the govt works to seize
the agenda from Labor, he detailed a strategy to address the
challenges caused by the rapidly ageing population.

Mornington. PM John Howard says changes to superannuation in AUS don't
need to be drastic or radical because the country's economy is strong.
Mr Howard says the superannuation reform package outlined by treasurer
Peter Costello has been unfairly criticised by some. But he says the
govt has a responsibility to plan for y ahead. He's compared AUS's
fiscal position to that of the US.

Costello promotes workplace "revolution"
Canberra. Fed Treasurer Peter Costello has described the Govt's
superannuation overhaul as a revolution in AUS's working culture.
Mr Costello is on the road today selling the new package of reforms,
which addresses the country's ageing population The centrepiece of the
Govt's superannuation package allows older Aussies to access their
entitlements while they remain in the workforce.
Mr Costello says the days of retiring at the age of 55 are over.
"The day when people were considered washed up in the workforce at 45
is over," he said.
"We need more flexibility, people ought to be encouraged to maintain a
connection with the workforce."
"What we've got to do is we've got to get more people engaged in the
workforce and this is my message, we will need older workers in the
workforce anyway because the number of people of workforce age is not
going to grow, and let's have a revolution in our working culture
here," he said.
Other elements include allowing retirees to invest their super in
shares, encouraging retirees to take their super as income rather than
as a lump sum and tightening the rules to stop asset-rich people from
qualifying for the age pension.

Super plan faces up to reality: Costello
Canberra. Treas Peter Costello denies his plan to keep older Aussies
working longer is simply a cost-cutting measure.
Mr Costello has described the Govt's superannuation overhaul, which
aims to address the issues raised by the country's ageing population,
as a revolution in AUS's working culture.
The centrepiece of the package allows older Aussies to access their
super while they remain in the workforce.
Mr Costello says the days of retiring at the age of 55 are over.
In the detail of the Treasurer's announcement is a calculation that by
the middle of 2008, the Govt will end up saving about $30 mn a y if
all of its proposed changes go ahead.
Mr Costello says the plan simply faces up to the reality of AUS's
ageing population.
"AUS's demographic is going to add up to a gap by 2042 of $40 bn
... per annum," he told ABC Radio's AM program.
"You can make that up by more taxes, you can make it up by cutting out
all health expenditure, you could make it up by sending ever
increasing debt bills to future generations or you can make it up by
trying to grow the AUS economy faster and stronger.
"That's what I'm recommending and if you want to grow the AUS economy
faster and stronger we need to keep going on economic reform but we
also need to get more people engaged in the workforce if we can."
Mr Costello added: "What we've said is if we start taking measures
now, then we can put in place small steps which will allow AUS to cope
with this problem."
Asked if he was concerned that his plan would be seen as the Govt
asking Aussies to work harder and longer, Mr Costello said: "The Govt
wants to increase opportunity for mature-age workers.
"The day of full-time retirement at 55, or the day when people were
considered washed up in the workforce at 45, is over. We need more
flexibility. People ought to be encouraged to maintain a connection
with the workforce."
Mr Costello refused to comment on why the Govt had not cut
superannuation taxes.

Sydney. The University of W SYD is setting up a specialist facility to
help skilled migrants and refugees prepare for the AUS workforce. The
new unit will provide brokering and bridging services to help migrants
overcome barriers faced when trying to find employment. The centre's
joint director Dr Regine Wagner says the unit is based on a similar
project in London and will hopefully be up and running by the end of the y.

RBA gets evidence to back a rate rise
Canberra (AAP). The Reserve Bank has been presented with more
evidence of a strongly performing economy that adds pressure for
another lift in interest rates.
Wage costs climbed 1.0% in the Dec quarter, with the private sector
experiencing its highest wage rises in more than 3 y.
And the construction industry is steaming ahead with the value of
construction topping $18.3 bn for the Dec quarter on the back of
strong housing, non-residential and engineering sectors.
The figures had economists warning of an economy that may soon have
trouble controlling wage inflation.
Analysts had been tipping wage costs to rise 0.9%, but the biggest
surprise from the AUS Bureau of Statistics was the strength of wage
costs in the private sector.
Private-sector wage costs climbed 1.0%, after rising 0.8 per cent in
the Sep Q. On an annual rate, private-sector wage costs were up 3.3%.
In the public sector, wage costs bumped up 1.1% for an annual rate of 4.8%.
Wages in the construction and education sectors lifted just 0.3% for
the quarter while govt Admin and defence wage costs rose 1.6%.
Wages were growing fastest in Qld, the ACT and S AUS, up 1.2% for the
quarter, and slowest in Vic and W AUS where they grew 0.7%.
On the construction front, residential building work hit the 2nd
highest level on record at $8.03 bn.
A record $1.28 bn in alterations and additions meant home owners were
busy extending their homes.
Non-residential building hit the highest level in 6 y, reaching $3.9
bn, while the value of engineering work lifted 6.1% to $6.45 bn.
Qld led the way, with the value of building work up 17.0 per cent for
the quarter following a 19.3% climb in the Sep Q.
Engineering work in the sunshine state climbed 28.2% after a 12.3%
contraction.
Westpac snr economist Justin Smirk said wage pressures were growing
because unemployment had fallen to 14-y lows.
He said the threats of wages on inflation were growing in a move that
would ultimately force the Reserve Bank to act.
"If domestic growth exceeds expectations, then tighter labour market
conditions and resulting increase in labour costs will push inflation
higher," he said.
"This is not a scenario that is consistent with monetary policy
remaining stimulatory."
Commsec economist Craig James said the strong economy, coupled with
the shortage of skilled staff for many businesses, could feed into
wage inflation that will have to be answered by the Reserve Bank.
"Wage growth is continuing to creep higher, ensuring that it will be a
top-of-mind issue for both corporate AUS and the Reserve Bank over
2004," he said.
"Certainly with the labour market continuing to tighten, inflationary
hawks will have to keep their beady eyes on pay levels in coming months."

Canberra. Business leaders and snr govt ministers will examine
potential terrorist threats and ways to combat them at a major forum
later this y. PM John Howard says the meeting will look at the
threats facing key infrastructure and how best govts and business can
work together to protect them. The SYD Harbour Bridge, power stations
and dams are among what's considered to be key infrastructure.

Canberra. A-G Philip Ruddock says AUS will examine the options being
considered by the Brit govt to strengthen its fight against terrorism.
Brit Home Secretary David Blunkett released a discussion paper earlier
this week canvassing anti-terrorism options. Mr Blunkett said the
govt had to find a fair and effective balance between security and
liberty in the fight that its security chiefs have warned will last
for years.

NT warns of dengue fever risk
Darwin. Mosquitoes which can carry the dengue virus have been
discovered in Tennant Creek in the NT.
The Health and Community Services Dept is conducting a survey of all
exotic mosquitoes in the town.
The dept's Peter Whelan says while the chance of someone in Tennant
Creek contracting the virus is extremely remote, it is nonetheless a
concerning situation.
"Aedes aegypti, the mosquito that can carry dengue, has got drought-resistant
eggs," he said.
"If people start moving old tins and tyres and drums and old rainwater
tanks and anything like that away from Tennant Creek, they could actually
transfer these drought-resistant eggs to another place in the Territory.
"Then if they get filled up with water we could start another
population there."
Mr Whelan says fogging will be conducted in residential and public
places and surveillance will be increased.
He says people should remove water containers and refuse where
mosquitoes can breed from their yards.

Brisbane. Health authorities say Qld has recorded an increase in
whooping cough cases in the past month. A new report found there were
29 new whooping cough cases across the state in the past fortnight.
AUS Medical Association Qld president David Molloy says most of the
cases were in children aged over one. He says all could have been
prevented by vaccination. Whooping cough is caused by a bacteria
which lives only in human throats.

Brisbane. Qld's Uni of Technology has approved increases in HECS fees
of up to 25% for students who begin study from next y. The university
is the 1st in the country to increase fees by the maximum allowed 25%
under the fed govt's major changes to university funding announced
last y. The decision by QUT's governing council was made at a meeting
postponed for an hour after a protest by about 100 students at the
Garden Points campus in inner-Bris.

Sydney. More than 180 new primary school teachers will start work in
New South Wales this y in a bid to reduce class sizes. Prem Bob Carr
says the 1st stage of the govt's $341 mn program to improve
student/teacher ratios is now in place. He's told Auburn Primary
School that kindergarten class sizes have been reduced to a statewide
average of 20 students. The 181 new teaching positions are the 1st of
almost 1,500 extra positions promised during last y's state election.

Melbourne. Discount flights on AUS's newest budget airline are
available on the Internet from today starting a new round of price
wars in AUS's domestic airline industry. Qantas chief executive Geoff
Dixon says Jetstar starts flying on May the 25th with flights from
Bris, SYD and MEL to 10 eastern-state destinations. Within hours of
Jetstar's announcement yesterday of an introductory offer of 100,000
seats at $29 each, rival Virgin Blue put 200,000 seats on the market
at the same price.

Brisbane. Pilot error has been blamed for a fatal helicopter crash at
Caboolture airport N of Bris last y. An AUS Transport Safety bureau
report has concluded the accident last Mar happened because the pilot
failed to gain enough height to clear a mobile landing platform. The
pilot of the Bell 47 died in the Caboolture Hospital from serious head
injuries after the chopper's skid caught on the platform, throwing him
through the perspex windshield.

Sydney. An expert says research has begun in AUS that could lead to
the underground storage of greenhouse gas emissions. Speaking to a
greenhouse gas emissions forum, Dr Peter Cook yesterday said
researchers are working on the next steps in developing zero emission
technologies. He says these could be used to capture and store carbon
dioxide emissions from large-scale operations. Dr Cook says the CO2
capture and store technology would be used in new generation fossil
fuel plants in AUS, and would help combat emission

Frankfurt. European scientists are preparing to launch a spacecraft
tomorrow in an unprecedented attempt to land a probe on a comet. They
say the project could yield new discoveries about the solar system and
the origins of life on Earth. The European Space Agency's 3 tonne
Rosetta probe is due to blast off on an Ariane-5 rocket from Kourou,
French Guiana, tomorrow evening, AUS time. After a 10-y journey, the
probe will orbit and study an ice-caked comet and investigate the role
of comets in the evolution of the solar system.

Markets
Sydney (close). The AUS share market closed higher today, supported by
gains in the resources sector and the nation's biggest company News
Corp The All Ords closed up 12 pts to 3358. In Japan, the Nikkei
gained 157 pts to end at 10,816. The Hang Seng added 75 pts to 13,675.

{{
Midnight.
BBC World News. The US and NK have held lengthy meeting to discuss
their diffs over nuclear weapons. On the 1st day of 6-nation talks in
China officials from the 2 star countries held a sideline meeting for
2-and-1/2 hrs. It's the longest meeting known between the 2 since
2002. All 6 nations spent 4 hrs in joint talks. SK described the
talk as "cool and rational". But there's no movement on the tricky
question of whether NK has enriched U. Pyongyang has denied the
accusation. The US demanded the North abandon both Pu and U
enrichment programs.

Israel says is shortening the route of its security barrier to 640 km
-- 80 km less than the plan originally approved by the Knesset. The
confirmation came as 3 days of hearing in The Hague wrapped up. In
its final presentation to the court, the Arab League argued the
construction of the barrier was detrimental to Middle E peace.

The Brit Govt has outlined changes to its terror laws. Civil libs
groups have labelled them "Draconian". Home Sec Blunkett has outlined
strengthening of some laws. Critics say it's an "assault on the
justice system". Mr Blunkett has described his proposal as a
"construction document". He wants to crack down on immigrants that
are "helping terrorism with minor acts of crime". He's called for
telephone taps to surveil suspects. Mr Blunkett also wants the
creation of a new kind of lawyer who can review secret security
info. The idea of lowering the burden of proof in terrorism cases has
reportedly been shelved. But the terror laws will still install
controversial powers to authorities to detain foreigners without trial.

Iraqi Kurds are preparing a petition on the future of the region.
It's understood Kurdish groups are moving toward a semi-autonomous govt.

In Jakarta a court has sentenced a teacher to 3-and-1/2 y jail for
hiding one of the Bali bombers. Prosecutors asked for 9 y. Judges
said it had not been conclusively proven he'd given refuge to Muklas.
Muklas is 1 of 3 bombers sentenced to death for the attack.

In N Uganda a peace march has turned into a blood path. The
protesters were initially demonstrating against a massacre by the LRA
in the area earlier this wk. But some protesters broke away and
attacked homes of those believed to have been involved in the earlier
killing. A crowd of 10,000 had marched for peace. A BBC
corespondent said a section of the crowd broke away, and started
burning homes and beating up suspects. 2 people beaten to death.
Police then fired on the crowd, breaking up the melee, but reportedly
causing additional deaths and injuries.

6 am
US officials say 2 American soldiers have been killed in a chopper
crash in W Iraq. A US military rep says the Kiowa crashed into the
Euphrates R nr Haditha, 250 km W of Baghdad. Witnesses say the
aircraft was burning as it went down, after an explosion. The US
military says the cause is unknown. The US has lost 15 helicopters
with the loss of 62 lives since the Iraq occupation began on May 1.

7 am
7 police have been killed in a land mine explosion in E India.

Speculation is rife about the reasons the case against a Brit intel
officer was dropped. The officer worked at the GCHQ. She had leaked
a memo from the Bush Admin calling on Brit intel to bug UNSC members
ahead of a crucial votes in the run-up to GWII. The Brit govt is
refusing to say why the case was dropped. Some observers have linked
the decision with legal advice the Blair govt has rec'd about the
legality of GWII. The govt is also refusing to say what that advice
is. Cynics say the embarrassment caused by dropping the case is minor
compared with the embarrassment of allowing it to proceed at a time
when opinion in Brit is divided over GWII. After her arrest, Ms Gun
says she followed her conscience.

8 am
The QUT has approved a 25% fee hike starting next y.

The first Guatmo suspect has been handed over to Danish authorities.

With some time still to trade, the Dow is up 33 pts. The Nasdaq is up
12 pts. Gold has dived $US8.70 to $US396.10/oz. There's speculation
the Bank of Japan is about to intervene to support the JPY. Oil is up
more than $1 to $US35.75/bbl. It's seen a scorching rally because of
low US reserves. Imports are also down. The euro has tumbled to
$US1.2512 on speculation the EBC is about to cut int rates, and
comments from Chancellor Schroeder about a lower euro. The AUD is
around 77.10 US c -- down around 1 c from late local close last night.
It's been caught in the down-draft from the euro. In the US, Al
Greenspan has suggested raising the age people are eligible for
pensions. In 4 y time there will be 77 mn American baby boomers
starting to receive welfare. Greenspan says benefits may need to be
reduced, and the eligible age increased. There need to be
"significant structural adjustments" the C banker told a Senate
Committee. In London, the FSTE has closed up 11 pts.

Thailand expects to seal a FTA with AUS by May.

A letter written by a Titanic survivor has sold at auction for $32,000.

The IAEA says the extent of Israel's nuclear status is "a mystery"
because the agency doesn't inspect in Israel. Israel also hasn't
signed the NNPT. It's believed Israel has 100 to 200 atomic
weapons, says ElBaradei. In a new book the author suggests Israel may
have a more modest arsenal of about 80 warheads.

Israeli soldiers have raided banks in the W Bank and seized $mns in
cash from 400 accounts of individuals, families and institutions.
Soldiers seized between $7 and $9 mn in cash . The Israeli Govt says
the money was being used to support families of suicide bombers. The
Israeli Def Min has promised the confiscated money will go toward
humanitarian actions for Palestinians. There were clashes between
youths and Israeli soldiers during the raids. Crowds were dispersed
with tear gas, rubber bullets and rifle butts.

Computer experts have issued new warnings about a "MyDoom" e-mail virus.

A BBC documentary has accused the fed govt is ignoring FBI warnings
about the Bali bombing.

8.30 am
An AUS Army officer has revealed an ongoing severe reaction to the
anthrax vaccine he rec'd before the 2000 SYD Oly Games. He says after
receiving just some of the vaccine he started coughing and sneezing so
violently he injured his back. Some experts have now warned of long
term probs from the vaccine.
A submission to a govt committee also says anti-malarial medicines
were in short supply for Aussie troops in E Timor.

Unions have criticised the govt's super plans for not guaranteeing
seniors work. Surveys show about 1/3 of over-45s and 60% of over-55s
can't find jobs. A 55 yo in SYD told ABC radio he'd applied to 2,000
jobs in the past 2 y, and had been always knocked back. He says all
his qualifications are up to date. The interviewers don't seem to
listen and just say no, he says.

The ACCC is investigating Telstra for the pricing of broadband
services. Some businesses have alleged Telstra is selling the
services below cost to drive out competitors. The competition
watchdog says Telstra has dropped the retail price of the services
without a corresponding fall in wholesale price. Providers on-sell
Bigpond services, buying at wholesale prices. The ACCC has called on
Telstra to drop its wholesale price.

8.45 am
SE Qld has seen more storms o'night. 6,000 homes were blacked out by
rain and wind. Power has now been restored. The Bureau of Met says
90 mm of rain fell in SE Qld in the last 24 hrs.

Microsoft Corp says it had $A53 bn in the bank at the end of 2003.
Investors have called for the return of some of the money. The
company says it will maintain a huge pile of cash in case of law suits.

9 am
The War Crimes court in Arusha, Tanzania, has dismissed 2 defendants,
saying the prosecution has failed to prove their guilt beyond doubt.
The 2 were the former Rwandan Transp Min and a provincial Governor.
It's the first not-guilty verdict in the trials established 10 y ago.
Another former Min has been found guilty of killing Tutsis in the 1994
Rwanda massacres. The court has been criticised for its slow pace.
In recent ms it seems to have picked up the pace of hearings.

Midday.
France has unveiled a plan to restore order in Haiti, including
installing a "civilian force" to stem the chaos sweeping the country,
as a rebellion against Pres Jean-Bertrand Aristide continues.

France says Haitian Pres Jean-Bertrand Aristide bears a heavy
responsibility for the chaos gripping the Caribbean nation and must
draw the conclusions.

Rebels in Haiti have reportedly captured Tortue Island in the
country's N, a hub for trade with Florida and the Bahamas with a
population of 50,000 people.

Foreigners streamed out of Haiti on Wed as the capital braced for a
rebel advance and diplomats tried to rekindle talks on a power-sharing
deal to defuse the Caribbean country's bloody conflict.

6 pm
The NAB is in trouble again. On the heels of an FX fraud in MEL, US
regulators are looking at the bank's operations. The US SEC is
investing the $4 bn loss on the Homeside deal. And also the FX
scandal. US regulators are looking at both NAB and its auditor --
KPMG. 3 investigations are underway in AUS related to the currency
trading scandal. Local officials are also interested in the taxation
situation with respect to its losses. The bank is considering a
challenge a $307 mn fine from the ATO after interest deductions from
1997 to the present were dis-allowed.

The new Qantas budget airline offshoot has had a shaky start. Its
workers were forbidden from handing out ad material outside Crown
Casino in MEL. And their web site was clogged with about 3 mn hits
this afternoon. Callers to talk-back radio said they'd been trying for
hrs to get onto the sites of both Virgin and Jetstar, but received
only error messages.

8 pm
2 Palestinians have been shot dead by the Israeli army after they had
opened fire on Israelis nr a Gaza crossing. 1 Israeli was also shot
in the exchanges, but it's not clear whether they were a soldier or an
Israeli civilian. Al Aqsa has claimed responsibility for the attack.

9 pm
The Pres of Macedonia has been killed in a plane crash over Bosnia.
His executive jet smashed into a mountain in heavy fog. All 9 people
on board are believed to be dead.

AUS Navy personnel may be tried for their part in the deaths of 4
sailors in the 1998 fire aboard the Westralia. The workplace safety
arm of the fed govt says current Acts don't allow for members of Navy
to be charged. But that might be about to change. Suppliers of hoses
used in the ship's engine room have been summoned to appear in court
tomorrow. The contractor -- ADI -- has always maintained it only did
what it was contracted to do.

9.30 pm
Microsoft's Tokyo office been raided by investigations from the fair
trade commission. The company has been accused of monopoly and
unfair trading, similar to accusations in Europe.

Former Brit Min Clare Short says Brit was involved in spying on the
UN in the run-up to the Iraq war. She says she read transcripts of
conversations in Kofi Annan's office while working in the Cabinet.
After resigning over GWII she's been a critic of Tony Blair. Reaction
from No 10 has been swift. The PM's office said Brit always acted in
accord with Brit and internat'l law.

Shi'ite leader Ali al-Sistani has called for the UN to guarantee an
Iraqi national election before the end of the y. He wants a UN Sec
Council Res on an election.

SK, China and Russia have offered energy aid to NK in return for NK
freezing its nuke program. The countries did not elaborate on what
aid would be given.

At the UN France has put forward a new 5 pt peace plan to settle the
threatened Haiti civil war.

Aid groups have urged the Morrocan govt to improve the delivery of
blankets and other emergency supplies to the victims of quake in the N
of country.

Leading Dem Presid'l candidate John Kerry had called for advanced
notice for US companies intending to transfer American jobs O/S.

10.30 pm
Port-au-Prince. Armed gangs are roaming the streets of the Haitian
capital this evening, vowing to fight to the death. Rebels in Haiti's
N are tightening their grip on power and are reportedly hunting down any
groups loyal to the govt. They've vowed to take the capital.
Airports are jammed, as foreigners flee. The US is taking no
chances. Marines are escorting convoys of Americans through the
capital to the US embassy. Presid'l loyalists have set up roadblocks.
The Opp'n had turned down the latest peace deal, which would have
reduced Aristide's powers. France has called on Aristide to step
down. The first ship suspected of carrying 21 Haitian refugees has
been intercepted off Florida.

5 people have been killed in a boiler explosion at a school in
Dagestan. It's believed to be an accident, not terrorism.

11 pm
BBC News Hour. Was the the Brit spying on UN Sec-Gen Kofi Annan
legal? The PM's office says yes. Former trusted govt min Clare Short
says when she spoke with Sec-Gen Annan she was always aware there
would be a transcript and her words would be read in No 10. In the
run-up to GWII, the US and Brit were working to secure a UN Res
authorising invasion. A rep for Mr Annan says they don't know
whether Short's allegations are true. Annan didn't have anything to
hide, said the rep. If anyone wants to know Mr Annan's views on any
matter that have only to ask.

Officials have confirmed the wreckage of the plane carrying
Macedonian Pres Boris Trajkovski has been found in Bosnia. The crash
comes on the day Macedonia was to submit an application to become a
member of the EU. Trajkovski was known as a moderate leader who
united his ethnically-divided country.

On the 2nd day of nuclear talks in Beijing, China says NK has offered
to stop all its nuclear activities. The Russian delegation prev said
the N has offered to give up its military facilities. The N has been
demanding oil and other concessions from the W in return for
disarmament. Doubts remain on the US position. It previously
demanded NK abandon all its nuclear ambitions -- both military and
civilian. US officials say they refuses to reward NK for merely
meeting its internat'l obligations.

2 Russian citizens in Qatar have been arrested for the assassination
of a Chechen official. The official died in a car bomb explosion last
m. The 2 are said to be Russian security personnel. They deny
involvement in the killing.

29 yo Katherine Gun is on the front page of all the Brit papers today.

11.45 pm
Italian police have arrested 3 Morrocans. The trio are accused of planning
a series of bombings in Italy. They held religious posts at Mosques.
}}

----------------------------------------
Fri, 27 Feb 2004.

INTERNATIONAL HEADLINES:
4 children die in gas blast: Russia
100s saved from burning ferry: Phil
Quakes hit southern Philippines
Bosnian plane crash kills Macedonia Pres
Quake survivors demand more aid: Morocco
No immunity for aust police: PNG
Gates still world's richest
Astronauts conduct risky spacewalk
2 new dinosaur species found

AUSSIE HEADLINES:
Woman escapes abductor
Paintings worth $67 mn stolen
Tax office planning crackdown
Ageing debate continues
Strickland farewell in Perth today
Jetstar sells 85,000 tickets
Strikes in Qld prisons next wk

Markets
NY. The Dow has closed down 21 pts to 10,580 on disappointing jobs
data. Durable goods was also down 1.7% last m. In London, the FTSE
added 8 pts to end at 4,516. The German Dax gained 12 pts to close at
4,008. Gold is at 394.80/oz. Oil is trading around 1/2 USD lower at
$US35.15/bbl. The AUD is relatively unmoved around 77.14 US c.

Manila. Filipino officials say rescuers have plucked more than 200
people from a passenger ferry ablaze off the coast and one person has
died in the incident. Three people have been injured. A spokesman
for the vessel's owner says hundreds of people remain stranded on board
the Superferry 14. The Philippine navy says the ferry, carrying almost
900 people, caught fire at the mouth of Manila Bay early in the morning.

Bitonja. The Macedonian government says Pres Boris Trajkovski is
missing and presumed dead after his plane crashed in thick fog. The
president's party initially said he died in the crash, which happened
in a remote, rocky area of mountainous southern Bosnia. However, NATO
peacekeepers say the wreckage hasn't been located and the government
now says the president is officially considered missing and presumed
dead. Trajkovski, had been widely hailed for his efforts to get
Macedonians and rival ethnic Albanians to live in peace.

Pt Moresby. Papua New Guinea says Australian police and other
officials brought in to tackle corruption will not receive immunity
from the Pacific nation's legal system. Prime minister Michael Somard
says Australian officials will not be granted immunity if they break
the country's laws. So far,8 Aussie officials have arrived in PNG as
part of an $A800 mn pledge by the AUS government to help fight endemic
corruption and financial waste.

Al Hoceima. Earthquake survivors in Morocco have stopped relief trucks
on the road, afraid tents and blankets aren't reaching their devastated
region of northern Morocco fast enough. Two days after a powerful
quake killed nearly 600 people, Moroccan government efforts are so
disorganised that 40 Spanish firefighters have returned home in
frustration. Spanish relief workers complained Moroccan authorities
were hampering their work. The current death toll is 571.

Moscow. 4 schoolchildren and 18 people in a packed cafe died today in
two separate blasts in Russia which authorities have blamed on gas
explosions, probably due to negligence. The most deadly incident took
place in the eastern Siberian city of Chita, where a blast rocked a
cafe in the late afternoon, destroying it completely. The death toll
was initially reported at 9 but rapidly climbed to 18. The
emergencies ministry in Moscow says another 17 people were injured, 7
of them seriously.

NY. The world's richest people got a whole lot richer in the past y,
and more numerous. Forbes magazine has added 64 new members to its
annual billionaire's list, headed once again by Microsoft co-founder
Bill Gates. Among the most prominent debutantes on the Forbes ranking
is Harry Potter author JK Rowling, who just a few years ago was a
penniless single mother struggling to make ends meet. Gates headed
the list for the 10th y in a row, with an estimated net worth of
$A60.56 bn, up from $A52.89 bn the prev y.

Manila. A moderately strong earthquake measuring 5.0 on the Richter
scale has struck the S Philippines. Officials say there are no
reports of damage or casualties from the quake early this morning. A
government seismologist says a magnitude 4.1 quake also struck the
area yesterday.

Cape Canaveral. 2 astronauts from the International Space Station have
begun a spacewalk that will leave their outpost empty for several
hours, taking a risk NASA originally objected to. On previous
spacewalks from the orbiting platform, a 3rd astronaut has always
remained behind in case of some emergency, but the grounding of US
space shuttles has left the station with only two occupants. The
station's US commander, Michael Foale, and Russian flight engineer
Alexander Kaleri wore bulky Russian spacesuits as they floated free of
the airlock on a five- to six-hour mission.

Washington. 2 new species of dinosaur, one a quick-moving meat-eater
and the other a giant plant-eater, have been discovered in Antarctica.
Two teams of researchers funded by the National Science Foundation
found the fossils. They say the dinosaurs would have lived in a
different Antarctica-one that was warm and wet. The little
carnivore-about 1.8 m tall-was found on James Ross Island, off the
coast of the Antarctic Peninsula.

Sydney. The tax office is planning a crackdown on individuals who refuse
to pay their tax bills and big businesses who flout the tax rules.
Australian Taxation Office Commissioner Michael Carmody also reveals
he plans to strengthen the rules that stop people setting up companies
and trusts to split their incomes to take advantage of lower rates.

Canberra. A parliamentary committee wants to play a role in the debate
about the need for Australians to keep working longer. Mr Costello
says big business will have to play its role in keeping people
employed longer as part of a wider effort to relieve pressure on the
superannuation sector. He also said superannuation funds have to cut
their fees, but refused to be drawn on demands for the government to
cut its taxation of the sector.

Perth. An Olympic guard of honour will be in place today to farewell
Australia's greatest Olympic track and field athlete, Shirley
Strickland De La Hunty in Perth. She died last week, aged 78. Three
state governors, past and present premiers of Western Australia,
representatives of the prime minister and the governor general will
all attend the state funeral. Hundreds of members of the public are
also expected to gather at Perth's St George's Cathedral to farewell
the woman who won more Olympic medals than any other Australian athlete.

Melbourne. Australia's newest budget airline has sold more than 85,000
cut-price fares and received more more than 6.5 mn hits on its website
since tickets went on sale yesterday. A spokeswoman for Jetstar says
while some $29 fares are still available, the cheap tickets on flights
from Melbourne's Avalon Airport to Sydney and Brisbane have sold out.
The Melbourne-based airline starts flying on May the 25th with flights
from Brisbane, Sydney and Melbourne to 10 eastern-state destinations.

Sydney. Paintings worth $67 mn -- including an 1873 work by French
impressionist Paul Cezanne -- have been stolen from the workshop of an
art restorer on the NSW N coast. Police say the 20 paintings include
one entitled "Paul Cezanne's Son in a High Chair", which is valued at
$50 mn. Byron Bay police say thieves broke into the property of art
restorer John Opit, at Limpinwood, about 50 km from Murwillumbah.

Brisbane. Around 500 Qld inmates will be locked in their cells for 14
hours on two days next week when prison officers go on strike. Prison
officers at the Borallon Correctional Centre, near Ipswich, stopped
work on Mon and Tue this week for 6 hr. Their action was part of a
dispute over enterprise bargaining negotiations and followed four
previous two-hour stoppages. It will be followed by more action next wk.

Melbourne. Vic police are searching for a man who tried to abduct a
woman in broad daylight in S MEL. Police say the woman in her 30s was
walking along Lansdown Street in Brighton East about 2.15pm when a red
4WD utility pulled up next to her. The male driver followed the woman
before jumping out of his ute and trying to drag her back to the vehicle.
Police say the woman broke free of the man and ran off. The say he
got back in the ute and was last seen heading towards North Road in
Brighton East.

{{
Midnight.
Brit PM Blair says he can't comment on intel matters, but says Clare
Short's comments about Brit spying on the UN are "irresponsible".
Blair's monthly press conf was dominated by the row over on the UN
Sec-Gen. Mr Blair said he would not comment on "the operations
British intelligence are involved in". He went on to to claim that was
not an admission that British intelligence was involved in the alleged
operations. [But, I guess, the contradiction was out of the bag].
The allegations came after Brit prosecutors dropped a case against
intel officer Katharine Gun for leaking a memo to the press in which
US officials asked Brit to spy on UN members ahead of UN Sec Council
votes before GWII.

US Sec of State Donald Rumsfeld says capturing OBL remains a key
objective of the US and its allies. Rummy is in Kabul. He spoke to
the press after meeting with Pres Karzai. His comments come as
rumours continue that US and Pak troops are closing in on the al-Qaeda
leader in the border area.

The rescue operation in N Morocco has ended. The govt says all the
missing have been accounted for. It says 571 have died in the quake
earlier this wk. More than 400 have been injured. People in the area
are angry at the C govt over problems with relief efforts. Foreign aid
workers say local people have been forced to spend a 2nd night in the cold.

1 am
Rome. Tax police have raided most of Italy's football clubs. About 50
different clubs have been searched on orders of the Rome prosecutor.
Clubs have been struggling with debts. They are accused of accounting
fraud and incorrect valuation of their players. Clubs have handed
over documents requested by police. Last y the EU launched inquiries
over how the clubs are funded. Player salaries absorb almost 80% of
club revenue. The investigation was sparked by the Parmalat investigation.
Police found the soccer club owned by the failed food giant had
routinely mis-stated the amounts paid for transfers of players.

1.15 am
Brussels. The EU says the alleged Brit spying on the UN is against
internat'l law. It's also against the agreement between the UN and US
govts which established the UN HQ in NYC.

Beijing. In the past few mins NK has held an impromptu news conf. A
NK diplomat read a statement, accusing the US of a continued hard-line
policy. He says no progress has been made in the last 2 days of talks.
NK is prepared to dismantle nukes if the US drop its hostile policy.
But the US has said NK must abandon nukes before any concessions are made.
[Some observers say the US is demanding NK reduce its conventional forces
as well as abandon all its nuclear programs. It's also demanding economic
reforms. The N has dug in its heels, fearing a "Ceaucescu effect"
political collapse].

In Indon today a govt official delivered a blistering attack on the
US. The VP said the US war on Iraq was "terrorism on all mankind".

The US embassy in Jakarta said today it would distribute books to
Indonesian schools to "promote the understanding of America and its
culture". An Indon govt rep characterised the literature as "a kind
of information from US govt". He said there was a difference between
the opinions of the Bush Admin and the US people. Some observers say
the propaganda move is doomed to failure.

China says it's "dissatisfied" with the annual State Dept report. A
govt rep says criticism of China's human rights record is "baseless".

100 mn chickens have now been culled across Asia. But bird flu has
continued to spread. The WHO has called for renewed measures to fight
the disease. Elsewhere, China has called for bans on its exports into
Asian nations to be cancelled, because it's brought the virus under control.

Beijing. According to the Big Mac Index the Chinese yuan (RMB) is 56%
undervalued. The price of a Big Mac in Beijing is about 1/2 the cost
of the same product in the US. But no-one expects any correction of
that size. There's renewed speculation the RMB may be pegged to a
basket of currencies. Chinese financial authorities don't have much
room for manoeuvrer.

4 am
The UN says bugging of the organisation is against internat'l law and
the UN charter. A rep for Sec-Gen Annan read the relevant passages at
a news conf. They specify UN premises anywhere in the world is
"inviolable" and -- specifically -- searches and bugging is
prohibited. But analysts seem confused on how such laws are to be
enforced, or which courts would hear complaints they have been
violated. Some observers say they seem to be internat'l laws without
the most elementary teeth.

21 indefinite detainees in Brit have issued an appeal to the public.
"Try us, or set us free", they've written to the Guardian newspaper.
Why did no-one ever speak to us, before we were imprisoned, they ask.
There was no trial and they were found guilty. Their imprisonment is
indefinite. And they have not been told what evidence there is
against them.

4.30 am
The US has lifted restrictions on its citizens travelling to Libya for
first time in 23 y. US companies have been told they can resume
trading with Libya. The announcement comes after Libya confirmed it's
culpability in the Lockerbie bombing. Earlier, a govt official had
said the payment of compensation was not an admission of guilt.

Europol says 40 properties across Europe have been raided in
co-ordinated operations. Police have smashed a child porn ring.

A Wisconsin school boy is accused of killing a substitute teacher just
to see whether he could get away with it.

A dangerous storm continues in the W of the US. Winds are 50 to 80
kph. 50 mm of rain forecast.

Chancellor Schroeder arrives in the US today. Some observes are
citing it as a breakthrough in relations between the 2 pre-GWII
opponents. The German and US leaders will talk for the first time
since they briefly met in a hotel room. German commentators say the
German govt has no right to be smug about GWII, and must look forward.
Schroeder has been careful not to schedule a meeting with John Kerry.

A delegation of Haitian diplomats has arrived in Paris in a bid to
thrash out a peace deal for the troubled island nation.

5 am
The Brady's are celebrating 10 y of leg'n that Jim Brady says have
kept 1 mn proscribed purchasers from easy access to buying a firearm.
The NRA says the Brady Bill has not stop a determined criminal from
getting a firearm. [Of course! They can just steal one from any 2nd
US household that has an average of 4 legal firearms].

The Dow is little moved in NY at 10,605.

Observers say the Brit govt is being hypocritical in now saying it is
justified in ignoring internat'l law by spying on the UN. GWII was
justified, according to Brit and the US, because Iraq was ignoring
internat'l law. Other -- more cynical -- analysts have called for
microphones to be placed in all rooms of the UN and the audio
streamed onto the Internet. That would negate the spy budgets of
rich nations.

The Palestinian govt has accused the Israel govt of armed robbery
after soldiers confiscated $mns in cash from a Ramallah bank.

5.30 am
London. Analysts say the Hutton inquiry is to blame about the
continued furore about the Iraq war's justification. If blame has been
apportioned across the board war opponents would not still be seeking
to embarrass the Blair govt.

6 am
PM Howard says police deal with aboriginal communities in a different
way from other places. He says the difference is what caused the
Redfern riots. Aboriginal communities are up in arms, saying the PM's
racism is showing again.

Another Internet porn scandal has broken, involving Woolworths.
Dozens of managers have reportedly been sacked.

PM John Howard claims many of the companies he's talked to now employ
older workers. But everyone else is not so sure. Observers say
hiring younger workers is embedded in Aussie work practices. The
data suggests most over-50s can't find work.

NY. It's a mixed picture on Wall St this morning. There was new
disappointing jobs data. Durable goods were down 1.7% last m. The
Dow is down 13 pts and the Nasdaq is down 10 pts. Disney CEO is under
fire from 2 pension funds. They're calling for his resignation.
Disney is up 2% on the news. AT&T is slashing more jobs. For the
first time in 3 y there's an analyst meeting in NY. It said late last
night the company will cut another 4,600 jobs -- 8% of its workforce
-- to save $US400 mn this y. The company slashed 18% of its workforce
last y.
The AUD is relatively unmoved around 77.14 US c. Gold is at
394.80/oz. Oil is trading around 1/2 USD lower at $US35.15/bbl.

6.15 am
Rescuers are going to the aid of 770 people on a burning ferry off the
Philippines.

More than 2,000 people have been evac'd as a cyclone batters the
Vanuatu capital Pt Vila.

Vic police have been embarrassed after the head of its anti-bullying
unit has resigned, accused of bullying her own staff. No-one will
comment on the reason for the resignation. The unit had been created
to help stamp out bullying in the police force.

A Qld-based company is to buy Brit-based Weston's biscuits.

6.30 am
In raids last night NSW police confiscated equipment and 3 people
were arrested in connection with a ID fraud ring. Police say a total
of 23 people have now bee charged.

The state funeral of track and field star Shirley Strickland will be
held in Perth today.

Opp'n leader Mark Latham has left PNG saying it's a "resilient" country.

The mayor of Athens has recruited NATO to provide Olympic security.

10 am
The ASX was firmer at the open today, as big resources and blue chips
rose after muted gains on Wall St overnight. By 1016 AEDT the All
Ords was 8 pt higher at 3,366.

11 am
It's been claimed Aussie officials have been given transcripts of
illegally-recorded phone conversations from Hans Blix. An official
from the ONA says he's been told the weapons inspector's mobile phone
was tapped so the US Admin could "spin" any imminent statements he
might make.
}}
========================================

(*) 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 ***
=== end 4/4 ===