AAP National News Wire Round Up for Breakfast, Feb 2

AAP General News (Australia)
02-02-2001
AAP National News Wire Round Up for Breakfast, Feb 2
Breakfast Round-Up: HIGHLIGHTS OF THE AAP RTV FILE AT 0430

Economy (CANBERRA)

Momentum is building for another interest rate cut, with retail figures due for release
today tipped to provide more signs of a slowdown in consumer spending during December.

Analysts expect today's data from the Bureau of Statistics to show flat consumer spending
over the month, despite a pre-Christmas flurry.

Commonwealth Bank economist MICHAEL BLYTHE says retailers suggest the first half of
December was quiet, with sales roaring back in the last two weeks.

But it's likely financial markets will ignore the data, already convinced about a slowdown
in the economy.



Petrol (CANBERRA)

Disgruntled motorists may be in for more bad news at the petrol pump after fuel prices
skyrocketed yesterday following the government's latest hike in petrol tax.

The twice-yearly rise in excise on fuel, beer and cigarettes has added 1.5 cents to
the petrol price at the bowser, with the GST taking it it up again to 1.7 cents.

Treasurer PETER COSTELLO says prices may be on the rise again predicting they will
rise by up to nine cents as part of the normal weekly pricing cycle.

Opposition Leader KIM BEAZLEY says the government should have skipped the latest rise
to account for the GST.



Lockerbie (LONDON)

Libyan leader MUAMMAR GADDAFI says he has evidence that a Libyan secret agent jailed
for life for the Lockerbie airliner bombing is innocent.

GADDAFI says he has proven evidence that ABDEL BASSET AL-MEGRAHI is innocent and will
reveal the evidence on Monday.

A special Scottish court set up in the Netherlands sentenced 49-year-old AL-MEGRAHI
to life in prison yesterday for murdering 270 people in the Lockerbie airliner bombing
over Scotland in 1988.

Judges recommended he serve a minimum 20 years.

MEGRAHI'S co-accused, AL-AMIN KHALIFA FAHIMA, was acquitted and flew home from the
Netherlands aboard a Dutch Air Force aircraft.

Meanwhile, Libya's ambassador to Britain says Libya may consider paying compensation
to the Lockerbie victims once the appeal process has been completed.

Ambassador MOHAMMED AL-ZWAI has told BBC Radio that after the appeal result is the
time to speak about compensation, not now.

Libyan state-run television says defence lawyers for AL-MEGRAHI will lodge an appeal
within 14 days against the court's verdict against their client.



Mideast (JERUSALEM)

Israeli Prime Minister EHUD BARAK has today resisted last-minute pressure to step aside
for a rival.

This is despite new polls indicating he's headed for a landslide defeat by hard-line
leader ARIEL SHARON in next week's election.

The poll has heightened pressure on him to step aside for elder statesman SHIMON PERES.



Quake India tax (NEW DELHI)

The Indian government says punitive surcharges on income and company tax will be implemented
in the next fiscal year to help meet reconstruction costs in the quake-hit state of Gujarat.

Following a special cabinet meeting, cabinet spokesman PRAMOD MAHAJAN says an extra
two per cent income tax surcharge would be levied on everyone earning more than $A2,300
in the fiscal year beginning March 31.

As well, a further surcharge at the rate of two per cent payable by companies is expected
to raise $A518 million.

The western state was ravaged by a massive earthquake measuring 7.9 on the Richter
scale on January 26.



Pharmaceutical (CANBERRA)

The government has defended its appointment of a former drug industry chief to the
committee that decides which drugs receive federal subsidies.

Health Minister MICHAEL WOOLDRIDGE'S decision to appoint former Wellcome executive
PAT CLEAR to the Pharmaceutical Benefits Advisory Committee has met a storm of protest.

Committee chair Professor DON BIRKETT has refused reappointment to the 12-member PBAC.

Professor BIRKETT says Dr WOOLDRIDGE has instigated an inappropriate conflict of interest.

As well, Labor health spokeswoman JENNY MACKLIN says Mr CLEAR'S appointment is like
letting a fox loose in the hen house, an opinion supported by the Australian Medical Association.



Lamb (CANBERRA)

Australia will fight US moves to overturn a World Trade Organisation ruling over lamb tariffs.

The US appeal follows the WTO's finding that it broke trade rules by imposing tariffs
on Australian and New Zealand lamb.

A spokesman for Trade Minister MARK VAILE says the development, though disappointing,
is NOT unexpected.

The appeal will put at risk a market worth $100 million to local Australian producers.



Howard (MELBOURNE)

Prime Minister JOHN HOWARD will conclude his three-day regional tour today in the Victorian
electorate of McKewan, north-east of Melbourne.

The seat, held by Liberal MP FRAN BAILEY by 1.1 per cent, is one of the most marginal
in Victoria.

Day-three of the tour follows a generally warm reception for Mr HOWARD yesterday in
the electorate of Gippsland, held by the National Party's PETER MCGAURAN.

But his day was marred to some extent in Orbost, where conservationists staged a cheeky
bare-bottomed protest, dropping their pants to reveal the words "Howard's End" written
on their collective posterior.



Ansett (CANBERRA)

The Civil Aviation Safety Authority says it will continue to identify any problem areas
with Ansett, after an initial investigation found the airline had major shortcomings in
its maintenance procedures.

The investigation -- into the grounding of seven Ansett jets -- has found the airline
must lift its game.

The authority says Ansett will now have to record how it handles recommendations from
aircraft manufacturers for changes to maintenance and inspection procedures.



Tax (MELBOURNE)

A major review of Victoria's business tax system -- the first of its kind in 20 years
-- will be presented to the state government today.

Treasurer JOHN BRUMBY says the 300-page report will be made public by the end of the
month while the government's response to the review will be announced on or before the
2001-02 budget, to be delivered on May 15.

Mr BRUMBY says business will benefit from major tax reform from July 1 with $400 million
in tax cuts over the next three financial years.



Indon Censure (JAKARTA)

Indonesia's parliament has today censured President ABDURRAHMAN WAHID for involvement
in two graft scandals, after finding that he was implicated in the scandals.

An agreement by the 500-seat parliament to censure the president by a memorandum was
made unanimously without a ballot.

It could be the first step towards impeaching the president.



Timor Defence (AILEU)

After resisting Indonesia's military occupation for 24 years, East Timor's scrappy
guerrilla force was transformed today into the core of a new national army.

In an emotional ceremony, the former rebels lowered their guerrilla flag and replaced
it with the blue-and-white banner of the United Nations, which will oversee their transition.



US Billy (ALBUQUERQUE)

Nearly 120 years after he was sentenced to hang for murdering a sheriff there's been
a request to posthumously pardon BILLY the KID.

New Mexico state Representative BEN RIOS has asked Governor GARY JOHNSON to pardon
HENRY MCCARTY - also known as WILLIAM H. BONNEY and BILLY the KID.

BILLY was sentenced to hang for murdering a sheriff and then escaped from jail by killing
two deputies.



Royals Camilla (LONDON)

CAMILLA PARKER BOWLES will step out in public for the first time with both Prince CHARLES
and his son, Prince WILLIAM, at a British press function next week.

PARKER BOWLES was vilified in the British media after her long-time relationship with
the Prince of Wales was revealed.

She will attend the 10th birthday party of the Press Complaints Commission.

It will be the first public function that she, CHARLES and WILLIAM have attended together,
but the three are expected to arrive separately.



AND IN SPORT:


LEAGUE COUNTRY (SYDNEY)

The National Rugby League and Channel 9 are poised to take premiership matches to country
areas on Friday nights to boost the code in the bush.

NRL chief executive DAVID MOFFETT says the proposal will be put before the 14 club
chief executives at a meeting on February 14.

The Daily Telegraph says clubs are expected to support the move but may seek compensation
for any loss of gate-takings or sponsorship.

NSW centres such as Dubbo, Wagga Wagga, Albury, Orange, Parks, Tamworth and Lismore
have facilities that would allow full television coverage.



GOLF AUST (PERTH)

Scotsman DEAN ROBERTSON has taken a one stroke lead after the first round of the Heineken
Classic golf tournament in Perth.

ROBERTSON fired five birdies and an eagle to lead by one shot from Australian pair
GREG NORMAN and NICK O'HERN, who both had rounds of 66.



ENDS ROUNDUP RTV AAP psm/

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