PRESS DIGEST-Australian General News - Oct 21
Compiled for Reuters by Media Monitors. Reuters has not verified these stories and does not vouch for their accuracy.
THE AUSTRALIAN FINANCIAL REVIEW (www.afr.com)
-- The Challenger Financial Group-owned (CGF.AX) Challenger Howard Mortgage Fund is today expected to halt investor redemptions after Federal Labor's bank deposit guarantee plan triggered an investor flight to the major banks. Observers said the move by the A$2.9 billion fund, Australia's largest, was likely to cause similar redemption freezes by other mortgage funds. The Government last week announced plans to guarantee all savings deposits in a bid to shore up investor confidence in the face of the global financial crisis. Page 1.
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China has recorded a slower than forecast economic growth rate of 9 percent in the third quarter, sparking concerns of a fallout on Australian commodity exports such as iron ore. Prime Minister Kevin Rudd yesterday noted in federal parliament the weaker economic indicators emerging from China, Australia's biggest trading partner. The Federal Government will this week be briefed on the situation by Zhang Ping, the chairman of China's National Development and Reform Commission. Page 1.
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Australia's automotive market is under pressure because of the credit squeeze. The increased cost of funds yesterday prompted financier GE Finance, which has 20 percent of the domestic vehicle finance market, to raise the criteria for new car loans and cap them at a maximum of A$100,000. Meanwhile, leading car retailer Automotive Holdings Group blamed weaker consumer spending for a 30 percent decline in net profit in the September quarter to A$7.1 million compared with the previous corresponding period. Page 1.
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The governing coalition in Western Australia between the Liberal Party and the Nationals is under strain over the terms of a A$2.8 billion regional spending scheme. It emerged on Friday that Premier Colin Barnett was substantially trimming the plan to spend A$700 million over four years on regional projects, a proposal that had been key in securing the Nationals' support following the Sept. 6 election. Despite the revelation, Nationals leader Brendon Grylls yesterday stopped short of threatening to withdraw from the government. Page 3.
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THE AUSTRALIAN (www.theaustralian.news.com.au)
-- Australia ranks in the bottom third of the Organisation for Economic Co-operation and Development nations in terms of infant mortality, according to a new study conducted by the Australian Research Alliance for Children and Youth (ARACY). The study also shows that despite Australia's affluence, more than 7 percent of families with children own less than 11 books. The ARACY study, titled the Wellbeing of Australian Children, will be launched in Canberra today by Federal Families Minister Jenny Macklin. Page 1.
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Prime Minister Kevin Rudd has announced a summit of small business leaders on Friday as part of the Government's efforts to deal with the fallout of the global financial crisis. The Council of Small Business Organisations of Australia plans to raise issues including tax relief, easier access to credit, and new measures in addition to the recently-announced A$10.4 billion economic stimulus package. Besides Mr Rudd, the summit will be attended by Treasurer Wayne Swan and Small Business Minister Craig Emerson. Page 1.
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A group of 16 Sri Lankans and four Indonesians allegedly attempting to reach Australia by boat has been intercepted by authorities in East Timor. East Timorese immigration officials said yesterday the small boat was detained at Betano and an investigation is expected to be completed by the end of the week. "Some of them say they were trying to enter Australia to look for jobs," said senior immigration official Boavida Ribeiro. Australian Immigration Minister Chris Evans said the situation was being monitored. Page 2.
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A man accused of links to a terror cell was released on bail by the Victorian Supreme Court yesterday. Muslim convert Shane Kent, 31, has been charged with being a member of a terror cell run by Abdul Nacer Benbrika, which was allegedly behind a plot to attack the AFL grand final in Melbourne. The court placed strict bail conditions on Mr Kent, including prohibiting him from contacting other members of the terror cell. "I'm glad to be out," Mr Kent said after securing the bail. Page 2.
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THE SYDNEY MORNING HERALD (www.smh.com.au)
-- A report on the New South Wales Ambulance Service has called for reforms to address a culture of bullying and harassment. The report highlights "highly dysfunctional environments" within the service and recommends an urgent review of the performance of chief executive Greg Rochford. The investigation comes in the wake of the suicides of nine ambulance service paramedics over the past 10 years. The report, prepared by a committee of the upper house of the state Parliament, was tabled before lawmakers yesterday. Page 1.
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The City of Sydney council is considering a plan to increase to 72 from 44 the number of alcohol-free zones in the city in a bid to combat alcohol-related antisocial behaviour. A council report said yesterday that the measure, which councillors will vote on next month, was aimed at "minimising conflict between different groups in the community…who drink on the streets." Similar curbs are being considered by Parramatta and Randwick councils. Page 2.
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The Australian Medical Association (AMA) has warned that bulk billing rates could fall as rising costs force doctors to impose gap charges on patients. The warning came as the Federal Government prepared to lift Medicare benefits for general practitioner consultation by 2.3 percent to A$32.80, significantly less than the increase in health costs. The AMA has recommended an increase in the fee for the same service to A$62 from A$60. The AMA yesterday blamed the Government for "pushing its share of health costs on to patients." Page 3.
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There are growing concerns within Federal Labor that Prime Minister Kevin Rudd may be undermining the chances of clemency for Australians on death row in Indonesia by failing to maintain a consistent line on the death penalty. As Indonesia moves closer to executing the Bali bombers, Parliamentary Secretary for Pacific Island Affairs Duncan Kerr said last week the issue was "important…to many members on all sides" in Parliament. Divisions within Labor emerged after Mr Rudd said the Bali bombers "deserve the justice that we delivered to them." Page 5.
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THE AGE (www.theage.com.au)
-- Doctors at Melbourne's Alfred Hospital have developed a technique to transplant lungs taken from patients after their heart has stopped beating. The technique, named Donation after Cardiac Death, could increase the number of organs available for transplant in Australia by as much as sevenfold. Donations were previously only taken from patients whose hearts were still beating, but had suffered brain death. Australia currently has one of the lowest rates of organ donation in the developed world, with only 197 donors in 2007. Page 2.
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The swift parrot, which can fly at 100 km/h for brief bursts, is becoming critically endangered on mainland Australia, according to recent surveys. A new report has also found that logging in Tasmania is causing the destruction of the bird's habitat at a rate of 1000 hectares a year. Forestry Tasmania has rejected the report, saying "there is far more forest potentially available for breeding than there are birds." The discovery of a flock of the birds recently led to the suspension of logging in one area in Tasmania. Page 2.
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Victorian motoring body RACV has called for a review of the formula used to set the wholesale price of petrol in Australia. A spokesman for the RACV said yesterday the current import pricing parity formula, which is based on the cost of refined fuel in Singapore, meant consumers paid a premium if demand was high in Asia even though most oil comes from local sources. The incoming national petrol commissioner, Joe Dimasi, said he would hold talks with oil companies and retailers about the issue. Page 5.
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Former federal treasurer Peter Costello has accused the Federal Government of using spin in claiming it was aware of the need for an economic stimulus package since early in the year. Mr Costello said yesterday the claim was discredited by the focus on spending cuts contained in the May budget. Opposition Leader Malcolm Turnbull has questioned why the Government did not use the tax system to provide stimulus, while shadow treasurer Julie Bishop has asked for the information on which the package is based to be made available. Page 2. - -
