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ABC News (Sydney) -

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(generated from captions) Captioned Live. This Program is

Tonight - water, water

everywhere. South-east

Queensland ravaged by

floods. We anticipate the worst

of it may not be over. The Federal Government rejects

calls to splash all its

cash. We don't believe in the current circumstances it is

necessary to borrow to

invest. David Hicks breaks his

invest. David Hicks breaks his

silence, but keeps his full

story to himself. I am not yet ready to fully explain what

happened or why. And Australia

sent in and sent packing by New

Zealand. That's out. Well


Good evening, Juanita

Phillips with ABC News. Mother

nature has unleashed her fury on south-east Queensland for the second time in

the second time in a week. Last

night another wild storm lashed

Brisbane and nearby Ipswich,

dumping hundreds of millimetres

of rain. One woman drowned,

dozens of people had to be

rescued as cars and bridges

were swept away and homes were

inundated. The Queensland

Premier declared a state of emergency. The heavens opened

of millimetres of at 10:00 last night. Hundreds

of millimetres of rain sweeping

through the south-east, along

with gale force winds. It was picking up everything in its

path, throwing it in the

air. The downpour pushed rivers

over roads, turning causeways

into traps. In the Lockyer

Valley, an 85-year-old died

after being swept off this road

in a car. Sadly it seems

there's a tragedy at Laidley, a

vehicle swept off a bridge. On

the Gold Coast a man had to be

saved after his car the Gold Coast a man had to be

stalled. Anything could have

happened if his car was swept

from the river, it would have

taken us a long time to locate

him, let alone save him. It was

one of more than 30 swift-water

rescues. At Ipswich the rain

broke through drains, rivers

and creeks rose, water flooded

hundreds of homes and

businesses. It was really quite

horrendous, it bucketed rain for

for hours. Brisbane suburbs

damaged by Sunday's storms were

battered again by high winds.

Roofs were torn off houses and

dumped in neighbouring

yards. There was a loud rushing

wind sound and the houses

shook, and it was all over. We

raced downstairs and be found a

roof in the backyard. The

region has been declared a

disaster zone. Emergency

resources were activated as

been quickly as possible. They've

been out there saving people's

lives overnight. The Federal

Government promises more hep -

money and troops if needed. The

Commonwealth will be extending

further support to families, as

we did to the victims of the

storms. As we did Sunday

night. The floodwaters were so

powerful they peeled slabs of

asphalt from roads. This

shipping container was like a cork, bobbing 50 metres down the creek. It's

the creek. It's not over yet.

The Weather Bureau predicts

more storms this evening. The

other big story in Brisbane

today was a Ball cony collapse,

a group of 80 mothers sep

brating the end of Year 12 with

a lunch when the verandah they

were standing on gave way. 20

injured, three critically. This

celebration for was supposed to be a

celebration for Brisbane's

Anglican Church Grammar

School. It's a shock. While

their boys spent the

second-last school day on the

the home of the school Gold Coast mothers gathered at

captain. This is a Year 12

traditional gathering. About

1:00pm with a split second

warning, the deck gave way We

served food and drinks, it

collapsed. I bit of a noise I

collapsed. I bit of a noise I

saw the deck faux. The school

principal was among the

group There were a good number

on the Ball cony, landing on

top of one another. The injure

yas that came with that, and

drinking glasses smashed glass,

cuts, abrasions, a broken lens,

etc. Went downstairs and

grabbed the women that could

walk, grabbed them out. Got

walk, grabbed them out. Got

towels, linen, called ambulances. Everyone was

helping everyone, it was truly amazing, police and ambulance

came straightaway, they were

fantastic. Paramedics treated

people at the scene, one woman

had to be resuscitated. She's

in a life-threatening

condition. 25 others were

ferried to hospitals around the

city, some with suspected spinal injuries

spinal injuries and broken

bones. This suburb is home to

wealthy and powerful families,

one is the daughter of Warwick

Parer. She may have a broken

leg, she's in the Mater, we are going to see how she

is. Residents say the house was

renovated three years ago.

Workplace Health & Safety are

examining the home to identify

the cause of the

the cause of the collapse. The stock market rout continued

throughout Asia, growing

concerns about a US recession.

Amid the turmoil Treasurer

Wayne Swan rejected the notion

of allowing the Budget to slide

into deficit to boost the economy. That's despite the Reserve Bank giving its

blessing to do so. Finance correspondent Philip Lasker reports. For jaded investors,

there's still no bottom in

there's still no bottom in

sight. We are getting close to

capitulation. People are

feeling depressed about their

open share portfolio. Stock

markets across Asia followed

Wall Street's lead, Australia's

market wallowing at a 4-year

low, others at 5.5 year

troughs. Investors shaken by

the turmoil in America's car

industry, the slump in new home

industry, the slump in new home

sales, and the biggest monthly

fall in consumer prices on

record. It suggests the Fed

doesn't have to worry about

inflation. The worry now is of

a deeper US recession prolonged

by deflation. Hardly helpful

for Reserve Bank Governor Glenn

Stevens, warning against

talking the economy down last

night, and gave his blessing to

Government spending their way

Government spending their way

into deficit if necessary to

rescue the economy. If

governments are able to so

order their affairs to continue

supporting worthwhile. I

emphasise worthwhile public

investment, if that involves

some prudent borrowing, then

Australia will come through the

present period. Deficit remains

a dirty word in Canberra We

believe in surpluses over the

believe in surpluses over the cycle. We have been absolutely

consistent in that. But the

second point. How long is the

cycle. 16 years. We don't

believe in the current

circumstances it is necessary

to borrow to invest. We have a

strong economy, we should not

need to go into deficit. The

share market passed another

grim milestone, it's down over

51% since November. More than

51% since November. More than

the 50% losses during the '87

bear market. And there'll be

more on the trading day with

Alan Kohler a little later in

the Bulletin. Pensioner retiree

and welfare groups join forces calling on the Federal

Government to improve their

standard of living, they say

the financial crisis and the

super fund squeeze left many of

them struggling to survive. They are urging

They are urging the Government

to be generous ahead of pension

reforms due next year. There

needs to be an increase for us

to just survive. But also to be

able to live in such a way that

we are productive members of

the community, not seen as

useless burdens on it. The OECD

estimates that one-third of

Australian retirees live below the poverty

the poverty line. David Hicks

has broken his silence 18

months after he was released

from Guantanamo Bay. The

convicted terrorism supporters

issued a public plea today for

his freedom to be fully

restored, and tonight Federal Police responded saying they

won't be seeking new control

orders for Hicks when his

current restrictions end next

month. The Government says

Hicks should now be allowed to

get on with the rest of his

get on with the rest of his life. After almost 11 months outside, he's ready to

talk. G'day. I'm David Hicks. No chequebook journalism

just yet. For now it's a 54

second video with activist

group Get Up, which David Hicks

credits for helping him get out

of Guantanamo Bay. Because I'm

recovering from that ordeal I

am not ready to explain what

happened or why. One

happened or why. One day I will

tell Australia that story, but

I am not at that point. The

story he wants to tell is one

of control by Federal Police,

since he left Adelaide's Yatala

Prison last December, the

33-year-old has lived under a

stringent court-imposed

antiterrorism control order. He

lives at a police-approved

address, reports to them three

times a week, sorves a curfew

and uses one

and uses one police-issued

mobile phone, but the order

expires in December, and the

AFP had an option to apply for

a new one. The only thing I do

know is until the control order

is lifted, I will not be able

to get on with my life. E the Australian Federal Police have

power, control orders,

preventative detention, all

must be reviewed immediately. Hicks' campaign

has been short-lived,

has been short-lived, the AFP

announcing it won't seek a new order when the current one

expires in four weeks. The

Attorney-General says he should

be allowed to get on with the

rest of his life. It's one less

scurtedy decision for Robert

McClelland, tomorrow he --

security decision for Robert

McClelland, he starts to clean

up the mess from the Haneef

case when John Clarke hands

over the report from his

over the report from his

inquiry. It hasn't taken long

for the US President-elect to

get an Internet message from

Al-Qaeda. In it a man

purporting to be the terror group's second-in-command insults Barack Obama with a

racial slur. The mocking

message even has English

subtitles. It's Henry

Allingham's first response to

Barack Obama's -- Al-Qaeda's first response to Barack

first response to Barack

Obama's victory, it accuses the

Democrat of betraying his


Malcolm X was a 19 60s

activist. The Al-Qaeda's video airs a

airs a controversial

statement. And then applies it

mockingly to Barack Obama.

Implying the Democrat does the bidding of whites.

The current administration reacted angrily and

dismissively. We have more

despicable pathetic comments by

Al-Qaeda terrorists. Today's

tape from Ayman al-Zawahri is a

pathetic attempt to put a dent

in the Obama appeal which is a

strong appeal to the world and

particularly to the Muslim world. Barack Obama didn't

comment on the message or

instalments contained in it. He

has more immediate concerns,

like choosing the members of

like choosing the members of

his Cabinet. It appears former congressional heavyweight Tom

Daschle will be health secretary intensifying

speculation about Hillary Clinton being Secretary of

State. This is a deal between

President-elect and Hillary,

you should talk to them. I'll

do what they want. There are

rumours Robert Gates will stay

on at the Pentagon, keeping the

on at the Pentagon, keeping the Bush appointee in the front

line of the fight against

Al-Qaeda. Once again, the wool industry and animal rights

activists are preparing to do

battle over the treatment of

sheep. The row over mulesing

has become so bitter that it's

threatening Australian exports.

Now there are new faces in the

wool industry who intend to put

up a tougher

up a tougher fight. At the

Sydney wool sales today all the

talk was of how the market

might be buffeted by another

international campaign by

animal rights activists. It's

one of the most wonderful Green

products in the world, that's

being bastardised by people

that don't know anything. The

last campaign against mulesing

led to a backlash by major

wool. Similar retailers against Australian

wool. Similar action is threatened. I don't understand,

I don't know why they would do

this because it's totally counterproductive. Nobody

wins. An uneasy troos was

reached between animal rights

activists and wool industry

leaders in June, with

agreements that effort would be

made to find alternative to

mulesing by 2010. Some progress

has been made through the

development of clips to remove

development of clips to remove

the skin and an anaesthetic

spray to dull the pain of the

procedure. Wal Merriman,

elected as the new chairman of

the peak industry body

Australian Wool Innovation,

says there are no deadlines for

finding alternatives to

mulesing. Some people are using

clips and think they are

alright. Some try non-mules.

Others, the best they can do is

a range mules with pain relief. There's

a range of options, the market

will decide. Wool brokers are anxiously awaiting reaction

from Australia's prime export

markets. Most at risk are

Australia's top of the rain

fine wools going to some of the

world's leading fashion houses,

already edgy about the mulesing

issue. It is bigger than animal

liberationists point. It's become parts of what

become parts of what people

require in a product they want

to buy. Another uncertain

chapter in the wool industry

begins. Doctors have combined

cutting-edge surgery with medical sleight of hand to

claim a world first,

successfully performing a

windpipe transplant on a woman

in Spain. Fooling her body was

a key to

a key to success, the

transplanted organ was coated

with her stem cells. Claudio

Castillo had divvy talking, let

alone walking before her Ground

breaking operation.

TRANSLATION: I wanted to feel

completely well and be act to

do normal things like going to

work and being with my

children. Of course I was very

frightened, I knew I would get

better in the end. Tuberculosis

damaged her windpipe or

trachea, doctors were

considering removing a lung not

getting oxygen. Spanish

surgeons had a better idea,

taking the trachea of an organ

doner, stripped it to remove

the donor's cells, leaving a

blank scaffold. Adult cells

were harvested from Claudio

were harvested from Claudio

Castillo's bone marrow. They

were converted and inserted

into a rotating bioreactor

containing the donor windpipe

and the patient's cells grew

over it, the damaged windpipe

was replaced, because it's made

from Claudio Castillo's own

cells, there's no need for

antirejection drugs. We can say

cell biology clearly that we turned stem

cell biology into medicine.

This means people won't have to

wait for transplant for donor

tissues, and in this case, for

this particular parn, it's

meant that she's had - patient,

she's been able to retain both

lungs in full function. It's

not just windpipes that can be

transplanted in this way.

Doctors in the United States

are already growing functioning

human heart valves and bladder

human heart valves and bladder

cells from adult stem

cells. For many experts the

future of transplant medicine

is already here. Police have

dropped one of the charges

against rugby league star Greg

Bird. The footballer is accused

of smashing a glass into the

face of his girlfriend Katie Milligan. The

Milligan. The alleged incident

took place in August at his

apartment in Cronulla in

Sydney's south. Bird will not

face a charge of maliciously

inflicting grievous bodily

harm, and will face a charge of

reckless wounding, he faces

three other charges, including

lying to police, he'll face a

3-Kay court hearing next

April. A convicted paedophile

April. A convicted paedophile

has been ordered to wear a

monitoring device as part of a

supervision order. The State Government confirmed that

Kenneth Tillman was released

from jail three weeks ago after

serving 10 years for child

rape. Police are monitoring

Kenneth Tillman, making sure he

does not approach children and

stays indoors at night. At the

end of the day we are looking

to make sure he complies with

those controls and we'll closely monitor

closely monitor him. Last month

Kenneth Tillman was granted

bail over a serious sexual

assault on a minor taking place

in 1995. On to finance now, and

the decline of the local share market accelerated with the

fourth consecutive fall, this

time by more than 4%. Here is

Alan Kohler. The share market

is now saying Australia is

going to have a recession. Not

just a little just a little one.

The market is not always

right and Governor of the

Reserve Bank Glenn Stevens

urged us not to talk ourselves

into unnecessary economic

weakness, and to be confident.

Investors aren't listening,

they are pessimistic. All Ords

fell 22% in 11 days compared to

16% for the world index. At

this rate. All Ords will be

2,000 by Canterbury, there'll

have to be a rally --

Christmas. There'll have to be

a rally. Wesfarmers down 9%.

Fairfax 6.5%, Commonwealth Bank

5%. The resources stocks

relying on china to muddle

through were treated harshly.

Rio Tinto down 13%, Oz Minerals

down 16%. Some of the falls

today might have been caused by

selling the removal of the ban on short

selling yesterday, it's

impossible to know for sure.

Here is a 10-year graph of the

All Ords, it's back to the

prebull market level. It was

last at this level at the

beginning of 2004. It was there

leading economies of the world in 2002, and 2001. All of the

are now in recessions that are

expected to be long and deep.

They have just begun. Australia

might escape this fate, but the shareholder doesn't

shareholder doesn't think so.

Asian markets were pummelled

with the markets in Japan and

Korea down 6%, Wall Street fell

more than 5% after inflation

figures showed consumer prices

fell 1% in the US in October.

The Australian dollar fell one

cent and a bit. That's cent and a bit. That's finance.

When the Australian

Government warded off the

threat of mining along the

Kokoda Track, it promised to

improve the lot of the locals

along the route. It's

delivering. ABC's Steve

Marshall joined the Special

Envoy on Kokoda at the

beginning of a long

journey. It's a long way from

the opening of the Olympics,

former Games boss Hall Sandy

Holloway's nation is approving

rewarding. It's fascinating,

friendly. The Efogi health

clinic midway along the Kokoda

Track has been closed as long

as trekkers have been walking

past it. For seven years locals

had to walk three days to get

treatment for malaria and water

borne diseases. Those can kill.

They shouldn't die from it.

They do die, yes. Now the

clinic has been refurbished,

restocked with medicine and

staffed by trained health

workers, it's the first

facility to benefit from the

Australian Government's $15 million Kokoda development

program, which aims to

strengthen links formed in the

second world war. Those battles

could not have been fought and

won without the support of the

fuzzy wuzzy angels creating a

special obligation of Australia

towards these people. The

taskforce has a goal to have

the track World Heritage Listed

to protect what the Australian Government calls the globally

significant values of the track

and the surrounding Owen

Stanley Ranges. Sandy Holloway

says the area holds enormous

environmental value, with

carbon trading schemes on the horizon. It would be

potentially significant for

people in this area. Certainly

we think that's one potential

income stream that could come

to the people. With around

7,000 people expected to walk

the track next year, tour

operators have been asked to

introduce a code of conduct to

preserve the area and lessen

the impact on local people. New

Zealand has capitalised on

favourable pitch conditions to

dominate the opening day of the first test against Australia at

the 'Gabba. After the Blackcaps

won the toss and sent the

homeside in teenage fast bowler

Tim Southee wrecked the

Australian top order. Michael

Clarke played a lone hand and

was the last wicket to fall for

98. Ricky Ponting lost his

fourth toss and Australia its

way at the hands of 19-year-old

seamer Tim Southee. Hayden went

for 8, Simon Katich lured into

error on 10, and Ponting made

just 4. That's out. Well taken. The turbulence in the middle wasn't affecting

everyone just yet. After a

modest lunch score of 3/60,

Michaels Clarke and Hussey

looked set for a long haul

before Hussey's ill-conceived

leave. He's left that

one. Enter the vanquished.

Andrew Symonds scratched around

before unleashing a short-lived

assault with three consecutive

fours, he was dropped. Managed

an 8-rub ball. Four all run and

overthrows. Then departed for

26. Out lasting that storm, Michael Clarke registered half

a century. But Australia's woes

continued with the loss of

Shane Watson, and Brad

Haddin. In the air, got

him. Tim Southee's fourth

wicket brought a spectacular

fourth catch for Brendon

McCallum. Michael Clarke's

timing pushed him towards three

figures, the lights were on

under a grey can oppy, the pair

of Clarke said combined, the

Vice Captain bowled on 98.

Relief washed over the

Socceroos after a great

escape. Got to take them. Other

emotions flooded the contest

with Bahrain, totally

outplaying the Socceroos, and

were unlucky not to have

several goals by halve time.

Australia had few chances as

the lowly ranged Bahrain

exposed the definition. A

golden opportunity. We

consistent find a solution. High profile stars

were anonymous. Luck prevailed

in the last seconds of the

match. Marc Bresciano, could he

nick the points for Australia,

he can. Nine points from three

games, barely papered over the

cracks. Are you one foot on the

plane to South Africa. If we

play like this, not. We have to

improve. The off season is almost over for Cadel Evans,

who is getting ready to prepare

for next year's Tour de France,

Evans will train for two months

in Australia, then base himself

in Europe and looking to

improve on consecutive seconds

placing. With a little more

focus and purpose than in the

past years, of course, looking

for that extra 0.1 or 1% for July. Evans says a high

priority is finding a strong

team-mate to replace Austrian

drug cheat Bernard Kohl. A

major new exhibition of work by

indigenous photographers

reveals 50 years of dramatic

change for Aborigines. 'Half

Light' is a snapshot view of

black Australia dating to the

'60s, a time when Aborigines

were not counted as Australians

and not allowed to vote. The

images range from cheeky,

photographer Diane Jones

inserting her face into famous

Australian photos, to classic

portraits like Michael Riley's

photo of Maria. A criteria is

to overturn historical representations of indigenous

Richard Bell's photography is people. Queensland artist

more political. The common

image which is seen in the

brain of every Australian of an

Aboriginal, is, you know, one

that's drunk, and very raucous,

and aggressive. The six

portraits of Bell, in his

series pageon holed challenge

the modern stereotype of

Aboriginal men. The 7th image is a mirror labelled, "Troublemaker", to stereotype

the people that come to see the

exhibition. Mervyn Bishop's

photos record historic moments,

from a beaming Lionel Rose, the

world champion boxer to the

Prime Minister Gough Whitlam,

pouring soil into the hands of

traditional landowner Vincent Lingiari, Genevieve Grieves is

among the youngest artists, her

video pictures inspired by the

practice of photographing

indigenous people for anthat

pollogical purposes. The piece

explores Australian history,

different parts of our shared

history in this country,

including frontier wars, the stolen generations. 'Half

Light' will be shown at the Art

Gallery of NSW. Sydney had

storms overnight, nothing like

Brisbane's of course, did

anything fall over the dams. We

saw good falls in the dams, and totals ranged from around

20-30mm, but it fell too late

to prevent further falls for the week.

In Sydney today - it was warm

in humid, isolated showers, and

a few thunderstorms about.

Temperatures ranging from

26-29. Overnight rain from

those thunderstorms, ranged

generally from between 10-14,

with 43mm recorded at

Richmond. Now, severe

thunderstorms redeveloped over

the north-east quarter of the

state this afternoon, and a

severe storm warning for

damaging winds, hail and heavy

rain remained current for the north-eastern corner. Elsewhere

showers were isolated along the

coast and ranges, and it was

partly cloudy, but a dry day

for much of the inland. Rain

heavy in the north of the

state, which isn't good for

winter grain, but is good news

for farmers wanting to plant

summer crops. Falls lighter and

isolated compared to the last

few days because the storms and

showers have been fast

moving. Severe storms

developing west and north of

Brisbane this afternoon, the

city has been spared the severe

storms, warnings are widespread

through Queensland. Cloud is

redeveloping with thunderstorms

stretching from near Sydney,

reaching all the way back to Darwin, cloud south of the

Bight is associated with a cold

outbreak developing as a low

deepens off the South Coast of

NSW on Saturday, bringing

showers, thunder, strong gale

force winds and there is also

snow forecast. Ahead of that

Friday will be a dry day across

the state. Despite showers and

storms in part, any falls are

expected to be light. A cold

front seeing showers on the

increase for Adelaide, Hobart,

Canberra and Melbourne. It will

be a dry day in Brisbane. The

trough expected to move off the

North Coast Overnight. There

could be an isolated

thunderstorm along the North

Coast of the dry elsewhere.

Increasing showers over the

western slopes reaching the

South Coast later. Isolated

afternoon thunderstorms popping

up through the far

north-western inland. Generally

dry and sunny in Sydney, cloud

on the increase in the

afternoon, looking at top

temperatures of 25-28. Winds

fairly lying for Friday.

Strengthening quickly in the

early hours of Saturday. As the

low pressure system winds up.

That'll keep temperatures cool,

not a great deal of rainfall

for Sydney, the odd shower or

two. We should see cool

conditions persisting into next

week, we'll have to wait for week, we'll have to wait for summer.

That's ABC News for this

Thursday. The '7.30 Report' is

up next, I'll be back with

updates during the evening.

Goodnight. Closed Captions by CSI If I

sell myself. Tonight on the

'7.30 Report', the investors

chasing bargains, who face

financial ruin. Never before in

Australian corporate history

have we seen a situation like

this. It wasn't our policy It

wasn't our stated policy. It

was our policy, we hadn't told

anyone. John Clarke and Bryan

Dawe reflecting on 'The Howard

Years'. Morally wrong -


Welcome to the program. Those

stories shortly, first we go to

south-east Queensland, where

after a five to six year

drought and gradual return to

normality over the year, locals

are now waterlogged after being

battered by two fierce storms

in four days, leading to