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(generated from captions) mostly sunny in Cooma. in Wagga and Albury, To the west, dry and mostly sunny with temperatures around 30.

morning should persist until the Mostly fine days with cloudy Virginia. end of the week. is underway at the Games pool. The final night of competition

in the men's 50m freestyle Australia's Brett Hawke came second of our top stories. Before we go a brief recap more assistance The PM is expected to announce cyclone-devastated FNQ to the worst affected areas of when he tours the area tomorrow. has heard And the Oil-For-Food Inquiry And that's the news to this minute. The '7:30 Report' is next, throughout the evening. and we'll have news updates Goodnight. International Pty Ltd Captioning and Subtitling Closed Captions provided by This program is captioned live. Welcome to the program. Coming up shortly, figures are coming up shortly. alarming new evidence that mafia It continues to beggar belief, swathe of destruction stacked up against Cyclone Larry's through north Queensland, that no one is dead. this has been catastrophic. In every other way, have been flattened, Two of the region's key industries as have at least two towns. Thousands are homeless. soar beyond $1 billion. The cost in material terms could nation's worst storm in decades, This has undoubtedly been the will be long and slow. and the road to recovery Peter McCutcheon. This on-the-spot report from .

. From the safety of the circling

satellite or a monitoring screen at the bureau of

the Bureau of Meteorology it looked

like a swirling smudge creeping

slowly along. But at ground level

was a brutal force that flattened slowly along. But at ground level it

and ripped and terrorised. Larry

crossed the coast a force 5 cyclone

and wins close to 100km/h. That's

force that can do pretty much what and wins close to 100km/h. That's a

it wants. Here that meant tearing

the heart and soul out of Innisfail.

Michael Lawrence and Kylie Birello

is still recovering from the worst

night of their lives. It was like a

bomb at one stage wept off. It was

just I amazing. Their troubles are

far from over. Their home is

uninhabitable. Michael is without a

job and their youngest child Travis

is still suffering from trauma.

Took him to the hospital last night

because he was in trauma shock. He

wouldn't talk or do nothing. He's

just coming around today. He's not

happy because the sky is black so

thinks it is just going to come happy because the sky is black so he

again. But when you come here and

see the damage to infrastructure,

you know how difficult that is and,

yes, I am shocked by the extent of

it. It was still Wet & Wild when

Queensland's Premier Beattie looked

at the the damage first-hand. He'd

be thankful that there were no

deaths. Injury miss the main were

minor. The big injures homes and

livelihoods. There are 20-odd

generators arriving today. There

6,000 meals coming from Qantas. generators arriving today. There are

We've had 100,000 litres of water

delivered. All of the things that

can be done are being done. We've

got crews coming in from all of

Queensland, all around Queensland

coming in, that are being brought

today and tomorrow. We've got tarps coming in, that are being brought in

coming?, supplies coming in at

present. Generators and water.

Providing the bare necessities of

life is one thing, but in a town

which depends on bananas and sugar

cane for its livelihood Larry's

financial impact is already

to hit home. It is going to be hard financial impact is already starting

because Michael isn't working now.

He used to be a banana worker and

there's nothing so we will have to

start from scratch and see how we

go. The only thing I can do is go

and clean up a bit and there won't

be no work until the fruit comes

back on, probably another 18 months

or so, yeah. Just outside of

Innisfail there's, not a banana or

paw paw tree left standing ch these

young bananas were supposed to be

cyclone-proof. Normally it would be

what we could call a cyclone-proof

plant crop but even dat grey 5 gets

wiped out. Dillon has been growing

bananas in this region for more

40 years and has seen nothing like bananas in this region for more than

this before. I've never experienced

wind velocities of this supposedly

Category 5. We've always seen 2.5

3s but never anything of this Category 5. We've always seen 2.5 or

nature. With a second tempest

brewing hundreds of kilometres off

the Queensland coast the threat of

double whammy is the last thing the Queensland coast the threat of a

the people from Innisfail want the double whammy is the last thing that

here. Fortunately with the

forecasters plotting Cyclone Watty

they are confident it would impoise

the same problems as Larry. We

expect it to go in the same

direction which will bring it

to the Queensland coast. The good direction which will bring it closer

news is tomorrow morning we expect

it to slow down and to remain

than 400kms off the east coast. it to slow down and to remain better

Those who endured the the fury of

Larry in full flight have been

awestruck by its power. But how

powerful was this cyclone?

Historically it is difficult to

judge. Our ability to actually

observe the state of a cyclone out

there right now is quite extraordinary and to actually look

at the records and say how intense

is this cyclone and is it more

intense than the cyclone of 30

ago in it's quite difficult because intense than the cyclone of 30 years

we did not have that same level of

instrumentation for the cyclone of

30 years ago. Dr John McBride is

national bureau principal research scientist at the 30 years ago. Dr John McBride is the

national Bureau of Meteorology and

chaired a report into the effects

climate change on tropical weather chaired a report into the effects of

patterns. The number of cyclones

continue seem to have changed at

all. Worldwide it seems fairly

constant number of cyclones. So

as if the number of cyclones may constant number of cyclones. So it's

increase if a particular year. So

the Australian region, and tokm increase if a particular year. So in

they will decrease in the Indian the Australian region, and tokm said

Ocean. When you've got a Category 5

cyclone and it belts the hell out

a community like this, it does take cyclone and it belts the hell out of

a long time to rebuild. Michael

Lawrence and Kylie Birello know

only too well. For the next four Lawrence and Kylie Birello know this

months at least they'll be living

with relatives, but in the shorter

term, they're still trying to come

to terms with the shock. REPORTER:

What's the most terrifying thing

about a cyclone in The the thought

of losing yourself and everything

you've ever worked hard for. Our

kids going through this. I mean,

no-one wants to go through it.

Multiply their story by thousands. That report from Peter McCutcheon. Now today's Wheat Board story and the evidence that all the way up to the Prime Minister, the Australian Government had been alerted nearly three years ago with regard to the Oil-for-Food scandal that: "Every contract since December 2000 "included a kickback to the (Iraqi) regime

"of between 10 and 19%." One of the ministers on that document's mailing list, Foreign Minister Alexander Downer, was further advised of fraud concerns involving AWB in March 2004 and noted on a document tended to the Cole Inquiry today, that he was worried about the issue and wanted more detail about how AWB set its prices. Mr Downer says today's evidence vindicates him and the Government. The Opposition says, well, the opposite. Nick Grimm reports.

It was in the days following Iraq's

invasion by the Coalition of the

willing that those left to pick up

the pieces and sift through the

documents left behind, discovered

the the full extent of the rorting

of the Oil-for-Food Program. Now

of the Oil-for-Food Program. Now new de-classified evidence emerging at

the Cole Inquiry appears

increasingly at odd was the Prime

Minister's insistence that no-one

Minister's insistence that no-one in his Government knew that the AWB

his Government knew that the AWB was paying kickbacks. I did not know.

paying kickbacks. I did not know. Mr Downer and Mr Vaile did not know.

And on the information that I have

and based on the advice I have

received, I do not believe that

anybody in he the departments were

told. It's now been revealed that

news that AWB was among the

company's paying kickbacks to Iraq

reached the highest levels of the

Federal Government in June 2003,

months earlier than has been

previously admitted. During the

chaotic months after the war,

Australia's woman if p if Iraq

occupying the new Australian

occupying the new Australian Mission in Baghdad, Heidi Venamore, sent

this highly sensitive classified

document back to her political

masters in Canberra. The cable

alerted them that an investigation

of the documents left behind by lus

Hussein's regime had revealed that

every contract negotiated by the

Iraqis under the the Oil-for-Food

Program since 2000 had included a

kickback to the regime from between

10 and 19%. The cable was marked

10 and 19%. The cable was marked for distribution to a who's who of the

Howard Government, including the

Prime Minister himself, Foreign

Minister Alexander Downer,

Minister Alexander Downer, Treasurer Peter Costello, Trade Minister Mark

Vaile, other senior ministers,

departmental heads and the chiefs

departmental heads and the chiefs of Australia's intelligence agencies.

But despite the the information

But despite the the information that had been uncovered in the wake of

Saddam Hussein's fall from power,

today DFAT official Zena Armstrong

told the Cole Inquiry it wasn't

regarded as worth investigating.

That a fairly definitive statement.

In fact, Zena Armstrong pointed out

to the inquiry today that she

regarded the Iraqis as excellent

record keepers, but despite the

definitive report on the kickbacks,

the Australian Government continued

to accept AWB's assurances that it

wasn't up to no good. We had no

evidence that, the department had

evidence that, the department had no evidence, that AWB was in any way

involved in the payment of bribes

and the reputation of AWB as the

single desk seller of Australian

wheat was very high. We frankly

believed all along that AWB was an

organisation of complete integrity.

John Howard's statement to the

Australian people in only February

of this year was that the

Government, including Government

departments, had no knowledge that

the AWB was paying bribes or

kickbacks. Now, we now know from

this cable that in fact Government

departments did know that all

contracts being sold to Iraq in

contracts being sold to Iraq in this period had kickbacks of between 10

and 19% attached to them. That

wasn't the end of the revelations

today. The inquiry was also shown

this confidential ministerial

submission that Zena Armstrong says

she prepared in March 2004 for

Alexander Downer and Mark Vaile. It

warned that AWB could be dragged in

to the United Nations investigation

of the Oil-for-Food Program, the

Volcker Inquiry, which was then in

the process of being established.

The copy sent to Mark Vaile bears

his signature while the version

his signature while the version sent to Alexander Downer reveals he took

deliberate note of its contents,

signed his name and added this

revealing hand-written note.

Curiously the inquiry has also

previously seen documents from last

year on which the Foreign Minister

asserted how relaxed he was about

the AWB's situation. Somehow in the

intervening 15 months he'd put his

worries aside. The release of the

minute to date which I've been

looking forward to completely

vindicates the Government has ever

said about this issue. Today Mr

Downer said the new evidence

supports not undermines his

position. This minute simply proves

the point that until I received

the point that until I received this minute on 30th March, I wasn't

minute on 30th March, I wasn't aware of serious concerns about AWB

of serious concerns about AWB paying kickbacks, nor was Mr Vaile. This

minute didn't go to the Prime

Minister. When I received this

minute I did something about it.

I've written on the minute that I

want this followed up. I've written

on the minute that I'm concerned

about this. March 2004, Minister

Downer gets a ministerial

Downer gets a ministerial submission from his own department, warning of

what the Volcker Inquiry was about

to look at and Mr Downer on paper

expresses his concerns about how

expresses his concerns about how the AWB has behaved, yet for more than

another six months the AWB in fact

is still engaging in corrupt

contracts under the Oil-for-Food

Program. This is nothing short of a

disgrace. Well, that's what the

Opposition says. Certainly the full

picture is still a long way short picture is still a long way short of complete. Nick Grimm with that report. An Italian police operation to disrupt Mafia drug smuggling to countries, including Australia, has been frustrated by a decision here not to extradite four Australians who are allegedly members of the Mafia. The Italians are seeking the extraditions of the four who are alleged prominent local members of the Mafia. Arrest warrants for the four men were issued in Italy two years ago, but so far the Australian Government has made no move to extradite them because it says there's insufficient evidence. Italian investigators disagree. And, according to some Australian crime experts, law enforcement agencies here have become so pre-occupied with the threat of terrorism that they've taken their eye off organised crime. Nick McKenzie reports.

There's absolutely no doubt drug

trafficking in Australia still

causes far more damage to far more

Australians than all of the

terrorist acts that have been

contemplated, let alone carried out

in Australia, in the last 10-years.

Terrorism and so forth is pretty

much taken up all of the budget. So

you're not going to get a lot of

money thrown at something that

money thrown at something that isn't in the face of people causing great problems.

The resources of the AFP, the

resources of state police forces

resources of state police forces are now being largely directed towards

the terrorist threat. Perceived or

real, it's a response to a

real, it's a response to a political assessment as much as to a law

enforcement assessment.

In 2004 at a port in southern Italy

a police investigation code named

Operation Takeoff hit the jackpot.

Police seized hundreds of kilograms

of cocaine hidden in marble blocks,

but it was only a fraction of what

the Mafia had hoped to send

overseas. Italian authorities say

one of the countries on the Mafia's

list was Australia.

(Speaks in Italian)

Australian police disrupted part of

this cocaine smuggling business

this cocaine smuggling business when they arrested this man in Adelaide

in 2000. They seized 317 kgs of the

drug. In 2004, the Italian-born

Australian was sentenced to 20

Australian was sentenced to 20 years in prison. #6 but despite the bust,

Italian authorities believe that

more than 100 kgs of cocaine worth

millions of dollars had already

found its way on to the Australian

market. And now the Italians say

they have identified four

Australians who later conspired

Australians who later conspired with the Mafia to import an additional

500 kgs of cocaine. They want them

extradited to face charges in Italy.

As an anti-Mafia prosecutor Dr

Salvatore Curcio knows the stakes

are high in his line of work. He

rarely leaves his office without a

bodyguard. The picturesque scenery

hides a grisly, but well documented

history of violence, particularly

towards those investigating the

local Mafia, known in Italy as the

Draguna and in Australia the

Honoured Society. Dr Curcio doesn't

move without good evidence and he's

convinced he has that in the case convinced he has that in the case of the Australians.

Arrest warrants prepared by an

Italian court provide detailed

descriptions of their alleged

criminal activity. Dr Curcio

describes one in particular as a Mr

Big of Australian Mafia operations.

The Australian Federal Police

conducted their own investigation

into the four men, including

surveillance of their movements.

However, the Director of Public

Prosecutions did not believe the

Prosecutions did not believe the AFP investigation provided enough

evidence to charge the men. The

Italians, though, are clearly more

certain of their case.

But two years after arrest warrants

were issued by an Italian court,

were issued by an Italian court, the the four men are yet to face

A spokeswoman for the AFP said that

mutual assistance requests for a

matter for the Attorney-General's

Department, but a spokesman for the

Justice Minister Chris Ellison said

he could not comment on extradition

matters. Certainly if these are

requests intended to lead to

extradition processes, then one

would have assumed they would have

been given some high degree of

priority. I suspect, however,

without knowing the details of

particular cases, that this

particular cases, that this reflects in large part the priority that's

being afforded to anti-terrorist

activities above vir Tully

everything else. The 7:30 Report

understands there is now a risk the

AFP may close its file on the

Australian.men, a move that could

impact on any extradition request.

Questions about the Mafia in

Australia gained prominence in the

'70s, after the murder of Donald

Mackay in Griffith. Similar

questions were asked again in the

'90s by the national crime

authority, which concluded a local

honoured society was more myth than

reality. But former NCA chairman

bomb Broome is now warning

bomb Broome is now warning attention has shifted too far away from

Italian organised crime. It's been

the law enforcement agencies

responding to what they believe the

Government wants to hear. So

proposals for enhanced

anti-terrorism activity are being

developed and presented to

Government and Government has

basically grabbed those with both

hands. Some who've risked their

hands. Some who've risked their live to infiltrate the Mafia grow.

to infiltrate the Mafia grow. Former undercover policeman Damian Marrett

shows him during a drug bust.

There'sa mountain of intelligence

out there to show that, yes, there

is a structured Italian unit

is a structured Italian unit working here and are involved in organised

crime. Damian Marrett also

infiltrated a plan to smuggle drugs

into Australia on a small plane, a

story featured in his book

Undercover. It's like any family

things are passed on down. People

are brought up to learn their trade,

the trade of their father. They've

got reasons why they believe

got reasons why they believe they're going to be successful and the

going to be successful and the whole thing of it is that a lot of these

families have made a hell of a lot

of money out of it. The secretive

but successful NSW crime commission

also warned in 2004 that if Italian

organised crime network has

organised crime network has received relatively little law enforcement

attention, yet continues to

attention, yet continues to generate substantial wealth . Back in Italy

there are similar warnings. Dr

Curcio says the Australians he

Curcio says the Australians he wants to prosecute plan to launder

millions of dollars in drug profits

for the Mafia. #6

It's a network which according to

It's a network which according to Dr Curcio has helped the Honoured

Society become the leading Mafia

group in Italy and to give it

further power to extend its reach

back overseas.

Nick McKenzie with that report in what will surely go down as one of the most thrilling races on Australian soil. Craig Mottram produced a herculean effort

in winning silver in the 5,000 metres at the Commonwealth Games last night.

His effort is just one more reminder that beyond the hyperbole, some of Australia's best sporting achievements in the Games might not always produce gold. Meanwhile, another athlete Olympic silver medallist John Steffensen, is set to remind the country that its home-grown talent isn't just confined to the pool. Mary Gearin reports.

Around the country Australians

Around the country Australians lived every tense moment of perhaps the

most keenly anticipated track

showdown of the Games. CHEERING

showdown of the Games. CHEERING AND APPLAUSE Agonising along with this

crowd in Melbourne's Federation

Square was Craig Mottram's father.

What did you feel as you were

watching him run tonight? Oh, an

enormous mixture of nervousness and

excitement. Yeah. Just a very, very

strange feeling. It's not one I've

ever experienced. The 7:30 Report

caught up with Mottram a few months

ago as he was putting himself

through 180kms a week at altitude.

Never content with the tag of

fastest white man, the first

non-African World Championship

medallist for 18 years. I'm hoping

that what I am doing is opening up

doors for a lot of other athletes

doors for a lot of other athletes in Australia, distance athletes in

particular, to follow in my

footsteps and be able to compete

footsteps and be able to compete and believe they belong over there.

Mottram wasn't speaking to media

outside the MCG last Knight night.

His preparation for the 1500 title

later this week has taken on

later this week has taken on renewed significance. His father says

Mottram will have been disappointed

with his lung-busting silver, but

it's the nature of the young man to

turn it into a positive. Really,

it's a matter of psychologically

building him back up for Saturday.

The other thing not just for this

week, but ongoing, it is all about

the learning process. He's coming

the learning process. He's coming to the peak of his career, probably

over the next two or three years.

Now another young man prepares to

carry Australia's hopes on to the

track knowing the pressure all

athletes face. It's definitely a

lonely sport. You are constantly

dealing with demons you have to

dealing with demons you have to deal with because you're by yourself. So

when it comes time to be if front

when it comes time to be if front of - say, when it comes to March and

890,000 people you have to get rid

of some of the energy you've built

up. John Steffensen might well talk

about demons driving him to become

the world's best over the

gut-wrenching mar shone sprint

that's the 400 metres, but if

that's the 400 metres, but if public he keeps those demons on a tight

rein. Mainly he talks about

entertainment. Fancy moves by John

Steffensen. We run and do a sport

and we are entertainers. We're not

doing any miracles out there or

curing cancer or saving people. So

you've got to look at it and put it

all in perspective. Steffensen's

pain has already been to

pain has already been to Australia's gain as part of the silver

medal-winning combination in the

medal-winning combination in the 400 metre relay at the Athens Olympics.

Australia is coming home with a

silver medal. Since he's begun

aiming at individual Commonwealth

Games gold, he's become even better

known for his fast and big talking,

promising to put on a show in

Melbourne. I don't ever put anybody

down. I only say what I want to

achieve and that's me as a person.

achieve and that's me as a person. I think that's me as an Australian. I

know some people take it the wrong

way and say it is cocky and

arrogance but at the end of the day

I'm putting pressure on myself and

I'm putting pressure on myself and I have to deliver. So if I fall short,

it's on me. People who know

Steffensen say the confidence and

swagger is all his own. But it

certainly is not discouraged by the

company he keeps. He's now in the

care of American coaching wizard

John Smith whose camp produces some

of the globe's most powerful

athletes, including multiple

medallists and world champion

athletes, including multiple Olympic medallists and world champions Ato

Bolden ra Maurice Green. Maurice is

very loud. Everyone is loud so I'm

quiet in the group. When I,back

quiet in the group. When I,back here people are like, "You talk so much.

people are like, "You talk so much." His time with John Smith has taken

him not only to the Olympics but to

the finals of the 400

the finals of the 400 metre World

Titles. There's nothing like the

atmosphere of champions and those

that aren't champs that want to be.

So there 's a knowledge, experience

but there's also a desire and with

John's temperament and attitude I

think he blended right in. Scbl>>

My parents wanted me to get rid of

excess knowledge so they put me

excess knowledge so they put me into Little As. Take him, John. Take him,

John! Take him, John! Yeah! My dad

said if you are going to train you

have to train hard or you have to

get a job. I thought job? No way. I

trairned really, really hard and

trairned really, really hard and the rest is history. John Steffensen

brought his family to Perth from

South Africa. Young John was

introduced to boxing to help him

develop his diaphragm and he rose

develop his diaphragm and he rose to be ranked No. 3 in Australia.

When I look at him and his life

early on as an athlete and as a

young man, in my eyes, he's a

young man, in my eyes, he's a winner in everything he puts his heart to

and that's one thing I like about

John. Yeah, baby! Wooh! On home

soil Steffensen's support group

appears as strong as his elite US

squad. He will win, yeah. Because

squad. He will win, yeah. Because he has the passion and the ambition

has the passion and the ambition and he has all of the qualities that an

athlete needs to have to make it

happen and he's proved everything

that he's said he's going to do and

he's done it. I've already won so I

don't care about Commonwealths now.

I've got my girlfriend and dad so

I've won. Two most important people

I need so I've won. Now he's

concentrating on an individual goal

Steffensen hasn't forgotten his

original success the r x r relay

team that is hoping to win on

provide. The team we have now is

certainly stronger than the one in

Athens. Sit exciting, but we have

Athens. Sit exciting, but we have to get the job done first. Yquietly

confident. No, we're confident. He

knows that. You're look agent the

team that will win the Commonwealth

Games. ABC is getting an exclusive

what is going to happen. Win or

what is going to happen. Win or lose this lonely sport has won another

compelling salesman. That report from Mary Gearin. And that's the program for tonight. We'll be back at the same time tomorrow, but for now, goodnight. Closed Captions produced by Captioning and Subtitling International Pty Ltd

This program is not subtitled Miss Dusty Springfield. 'Dusty - the Original Pop Diva' opened at the Melbourne Art Centre in January. $6 million was staked on this new, all-Australian musical being a hit. (Sings) # I only know I never want to let you go... # We've been behind the scenes, finding out just what it takes to get a new show from the page to the stage. THEME MUSIC (Sings) # I never knew that I could be in love like this # It's crazy but it's truuue # I only want to be with you. # Last time, the organisers launched the upcoming show