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ABC News Breakfast -

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(generated from captions) CC Receivers of ABC

Learning call for a $60 million

lifeline as the parents of

120,000 children nervously wait

to see if the centres will

remain open. Barack Obama gets

his first intelligence briefing

as George W. Bush warns his

replacement that the economic

crisis will not pause to let

the new President settle

in. The most dramatic interest

cut in Britain for a quarter of

a century as global markets

stumble amid a Dyer growth

forecast from the International

Monetary Fund. And a century to

little maestro tend already

gives India a strong -- Sachin

Tendulkar gives India a strong

start to the final Test in


Good morning, it's Friday, 7

November. I'm Joe O'Brien. I'm

Virginia Trioli, the top story

on 'ABC News Breakfast', it's

more than $1 billion in debt

and founder Eddie Groves says

he has no idea how it happened.

That won't reassure the parents

of 120,000 children who rely on

discussion with the Federal the centres. Receivers are in

Government about the future of

Australia's largest childcare

provider, the Education

Minister Julia Gillard won't

say whether a further injection

of Government funds will be

needed to keep the company

going, she's blaming the Howard

Government for letting the

situation get out of

control. When the former

Government lifted the cap on

day care - long dare care

places then it let the market

rip. It had no plan for work

force sly.

REPORTER: So you do blame the

former Government. The facts,

if I can take you to the facts,

I'll allow people to scom to

their conclusion, but the facts

are clear, they removed the

cap, they let the market rip,

they let the market rip in

circumstances where they had no

work force plans, they had no

quality plans, they had no

plans for market development in

this area, they just let the

market rip through childcare. Julia Gillard there,

not exactly what people want to

be hearing in this situation,

blame shifting between governments, Ben Worsley joins

us live from Canberra, Ben, how

will they keep the centres

open? Well, the short answer

is, Joe, we don't really know

right now. Julia Gillard is

emphasising that the receivers

are saying it's business as

usual, but the Deputy Prime

Minister was long on assurances

and short on detail. The

receivers, it seems, want $60 million before Christmas from

the Government and/or the major

investors, the Government

hasn't commented on whether

that will be forthcoming. The

Government rules out taking

over and running these

childcare centres directly,

they are in continuing

negotiations with the

receivers, and meetings with

the banks, the big four banks,

by the way, combined, have an

exposure of a billion on this,

so their involvement is

crucial. When it comes down to

it the Government cannot let

the childcare centres collapse,

the early days of the Rudd

Labor Party was all about

childcare and early childhood

development. So it's in

everyone's interests to keep

them open. The Government has

$2 billion a year being pumped

in to the childcare centre,

including $300 million to ABC

itself. It's in everyone's

interest to keep these centres

operating as they are now.

It's hard to comprehend how

any organisation getting $300

million a year in Government

subsidies could go so wrong, is

it becoming clearer what did go

wrong? Well, yes, and no. The

list of criticisms about ABC

Learning is rather long, you'd

have to say, from questionable

accounting practices to a

complex business plan to an

unsure strategy. There's

reports of a rift between the founder and the Board, there

are suggestions there are too

many policitians on the Board

particularly good business and policitians don't make

managers. The crux of it is

summed up by the former

chairwoman Sally Ann Atkinson,

a former politician, that ABC

Learning expanded too quigly,

when it was floated -- quickly,

when it was floated, there was

42 centres, now there's 1200,

that was rapid and vast.

There's some truth in what

Gillard is saying, pointing the

finger at the Coalition for

allowing a quazy monopoly

develop. That's little comfort

to the families involved. There

are thousands of employees involved. Have they been able

to get guarantees. No, there is

16,000 or so employees involved. They were told

yesterday to join the line of

creditors to try to shore up

their entitlements. The union,

as you imagine isn't happy

about that, and is demanding

for ashurns than that from the

Government. The -- assurances

than that from the Government.

The first credit meeting is on

16 November. The unions and the employees, you imagine will

make a votal contributor to

that meet engine a couple of

weeks -- vocal contributor to

that meeting in a couple of

weeks time. Other news US

President George W. Bush warns

that the transition period

between his administration and

that of Obama can be a

dangerous time for National

Security, the outgoing

President said he'll have a discussion with President-elect Obama next week about the

financial crisis, and the war

in Iraq. The Bank of England

cut its interest rate by 1.5%,

the biggest reduction in more

than 25 years, it stands at 3%.

It follows a grim forecast by the International Monetary

Fund, who says advanced

economies will contract by 0.3%

next year, the first decline

since the second world war. The

former Western Australian

Premier and lobbyist Brian

Burke has been charged with

corruption, lobbyist Julian

Grill faces one charge of

corruption, while former Labor Minister Norm Marlborough has

been charged with giving false

testimony, all three are due to

appear in court on 12

December. Tutsi rebels broke

the cease-fire in the

Democratic Republic of Congo,

they retook control of a town

in the east, forcing residents

from their home. Some refugee

camps suffered rebel raids and

the humanitarian situation is

said to be getting worse.

Lawyers representing the Bali

bombers appealed to to the Indonesian human right

commission to allow a final

family visit. Radical

protesters met at the office

demanding the bombers be

releaseled. The courts rejected

a multiple appeal against the

death sentences. Returning to

the US and outgoing President

George W. Bush warns of serious

security issues as America

embarks on the first war time

presidential transition in 40

years. This peaceful transfer

of power is one of the

hallmarks of a true democracy.

And ensuring that this transition is as smooth as

possible is a priority for the

rest of my presidency. We face

economic challenges that will

not pause to let a new

President settle in. It will be

America's first war time

presidential transition in four

decades. We are in a struggle

against violent extremists,

determined to attack us. They

would like nothing more than to

exploit this period of change

to harm the American

people. For more Lisa Millar

joins us from Washington. Good

morning. Barack Obama has

exploded out of the blocks, and

has made a couple of key

appointments, can you take us

through those additions

decisions so far. The most

important is the White House

Chief of Staff, we have heard

that Rahm Emanuel accepted that

position, he's been a long-time

friend and advisor to Barack

Obama, but is a congressman for

Illinois in Congress, a house

congressman, it was a big call

for him to decide to step away

from his political career on

the Hill, and head into the

White House. The other

appointment that Barack Obama

has made is that of the head of

his transition team, and this

is another former Clinton

advisor, John Bedesco. The

reason the two of these

appointments have been jumped

on and criticised is they are

men from the Clinton era, and the Republicans have suggested

that already Barack Obama has

ditched his promises of change

and a fresh bipartisan

approach, and he's gone for the

expertise of a couple of veterans from the Clinton years. Yes, according to

reports in the American press,

in the 'New York Times' in

particular, if these are

unsourced quotes, if they are

to be believed, some inside the

Barack Obama camp fear that the

administration could start to

look a little like client

III Well, the problem for --

Clinton III. The problem for

Barack Obama is that Bill

Clinton in his first term left

the transitional period too

late and it was a bit Kay at

ib, he didn't appoint key -- chaotic, he didn't appoint key

staff until a week before the inauguration, everyone says

that's the way not to do it.

Barack Obama realises he needs

the expertise of people who

have been there before, who can

help the process. The Chief of

Staff will be the man who helps

appoint and decide on Cabinet

positions and all other staff

in the White House as well.

Hundreds of people, it's extraordinary powerful

position, he also becomes the

salesman upon Capitol Hill as

well. Barack Obama has to

balance that, have the

expertise and still promising

and trying to appear as if he

is coming to the White House

and is going to bring a

different to that scene

before. Barack Obama received

his first intelligence briefing

from the White House, and this

a daily basis -- on, on

a daily basis. During the

campaign, both candidates were

getting modified intelligence

briefings. This morning Barack

Obama got his very first fully-fledged intelligence

briefing from the CIA, which

had all the information that

the President, himself, gets

every day. He'll get that

daily, in fact, we sort of had

a bit of a hint about why this

is happening. It does happen

regularly with new presidents,

but post 2001, the inquiry into

that, a lot was made of just

what the incoming administration of George W.

Bush knew about Al-Qaeda, and

how much they'd been told

leading up to the September 11

attacks, so I suspect that

President Bush is very

determined not to have any sign

that he is not trying to let

Barack Obama his team know

exactly about all of the risks that might be facing them. Switching to the losing

side now, and I guess we can

imagine that recriminations

will continue on the Republican

side of politics, news week,

publishing a revealing profile

on the Vice-Presidential candidate nominee Sarah

Palin. It's a bit cringe

worthy, I must say. Why it's

revealing, why people find it

interesting, I'll go into the

details in a minute, is that

they had a reporter within the

Sarah Palin/McCain camp

throughout the entire election

campaign on the proviso that

nothing was published before

election day. So what we are

learning is that Sarah Palin,

herself, according to these

reporters and news week made

those purchases of the clothes,

the $150,000 which were so

widely criticised. She was told

to go and buy three suits for

the Republican Convention, and,

instead, she and her family

were described - there's a

chain of stores over here

called kneeman Marcus, she and

her family were described as

being the Wasilla Hill billies,

looting these stores from coast

to coast, including the family

wearing Gure, cci and 13

suitcases had to be purchased.

The other interesting thing is

the fact that John McCain, and

Sarah Palin apparently hardly

ever spoke during the campaign,

perhaps once a week. So quite

revealing and again showing

that the tension that people

talked about probably did exist

between the Palin and the

McCain camps. Lisa Millar,

thank you. We'd like to hear your thoughts on the transition

of power in the US and the

challenges ahead for Barack

Obama. You can email us at:

New Zealanders go to the

polls form in an election

that's expected to deliver a

change of Government. The

latest polls indicate that

after nine years as Prime

Minister Helen Clark faces the

toughest fight of her political

career. Kerri Ritchie joins us

now from Auckland. Now, Kerri,

Helen Clark seemed to be a

popular figure, why is she struggling? Yeah, that's right.

She still is. When you ask New

Zealanders what they think of

her, no-one has a bad word to

say. She's likeable, she's respected, and she's come

across very well in all the

debates over here. But, look,

she is facing - she's trying to

get a fourth term, she's facing what we saw in Australia last

year, there's just so much talk

about a mood for change, and fatigue with the Labour

Government, and that everyone

is just possibly looking for

something different. And

there's been four polls

released overnight all

indicating that it's - that the

job ahead for Helen Clark is a

difficult one, those polls have National ahead. It will be able

to, if the polls are correct,

form Government with the help

of two minor parties. So this

morning Helen Clark is - she's

on the radio, doing 11 interviews if three hours,

she's flat out, going for

broke, and New Zealanders vote

tomorrow, but people are saying

that it's not enough time to

turn the polls around. Kerri,

how much of a factor has the

financial crisis been, how hard

has it hit New Zealand? Well,

of course, New Zealand declared

it was in recession before

everyone else, a few months

ago, that has swamped the election campaign, Helen Clark

had some big items that she

wanted to announce, but had to

put them on the backburner, she

didn't want to be seen to spend

a lot of money, it affected the

campaign, the recession, the

campaign has been overshadowed

by what's going on in America,

it's been bigger and bolder,

they don't have the airplay

they would in a campaign. The

recession got everyone talking,

John Key is a former investment

banker, saying that he has a

lot of economic credentials,

and can lead New Zealand out of

this mess. Helen Clark says,

"Stick with me, I'm a safe pair

of hands, don't go with the old

plater", but people are

impressed by John Key. Helen

Clark is trying to paint him as

inexperienced, he's an

investment banker and has been

in parliament since 2002. Has

that argument got much support

or not? Not really, because, I

mean, John Key has been out and

about. He grew up here, went

away, made many millions of dollars working in investment

banking in Asia and the United

Kingdom. He says he has a lot

of world experience and it

shouldn't be held against him. He hasn't been stuck in

Wellington looking at the

smaller picture. He's been out

there in the big picture. No, I

don't think that resonates. I

think Helen Clark also one of

the problems with her campaign

was saying that it was all

about trust. And with some of

the issues about political donations, I think that was a

mistake, and it might cost her

dearly. John Key has had a very

positive campaign, he is been

out and about shaking hands, he

hasn't done anything wrong. He

hasn't done anything

remarkable, but he hasn't made

any mistakes, I think that

might get him across the line,

at the moment over here the

polls say it will be a national

victory with the help of two

minor parties. Kerri Ritchie,

think you U It's time factor

seems to be broad. They can't

put a finger on it why she's

likely to go, it's just people

thinking that she's had enough time And another investment

banker wanting a shot. Looks

like he'll give it a good

go. To the front pages of major newspapers, the Australian

leads with the news former

Western Australian Premier

Brian Burke charged with

corruption, faces court next

month, the with National

broadsheet reports on the

collapse of ABC Learning,

saying the receivers won't

guarantee the centres Mr Stay

open. The finance review - Rudd

Government in crisis talks to

limit fallout from the collapse. ABC centres in the

ACT thrown into doubt koorting to the 'The Canberra

Times'. The 'The Courier Mail'

orps that the Queensland

Government is at loggerheads with the Federal Government

over funding for schools. Age

- Barack Obama's win, the

President-elect will bring a

cultural shift to the US

leading to the large image of

Obama being driven from his

home in Chicago. 'The Western

Australian' leads with Brian

Burke. Thousands of furious

racegoers were left stranded at

Flemington race station

according to the 'The Herald

Sun', a powerline fault forced

the crowd to wait for two

hours. At the bottom you can

see a woman in her race day

best being arrested. That's not

you, is it Vanessa O'Hanlon

after your big win. Not at

all. I was well behaved,

getting out before the train

line fell apart. 'Daily

Telegraph' leading with a

warning to motorists and a

photograph of a 4-year-old girl

killed by a drunk

driver. Drying under the

influence dominates the front

page. 'Mercury', saying a

driver was drunk, stoned and

speeding when he killed a woman

in a head-on cash. The

Australian alpine region will

be put on the National heritage

list according to the 'Sydney

Morning Herald'. The Adelaide 'Advertiser' says South

Australian teachers will strike

on the final day of Year 12

exams and have rolling

stoppages for the rest of the year. 'The Northern Territory

News' news leads with a man

that water bombed a party and

stabbed a guest. He's been

jailed for four months. Very strange. The regulation photo

of the croc there on the front

page. Which we expect. Top

stories on ABC News breakfast -

reverse of ABC Learning say

they are working closely with

the February and banks to keep

the childcare centres open. The

company has been placed into

voluntary administration with

$1 billion debt. They provide

care for more than 120,000

children. US President George

W. Bush is warning the transition period to Barack

Obama's inauguration could be a

dangerous time for National

Security, the outgoing

President said Healesville a

discussion with President-elect

Obama about the financial

crisis and the war in I

crisis and the war in I

can. The Bank of England cut

interest rate by 1.5%, the

biggest reduction in more than

25 years, following a grim

forecast by the International

Monetary Fund for 2009, that

advanced economies will shrink

by the largest amount since the

World War II.

To finance now, and there are

significant falls on the US

markets again. The do you is

trading 401 down, which a sharp

fall of more than 4%.

In other finance news, the

Bank of England has slashed its

main interest rate by a record

1.5%. It's now 3%, which is the

lowest rate in more than half a century, United Kingdom

business analyst Richard

Lambert says the move points to

a deep recession. We are in

unchartered waters, the Bank of

England says we've been through

a big banking shock for a

century, this is strange

grounds, I think they said,

"The numbers look bad, on

present truck, unless we do

something bold, there's a good

chance at the end of next year

inflation will go under the

target, that'll be embarrassing

for the bank if they write

letters saying it's over the target and then have to say

oops, it's gone under, they

want to avoid that. They are

hoping to themselves that a cut

like this will jolt the

interbank market, the bank

market in which banks lend to

each other into action, making

it possible for the banks to

pass it through to the

customers, which is what the

economy needs. The European

Central Bank lowered rates by

0.5 percentage point to 3.25.

Swiss and Danish did the same.

After a grim forecast by the International Monetary Fund of

0.3% decline in advanced

economies in 2009. The fund

predicts Europe will be hardest

hit by the tightening financial

conditions and falling consumer confidence. Sharp falls in

growth for the US and Asian

economies are forecast. In a few minutes Vanessa O'Hanlon

will be here with a look at the

weather. And a review of some

of the newspapers today, and

this morning we are joined by

Tim Costello, Chief Executive

officer of World Vision


With the sports news here is

Paul Kennedy. India is 5/311

at stumps on Day 1 of the

fourth Test in Nagpur, Jason

Krejza made his debut taking

three wickets, it will be difficult for Australia to win.

The pitch is starting to break

up incredibly. India won the

toss, electioning to bat on a

flat Nagpur pitch, a wicket

looking like a road. Australia

made one change, finally Jason

Krejza was selected to make his

debut, Stuart Clark missed out.

Murali Vijay was chosen for his

first test, replacing Gautam

Gambhir, who was suspended. The

openers posted their first 50

runs in the 10th over, Jason

Krejza with the opportunity to

bowl inside the first hour and

Virender Sewag was waiting. Welcome to Test

cricket. The veteran reached

his 50 off 45 delivers, as he

treated the debut tonight with

contempt while India's

debutante Murali Vijay fell for

33. Jason Krejza stayed in the

attack, removing Rahul Dravid

for a duck. That is fabulous

cricket. Replays showed his

first Test wicket may have come

off a no ball. Sachin Tendulkar

was as distakenful to the off

spinner, bud India's contemptuous approach proved

cost by. It was more

circumspect from the home team

after lunch, both batsman

making the most of loose bowling, dismissed twice

already in the 40s, Sachin

Tendulkar made amends in this

test, passing 50678 What more

is in Sachin Tendulkar's

locker. He and VVS Laxman

combined for a partnership of

more than 100. They made the

most of the conditions, paying

off for the world's greatest, a

new ground and another century

for the history books. As the

stadium cast its shadows, there

was some light for the

Australians. Rapped on the pads

and gin, he's on his way.

Sachin Tendulkar. Gone for

109. Jason Krejza's nickname is

crazy, and his initiation to

Test cricket could be called

that. Indian taking 32 from his

first three overs in an attempt

to banish him from the attack.

His captain stood by him, it

paid off. He is a tough

character, his father played

professional football to Czechoslovakia, and he brings

new life to the Australian

team, even if they were toiling

on a flat pitch not fit for

cricket. In horse racing the

latest Oakes winner is eyeing

off next year's Cox Plate. Samantha Miss continued

Sydney's dominance over the

Spring Carnival easily winning

yesterday, Kris Lees says the

Miss Will be back next year to

try to win the plate. Australia

's next filly went to Moonee

Valley as a favourite but was

inexperienced failing to handle

the tight track. Funnily enough

betting is out for next year,

it's equal favourite for the

Cox Plate and Caulfield Cup. I

hear there was someone happy

with the results jester Kay

day. I got the trieffecter in

the ocean. How much did you

win. The lowest paying trifecta

over the spring carnival.

Everyone walked a way with

thousands, I got a couple of

hundred I'll shout you guys

lunch. This will be a good one.

Someone in the Sydney newsroom

got the trifecta on the

Melbourne Cup. $10,500. That's

what I was after. With the

cricket it was incredible last

night the way Jason Krejza was

initiated in his first test. He

was brought on in the first

hour, unheard of for a spinner,

but the pitch seems to be a bit

of a dud. It's a new pitch, at

a new stadium, never played on

in high-class cricket before.

Within the first two overs the

footmarks from the fast bowlers

broke up the pitch, it's why

the spinner was brought on. It

Downing Street bode well for

the rest of the test. -- it

doesn't bode well for the rest

of the test. India was making

quick runs, they know it will

break up and be hard to bat on.

Losing the toss was a major

loss for Australia. The win of

the toss you said would be the

key thing. The toss is crucial

in India, with the pitch it's

more so. Are there

recriminations following over

this. Does the ICC say anything

about incorrect or poor pitch

preparation. No the ICC doesn't

tell I Indian cricket what to

do. At least they didn't put

Gautam Gambhir in the side.

That could have caused an uproar, Australia wouldn't have

been able to do anything about

it, they avoided that

controversy, the pitch is

something to be talked about

for the next couple of days, I

think. A reminder that 'ABC

News Breakfast' can be watched

live on the web, so whether you

are at home or in the office,

you can stay across the main news stories the

news stories the day. Visit the

web site: You'll also find

information about the breakfast

team, and catch up on some of

the interviews that you might

have missed this

morning. Vanessa O'Hanlon joins

us for the weather. Good

morning, a cold front is

crossing Victoria and damaging

winds are expected for the

Wimmera, western, north

central, and central districts. The satellite shows more about

the clouds. The widespread

cloud is extended across central and south-eastern

Australia, in a trough, it's

bringing showers across the

Northern Territory, South

Australia and western Victoria.

In Queensland: cloud

increasing in the west and

south-west, isolated showers.

NSW has rain and isolated

thunderstorms developing in the

far west, extending eastwards.

Finally rain with isolated

thunderstorms in Victoria,

developing from the west. A top

of 23. Lots of cloudy activity

throughout Victoria. Tasmania,

cool, fog patches, rain to the

north extending state wide. In

South Australia - a gale

warning for the south-east

coast of the trough over the

State is causing isolated

showers and. To the south of WA, isolated showers clearing

east during the day. Sunny in

Perth. Isolated showers in the

north, around the Kimberley, isolated showers and gusty

storms for the Alice. Having a

look at tomorrow's weather.

I'll be back in half an


The top story now on break

rsh. The Government's budgeted

-- 'ABC News Breakfast', the

Government could be in trouble

with taxpayer fund needed to

bail out Australia's biggest

child care provider. ABC learn

receives $1 million a day from

the Government for the rebate.

It was placed in receivership yesterday, Education Minister

Julia Gillard won't say whether a further injection of

Government funds will be needed

to keep the centre going. No

word from this ABC centre in

Melbourne. Many knew had this

was coming, ASIC was warned in

2006. Last year investment advisors cautioned against

buying their shares, and the

hedge funds pulled out their

money, the reverse were called

in, some parents didn't know. Really, I hadn't heard

that. Right. That is

concerning, if ABC were

basically to close overnight,

that would obviously create a

massive problemment

REPORTER: The Government needs

to pick up the bill? I think

the Government needs to step in

and provide some kind of

support. The end finally came

for the company whose shares

dropped to over 50 cent from a

high of nearly $9. No, I am not

concerned. Well, I hope it's

OK. Because I work. So I need

it. I do have faith that the

Government is going to look

after the centre, and yeah,

things will be OK. The

Government says it's working

with creditors, regulators and

its own insolvency expert.

There are no guarantees that

ABC Learning won't need help

from taxpayers. Is it possible

for you to say they can keep

going for more than a few weeks

without Government money We are working with the banks

clearly and the receiver. Since

about 2000, I estimate that

perhaps close to 2 billion of

taxpayers money has gone to ABC

Learning. And I would think

that if you are the custodian

of taxpayers dollars, you would

have some responsibility to see

those are going to a well-run

soundly based company. Deborah

Brennan was one of many

childcare experts sounding

alarm bells. Like those in the

investment world. Saying that

there should have been more

questions from Canberra, like

why the Rudd Government set up

a taskforce to deal with ABC

when trading in shares were

frozen, for the Minister the

blame rests with the Howard

Government. Do you think the

Government deserves blame? The

fact are very clear, they

removed the cap, let the market

rip. They let the market rip in

circumstances where they had no

work force plans, they had no

quality plan, they had no plans

for market development in this

area, then just let the market

rip through childcare. So

childcare centres like this one

face at best an uncertain future. The Labor Party blames

those who came before them, and

say that this Government did

all it could when it could.

The corporate regulator, the

Minister says they have the Government's full support

Government obviously has full

confidence in the ASIC and

other corporate regulators,

absolutely. I am surprised that

the rugby leaguulator hasn't

looked into ABC Learning earlier. ABC's founder Eddie

Groves managed to attract 3.5

billion from banks and

investments, half the revenue

coming from the Federal

Government, it was channeledly

through a maze of companies

linked to Eddie Groves.

Investors like the government

of Singapore lost $350 million

of the Commonwealth Bank losing

more than half a billion, while

the creditors may get some of

their money back, it looks like shareholders will get

nothing. We'll speak to Julia

Gillard around 8:00 eastern

time. You can email and text

us your questions for the

Deputy Prime Minister. Send to:

In other news, US President

George W. Bush has warned that

the transition period between

his administration and that of

Barack Obama could be a

dangerous time for National Security, the outgoing

President also said he'd have a

discussion with President-elect

Obama next week about the

financial crisis and the war in

Iraq. The Bank of England has

cut its interest rate by 1.5%,

the biggest reduction in more

than 25 years, the rate now

stands at 3%. It follows a grim

forecast by the International

Monetary Fund, the IMF saying advanced economies will

contract by 0.3% next year, the

first such decline since the

second world wr war. Former

Western Australian Premier and

lobbyist Brian Burke has been

charged with corruption,

lobbyist Julian Grill faces a

charge of corruption, and former Labor Minister Norm

Marlborough has been charged

with giving false testimony,

all three are due to appear in

court on 12 December. Tutsi

rebels broke the cease-fire in

the Dongo. They took control of

a town in the country's east,

forcing residents from their

homes, the rebels raided some

refugee camps, the humanitarian

situation is said to be getting

worse. Lawyers representing the

Bali bombers have appealed to

Indonesia's Human Rights

Commission to allow a final

family visit for the condemned

men. Radical protesters

gathered at the Jakarta office

of the human rights body

demanding the bombers be

released. Multiple appeals have

been rejected against death

sentences which could be

carried out at any time. More

on the corruption charges

against the former Western

Australian Premier Brian Burke,

he one of three people facing

charges as a result of evidence

given to Crime and Corruption

Commission hearings over the

past year. Andrew O'Connor

joins us from the ABC Perth

newsroom. Tick us through the

background to these charges,

what are the allegations. This

is shaping up as WA's longest

political drama, given those

that have beset the state since

1987 when Burke stepped down as

premier, that's saying

something, he's facing a charge

of corruption, five of giving

false testimony, and two of

disclosing official

information. It relates to a

series of investigations undertaken by the Crime and

Corruption Commission in WA,

which is arguably the nation's

most powerful anti-corruption

body. It was examining the

influence of lobbyists on

public officials involved in a

series of high profile public

developments, a major tourist

development in the south-west

of WA, a major land rezoning

and lobbying efforts in the

pearling industry. The triple C

is not specific about the

circumstances of these

particular charge, these three

policitians or former

policitians, and a political

advisor are due to go to court

at the start of next month,

we'd Speck to see more

specifics about those cases

then, but in the meantime it's

another insight into, like I

said, what's been a long

political drama here in WA. You

are right to say that, and

point out that WA's had more

than its fair share of

political dramas. Of course in

Brian Burke's case he's been

jailed twice before. That's

right. In the wake of WA ink,

Mr Burke faced a range of

charge, doing prison time. He

reinvented himself in WA as a political lobbyist with long

time friend and ally, Julian

Grill, an ALP figure from the

Burke era in the late '80s,

they ran a successful political

lobbying business, what came

unstuck is when the triple C

held a series of public

meetings in late 2006, early

2007 and they revealed Brian Burke's extraordinary reach

into Western Australian

political and public service

circles, we heard taped

conversations, saw video of

secret meetings, learned that

Mr Burke had direct access to

Cabinet Ministers was leaked

information from Cabinet

discussions and these charges

are really the end result of

that investigative process.

Now, these matters are never

really or usually particularly

in WA stand alone moments of potential corruption, they

usually have connections to all

sorts of people, what are the

political implications of this

fresh round of charges? I

suspect the political

implications of this have been

felt. There was a tidal wave of implications flowing through

the Western Australian ALP in

2006/2007 as a result of the public hearings. Once these

secret taped discussions were

made public, Alan Carpenter,

the new premier replacing Geoff

Gallop was pud in an invidious

position where he had to sack a

couple of Cabinet Ministers,

force the expulsion of

backbenchers, so the political

implications have been felt.

It's a reminder of Brian Burke's continuing influence in

the ALP. His lobbying business

suffered damage as a result of

this. He's still a powerful

figure in the west. Health

professor Fiona Stanley made a

radical proposal in the annual Hawk lecture delivered in

Adelaide, the former Australian

of the Year says the Government

should dock the pay of senior

bureaucrats failing to improve

the health of Aboriginal

communities under their care

ex Professor Fiona Stanley

echoed calls from Sydney Peace Prize Pat Dodson that Aboriginal communities needed

to be more involved. Children's

Dr Fiona Stanley spent a lot of

time in disadvantaged

Aboriginal communities assessing their health problems

for herself. When policy is made remotely from people's

circumstances and their context

and does not engage nor

understand when planning or

implementing it, it is most

likely that the policies Mr

Fail as they have down for

decades in Australia. She

described attempts from

governments to tackle disadvantage in Aboriginal

communities as half-hearted,

something she thinks would

change if the Government's

linked bureaucrats pay to

solutions If they don't perform

to improve indicators they

should be penalised or not get

their bonuses or something. We

have to do something. Many

Aboriginal organisations have

been audited to death, truly

death, while Government departments are rarely held

really accountable for the

non-delivery of services for

the most disadvantaged and

highest risk people in our community. Aboriginal leader

Pat Dodson says the

intervention is another example

of how a Government is failing

to be accountable for real

changes they promised in

Aboriginal communities In the

case of intervention, the

pre'emtive non-negotiated

intrusion into the lives of

Aboriginal people was crude,

racist, and poorly considered

public policy...


..initiated on the admission of

at least one former Federal

Minister for purely political

electoral gain. Like-Fiona

Stanley, he says Government organisations have been part of

the problem, and not part of

the solution. Our community

organisations and the families

and individuals of our

communities know what these

issues are. They are committed

to successful outcomes, and are

prepared and willing to

participate in finding and

delivering on solutions. Fiona

Stanley says the Government

needs to support the most

straightforward solutions. To

remove alcohol without

providing alcohol withdrawal

programs, rehabilitation, and

support for families is almost

in humane. I knew I wasn't

going to get through this

without weeping. Professor

Stanley says radical solutions

are needed even if

controversial, closing safe

houses for Aboriginal kids that

have been the victims of sexual

or physical abuse is

wrong. There is an urgent need

for safe houses for children

and women, if they are set up

making them safe homes for

children, it may well be they

are an important part of the

solution. Pat Dodson says

radical changes can only work

if Aboriginal communities agree

it's the way to go, and help

run the programs as the

intervention has shown. The

failure by the Government to enter into a dialogue and

negotiation over the nature of

that engagement with the

Aboriginal society in the

Northern Territory will be seen

by Australians in the future as

the model of the worst practice

imposed of public policy and a

further addition to the litany

of administrative disasters

that Gay us the Stolen Generations. Mr Doddson has

been awarded the Paes r the

first Australian to win it for

season years. As Barack Obama

looks to his inauguration on 20

January, what of George W.

Bush? The 43rd US President

leaves behind what many

described as America's greatest

foreign policy disaster and a

global financial crisis. After

eight eventful years Matt

Peacock reflects on the legacy

of George W. Bush.

Into it was the event to

define this presidency, for a

man who earlier shunned foreign

affairs. We will find those who

did it, we will smoke them out

of their holes, we'll get them

running and we'll bring them to

justice. From 9/11 on, George

W. Bush would be judged on how

well he waged his aggressive

war on terrorism. You either

are with us or against us. In

the fight against terror. The country rallied behind

country rallied behind him. But

in Afghanistan US-led Coalition

forces failed to find Osama bin

Laden or bring him to justice.

Nor in the war President Bush

took to Iraq were the promised

weapons of mass destruction

found. United States will lead

a Coalition to take away the

world's worst weapons from one

of the world's worst

leaders. Saddam Hussein was

toppled, but the war was

anything but over. Five years

of escalating costs, casualties

and chaos follow. His legacy

will be as one of the worst

Presidents in modern American history, if not ever. For former Democrat advisor Bruce Wolpe, there's no doubt The winner out of Iraq is Iran, it seems more powerful with more influence throughout the region, the issue of whether we have democracy in the Middle East further away, peace between Israel and Palestine, further away. He faced challenging times, he made smecks, he things right. Sheer, a Washington diplomat and Howard Government intelligence advisor, with the Lowy Institute, believes George W. Bush had an unduly bad press. Now Saddam is not there, not threatening his neighbours, he's not brutalising his own population, there's a better than even chance Iraq in 5-10 years will be a functioning democracy. The President's critics concede one point. On domestic security President Bush has accomplished a great deal. It's quiet, the homeland secure, intelligence agencies working effectively in the United States and with other countries, people feel safer. From a privileged political upbringing George W. Bush carved out his own career as Governor of Texas, and as President his relationship with Australia argues Shearer brought major benefits. We have a free trade agreement with the Americans locking in preferential access with the US economy, going into a period with where protectionism is likely to be an issue in the

US. We have enhanced access to

US intelligence on terrorism,

enhanced access to US military

technology which is vitalle I

shan't laugh... Other

initiatives, the President's no

child left behind Primary

School program, money for HIV

treatment in Africa, and

improved relations with China

and India were overshadowed by

war. President Bush assumed war. President Bush assumed

draconian powers bypassing the

courts and congress and

authorised what critics called

the torture of terror suspects.

But it was a natural disaster

Hurricane Katrina that saw the President stocks plummet

Hurricane Katrina will go down

as one of the worst

abandonments of Americans on American soil

American soil ever. Hurricane

Katrina broke America's heart.

A great city was attacked by a

great storm. People died in

the streets of floods, and

dykes burst, there wasn't help.

People were in stadium crying

out. It was before the whole

world. It was terrible.

ALL: Help, help. Men of our

citizens are not getting the

help they need, especially help they need, especially in

New Orleans, that is unacceptable. Bush's response

was seen as too little, too

late. People began connecting

the dots saying the same people

that brought us Baghdad brought

us Hurricane Katrina, and he

never recovered politically. George W. Bush

sitting here would agree he

made mistakes, he's sthon that by by changing course on some

issues, like Iraq. In end it

was the meltdown of the US

economy that did President Bush

the most damage. The economy is

facing the worst catastrophe

since the great depression, the

military is overstretched,

America's standing in the world

is at an all time low, the

President leaves at the worst -

with the worst popularity of

anyone since Harry

anyone since Harry Truman. Some

still say the President's

reputation, like Truman's might

be redeemed by history It's

possible George W. Bush's

reputation in the longer term

will be better than the one we

see today n the same way that

Ronald Regan was widely carric

atured as a buffoon, in the

same way Ronald Regan was seen

as a good if not great as a good if not great

President. By a record 90% Americans feel they are moving

in the wrong direction, it hasn't happened before, they

are angry, they want him

gone. He is gone now. There'll

be a lot of people that will

say, "Have a great time in

Texas". You are watching 'ABC

News Breakfast', the top

stories, reverse of ABC

Learning say they are working closely with the Federal

Government and the banks to

keep the company's childcare centres open. centres open. The company has

been placed into voluntary administration, with one

billion in debt. ABC centres

provide care for more than

120,000 children. US President

George W. Bush warns the

transition period to Barack

Obama's inauguration could be a

dangerous time for national

security. The outgoing

President said he will have a

discussion with President elect Obama next Obama next week about the

financial crisis and the war in

Iraq. The Bank of England has

cut interest rates by 1.5%,

which is the biggest reduction

in more than 25 years,

following a grim forecast by the International Monetary Fund

for 2009 that advanced

economies will shrink by the

largest amount since the World

War II.

War II. And for a look at the

National papers we are joined by Tim Costello, Chief Executive officer of World

Vision Australia. Good morning

Great to be in here. We know

world vision is in Congo, we'll

talk about that in a little

while. You have a lot of news

to get through in the papers. I

whipped through, and Obama, steering Washington in a fresh

direction is a big one. I had

calls from calls from every continent of

the world friends saying, "We

are rejoice", it was the first

international election, it was

like a global President. You

were rejoicing too. I was, I

must admit. The Africans on our

staff are over the moon, Kenya's called a national

holiday. Yes. Obama said the

Millennium goals to cut Millennium goals to cut poverty

will be America's goals,

there's a hope, you can smell

it. We forget race is the

subtext of everything in

America, when a black President

breaks through, it's like the

shackles fall off, they go,

"Have we at last solved the

issue" Are expectations so

unrealistically high that

people will be disappointed

eventually Inevitably. The

trick in life is managing trick in life is managing expectations, and a President with high expectations with

global warming and debt. Bush

has left future generations of

America with 50% of debt to GM

perform. Crowded agenda. He'll

disappoint. At the moment I'm

celebrating in the hope and the

rest of the world s you can

smell the hope. It's been an

amazing thing to watch. What

caught your eye at the moment Brian

moment Brian Burke charged with

corruption, and most of us have

been following the tentacles of

this corruption thinking,

"Surely they'll cut it out",

it's like surgery over there

where they have another go and

another, and deal with it.

It's taking long I thought it

was over. It keeps raising its

head, claiming people on both

sides. They are charge at this stage. Absolutely. Ian stage. Absolutely. Ian

Campbell, a Liberal Minister

For Environment lost his

position in the Howard

Government over this. You keep

getting ripple effects. That

story West Australians, but the

rest of Australia are watching.

You have close political connections with your well-known brother Peter

Costello, policitians of all

stripes must shifr in their

boots when they hear a name

mentioned, another matter

investigated by the courts. It is

is extraordinary. In politics

you have friendships and

relationships, he now it a set

of friendships and

relationships which literally

many political death, and they

do shiver, absolutely. Moving

on, one of your lead stories,

childcare limbo for 100,000

kids with ABC Learning in

trouble. If I was a working

parent, I'm a parent, my kids

are grown, I'd be worried about are grown, I'd be worried about

jugging how I will get to work

and get the child into care. It

does strike anxiety at the

heart of this contract we have

to say work, your kids are

going to be looked after. It's

very worrying. The factor that

it was getting so much money in

terms of Government subsidies

for so long, and the fact that

it's collapsed. Yes, it's a

slow moving train disaster that we knew would happen, we knew would happen, we've

been reading it all the time,

wonderring, and I think the

important guarantees the

Government are giving are

really important to be heard,

in financial meltdown, when institutions everywhere are

failing, and it goes right to

the heart of the home, my child

care place, it's very personal. Julia Gillard will

join us on the program this northern, we'll talk about

this. The questions arise now this. The questions arise now

about the roll of large scale

private enterprise childcare in

this country, and that's

clearly a key question for

Julia Gillard, what are your

thoughts on that. I think

there are some things we'll

rewrite the whole rules on,

when Wall Street failed we go,

"The rules didn't work, Main

Street homes are gone", when

childcare centres fail because

we troughed the market we'll

rewrite the rules saying, "That's

"That's not working, there

needs to be rules around

fundamental guarantees", we are

in this process of rewriting

them. That's a new rule book

that we'll have to fine. Hard

to do when you have an open market and open business

system, and there's not rules

and regulations put on any other part of the business

world when it comes it, "Pangs

or how big a company can --

expansion for how big a company expansion for how big a company

can get. I I may be the brother

of the ex-tresher , but I never

heard of Fannie Mae or Freddie

Mac until it collapsed. Where

was the reg eye lags, why

weren't we in there with

private enterprise, was George

W. Bush asleep at the wheel.

This is an extension of that

philosophical question when do

we intervene, what was we intervene, what was the regulation. We should talk

about the situation in Congo,

we report a worsening of the

situation at the moment. What

can you update us with. It's

unstable. I was there 12

months ago, in Goma, I tubinged

to Hutu militia leader, who was

-- talked to Hutu militia

leader who said the Rwandans go

across the border across the border taking

Coltan, it's in every mobile

phone. That comes into the

Congo, and rips it out. You

have neighbouring powers

destabilising, the Hutu tootsy

Rwanda disaster, and the

innocent people, vision is

there caring and feeding them.

It is unstable. Having been to

It is unstable. Having been to

Darfur, the worst humanitarian

crisis is on the Congo, it's

gone under the radar, 5 million

deaths. What is the commitment

of World Vision. We are

distributing food, it's the

supply line, pipeline to keep

people alive. Our duty is

always to the staff. When

there's fighting you can't send

them in. That's why order them in. That's why order is

fundamental to them doing

relief. You are not getting

help from Rwanda, they have a

hand in stirring this up,

doesn't T There's no doubt

about that, They have not

learnt from their own horrific

experiences. The ill feelings,

particularly of a Tutsi

majority Government towards the

Hutus go to the '94 genocide,

you can sort of understand

that. The Congolese Government that. The Congolese Government

used the Hutus as their front

line, as their army to stir it

up. So the run are needs

control of this so we can get

to the refugees. Do you think

you L I hope so, we say never

again after Rwanda, and it

happens. You see the convoys

going down the roads, people

with duns, it's like is it going to happen again. Absolutely. We'll stay

in contact with you about this. Think

Think you so much. A reminder

about the website where you

can watch the entire program

streamed live every morning,

you are watching 'ABC News Breakfast', Julia Gillard

joining us on the program, stay

watching us, back with you

after a short break. I'm

Virginia Trioli. I'm Joe

O'Brien, see you soon.

Reverse of ABC Learning

call for a $60 million lifeline

as parents of 120,000 children

nervously wait to if the

centres will remain open.

Barack Obama gets his first

intelligence briefing as George

W. Bush warns his replacement

that the economic crisis will

not pause to let the new

President settle in. The most President settle in. The most

dramatic interest rate cut in

Britain for a quarter of a

century as global markets

stumble amid a dire growth

forecast from the International

Monetary Fund. And a century to

the little master Sachin

Tendulkar gives India a strong

start to the fourth and final

Test in Nagpur.

Good morning, it's Friday, 7

November, I'm Joe O'Brien. I'm

Virginia Trioli. The top story

today on ABC News breakfast,

it's more than $1 billion in

debt, founder Eddie Groves says

he has no ide