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(generated from captions) This Program Is Captioned Live. Tonight, tough

lessons and sober findings. The

of report into Queensland's summer

of deist zaers. This is a

bluefront for us to manage

future disasters better. We owe

it to those

learn the lessons. The deal it

- to deal to avoid a US

default. Deadly crackdown, the

Syrian Government attacks its Syrian Government attacks

people with traps and tanks and

the next step in protecting

Australia's airports. Good

evening, welcome to ABC News.

I'm Virginia Haussegger. It was

one of the most devastating natural disasters in the natural disasters

nation's history. Today the inquiry

floods has come up with 175

recommendations to help deal with the similar catastrophe. The interim The interim report focuses on

Brisbane's Wivenhoe dam as the

State's most important and most

dangerous piece of public infrastructure. It found the

dam was simply too full and can

more water should have been

released earlier. The 220-page

interim report was compiled by

lightning speed in time for the next

heard evidence for 7 weeks over

6 months and took 660

submissions. Most of its

recommendation were aim at the

State Government. I are intend to implement them without exception. This is a blueprint

for us to manage future

dezatsers better. We owe it to

those people who suffered in

this disasterer to learn the lesson scpedz act on them. It

found the State Government and

statutory er authorities are

performed well but focused

particularly on the management of late water releases contributed

much to the city's flooding.

Brisbane's Lord Mayor at the

time wads Campbell Newman, now head of the State Opposition. Had Had I been Premier at the time

we would have acted and drawn

the dam down. The commission

found engineers at Wivenhoe dam

failed to take into account rainfall

rainfall forecastess as the dam

rose towards maximum capacity and potentially leaving the

State Government open to legal action. It's a question that

will have to be tested and I

seeking to test. The expect the will be

commission recommended improved standardised training for 000

call-takers. Some of the

saddest evidence heard was

about the castigation of a

woman trapped in her car on a flooded road with two children.

Donna Rice and her son Jordan

had been swept away by the time

help belate lade arrived. We are taking action as the

commission of inquiry has

recommended to train all of our call-makers perhaps more recommended to train all of our

appropriately. The people Grantham were angered by the appropriately. The people of

report, saying it gave no

answers only excuses.

recommended better warning

systems possibly sirens in

small towns like Grantham in

the Lockyer valley where 11

people died on 10 January. I

don't think lot of people would have lost their lives if we time. They wouldn't have. The have lost their lives if we had

commission will deliver its

final report next February. Of

weeks of political stalemate,

the US President has announced a breakthrough to end America's

debt crisis. Negotiated over

the weekend, the compromise would lift the US and deliver deep spending cuts but the drama isn't over yet.

The deal still has to be passed

by both chambers of Congress.

Party leaders walked the

corridors of Congress all

weekend searching for a way to

end Washington's debt crisis.

They could hardly have cut it

closer. There are still some very important votes to be

taken by members of Congress

but I want to announce the

leaders of both parties in both chambers have reached deficit and avoid default. In agreement that will reduce the

direct negotiations between the

Senate and White House, it was

agreed to end the dangerous

stand-off and lift the US

Federal borrowing limit beyond

next year's 20 12 election in

return for a trillion dollars

of cuts over 10 years with more

savings to be identified by a Congressional superer

commitmenty by November. Ewe

can assure the American people

tonight that the United States

of ama, will not, for the first

time in our history, default on its obligations. My message

to the world tonight is that

this nation and this Congress

are moving forward and we're

moving forward together. Both sides say they than they wanted to.

Republicans are unhappy about

potential cuts in defence

spending, Democrats didn't win

on the elimination of tax

breaks for the wealthy. Is

this the deal I would have

preferred? No. The US President

warned it's not a done deal

yet. The compromise has to survive votes in both chambers

of Congress with party leaders

likely to

right and left, the outcome

isn't certain. Republican

Speaker John Boehner held a

conference call telling his members this has been a battle and we've fought members this has been a long

valiantly. This process has

been messy and taken too long. The standing of both parties

through the gridlock. Congress and the President has suffered

gres has two days left to force

the votes through before the US

Government starts running out

of cash. The likelihood of an

end to the US debt crisis may mean more pain for some

Australians. The ANZ bank says

the deal clears the way for

higher interest rates. The RBA

meets tomorrow for its monthly meeting with anxiously awaiting the outcome meeting with home owners

but as finance correspondent

Phillip Lasker reports, new

soft economic data may stay the

Reserve's hand. Mechanic Adrian

Sarno knows how to keep things

humming along and he knows what

usually happens when interest

rates go up. Servicing can be delayed. As people over run their services. So he has

advice for the Reserve Bank if

it's thinking of raising

rates. With what's going around the world at the moment

and what's making headlines I

don't think it's really at the moment. Mfers, some of

spare whom supply Adrian Sarno with

spare parts, are screaming more loudly. Further interest rate

rises on top of what's already

there, on top of the high dollar and dollar and fiscal contraction that's going on, will hit the

industry with a

sledgehammerer. But the

sledgehammerer may have already

hit. A gauge of manufacturing

activity slumped to a 2-year

low in July as jobs and forward

orders dried up. Generally a

tough month for manufacturing. Many of those manufacturers supply manufacturers supply the

housing industry where new home sales showed sales showed their biggest

monthly fall in five years. It

might get tougher because some

analysts say the looming US debt deal

debt deal clears the way for

the Reserve Bank to turn its

attention to rising inflation.

It's a close decision but the

inflation numbers this past

week have led us to the view

that the that the RBA is most likely to move on rates tomorrow. The

world economy is very uncertain

and locally I think the Reserve has been vised by how the retail, retail, the manufacturing and construction sectors are weak

so we've got time. If the

Reserve Bank gets its interest rate decisions wrong, the vehicles in Adrian Sarno's

workshop won't be the only

things stalling. The veteran

Labor politician Clyde Holding

has died. Mr Holding was

Victoria's Opposition Leader

for a decade and a Minister in

the Hawke Government. When Bob Hawke Minister in 1983, he insisted

Clyde Holding be in his

ministry. As Aboriginal affairs

Minister from 1983 to '87, Mr

Holding tried but failed to

introduce legislation for uniform national land rights.

He did, however, manage to

transfer ownership of Uluru to

Aboriginal Australians and

fight against racism. It has

taken hold in some sections of

the community that ought to

know better. Mr Holding

retired from politics in 1998. He was 80 when he died. Kevin

Rudd is recovering in hospital

after an operation to replace a

heart valve. The Foreign

Minister was in surgery for four hours

four hours to change the valve.

His doctors say the operation

went well. They expect Mr Rudd

will make a full recovery in

around eight weeks. We expect

him to be walking tomorrow morning. Thereafter he'll be transferred to the

post-operative surgical ward

and I'd anticipate Kevin will

be discharged somewhere between

7 and 10 days henceforth. Doctors say the

Minister's bovine heart valve

should last for the next 15 to

20 years. On Saturday, we ran a story story about disability pensions

and showed vision of a range of people with disabilities.

However, we want to clarify we

did not intend to imply that

the people shown were themselves receiving disability

pensions. In fact, many of them

were not and may not have even

been eligible for pensions. The Syrian Government has been

accused of waging

on its own people. Troops

backed by tanks have killed

more than 100 people in an

attack on the city of Hama. It

was one of the deadliest days

in the 5-month uprising against

the regime of President Bashar

al Assad. Middle East

correspondent Anne Barker

reports. The city of Hama has

been under attack for weeks,

since record numbers of

protesters turned out against

the President Bashar al Assad's

regime. But now security have launched one of the bloodiest crack-downs yet since

the uprising began in Syria in

March. Amateur footage shows thick black thick black smoke blanketing

the city as tanks fire

indiscriminately into crowds of

protesters and residents.

Witnesses say snipers fired

from rooftops, shooting many people in the head and neck.

Hospitals were overwhelmed by

the number of wounded. The

Syrian Government has blamed

around groups for the violence

and accused local gangs of burning down police and shooting at least burning down police stations and shooting at least two burning down police stations and and shooting at least two soldiers. As a majority Sunni

Muslim community, Hama has long

been a target for forces loyal

to the ruling regime. This is

where President Assad's own

father and former President

sent troops in 30 years ago to

krings a Sunni uprising,

massacring as many as 20,000 people. Memories of that

crackdown have No Doubt fuelled

today's anti-Government

sentiment in Hama. Foreign

Governments too have joined the

condemnation. The US of all-out condemnation. The US has accused of all-out war against accused the Syrian of all-out war against its own people. And the US President,

Barack Obama, has vowed to find new

new ways to isolate the Syrian

President. President. Human rights groups

say at least 1500 people have

now been killed in Syria since

the uprising began. An Iranian

man who blinded a woman has

been saved from a similar fate.

The man at the centre of Iran's

eye for an eye case was shown

victim for mercy shortly before the punishment was to be

carried out. Ameneh Bahrami was

blinded when Majid Mohavedi

threw acid in her face after she rejected his marriage

proposal. A court ordered the

spurned suitorer be blinded in

both eyes but the victim changed changed her mind at the last

minute. I chose to forgive but

other may not. I thing it's a

wonderful thing to do when you

have the power. Mohavedi has

already spent 7 years in

prison. He'll only be released once once he pays his victim compensation. Mexican police

have arrested a key figure in

one of the most violent drug

cartels in the country. The man known as 'El Diego' was the

leader of a gang that

one of the main drug smuggling

routes into the United States.

Police say he's confessed to

ordering the murder of 1500 people including masterminding

the first ever car bomb

associated with the drug war which killed four people. 'El

Diego' was also responsible for

an attack on an American

consulate worker and her husband last husband last year. Christmas Island locals say they're

worried about the prospect of

detainees being forced on to

planes. The first group of

asylum seekers to be dealt with

under the Malaysia under the Malaysia deal will arrive on the island on

Thursday and the Government has

again acknowledged that it will

do whatever is necessary to

make sure the asylum seekers

obey orders. More from ABC

reporter Jane Norman who is on

Christmas Island. There were

joyful scenes at the Christmas

Island airport as these asylum

seekers were transferred to the mainland butter authorities preparing for a very different

reaction when a group of 54

asylum seekers is escorted on

to a plane bound for Malaysia.

First and foremost people will

be given an instruction to board a plane. We will be

obviously looking to people to

oboy that instruction. If it's not obeyed then we have security personnel. About 70

Federal police officers are on

the island but the AFP denies

reports they've been given any

special powers to force the

asylum seekers on to the plane

there's been unrest at dns in the past weeks and

Christmas Island locals are

concerned about what will

happen next. It's going to be

very disturbing for the people involved, both the asylum-seeker and

charged with removing them and

also for the community to be

exposed to that sort of dealing. It could be quite

problematic. The asylum

seekers are expected to arrive

on krips Chris on Thursday. While the Immigration

Department is aiming to transfer the group within a

72-hour timeframe, the could take weeks the first time around. around. Australia's busiest

airport is stepping up security

with the trial of full body scanners at Sydney's international terminal.

Airports in other states will

soon follow suit. Similar scans

overseas have fuelled heated

debate about privacy and health

concerns but authorities here

say the images are not graphic

and will boost airline safety.

If you think security atinate

national airports is already a hassle, this is hassle, this is what the futurer hassle, this is what the

futurer looks like. The Federal

Transport Minister was among

the first to give the new full

body scanners a try. We make

no apologies for doing what we

can to maker security our

number one priority. Recently,

body scanners in the US were

modified so they were no longer

able to capture images of passengers' genitals. Anthony Albanese

nothing to worry about. The

person and any of the features

they may have cannot be identified. By the way,

privacy groups don't like it. These scanners are going to

create at some point before you

get to a stick figure, a

genuine naked image of a

person. There's also been

concern the scanners could be a

health risk because they expose

passengers to radiation.

10,000 times through this

system is equivalent to one

mobile phone call. During the trial used when passengers trial stages used when passengers set trial stages they'll used when passengers set off metal detectors. They'll then

be given the option of a scan

or a pat-down by security staff

but once fully rolled out some passengers could be forced into

taking a scan. I think it

would be less invasive than a

full body pat-down for sure.

It may be an inconvenience but

I think it's a good

idea. Scanners will be trialled

at Sydney Airport from tomorrow

for almost three weeks then it's Melbourne's turn next

month before a planned national

roll-out. Had trial will cost pay $6 million. The Government

says it's a small price to pay

to increase passenger safety. A $100,000 reward has been offered to help solve a 3-decade-old Queanbeyan murder.

The 38-year-old mother of two

was shot while she worked in

her disposal store in 1979.

Detectives released this image

of a man last seen leaving the

score. Police say the was no

motive. The sakt to trial drug and Alcohol Court for children designed to keep young

criminals out of jail. It's arnew approach where

magistrates are directly

involved in the alcohol and

drug rehabilitation process. They'll meet the young

offenders every couple of weeks. These are young people

that are engaged in serious

offending behaviour and if we

can hopefully address their

drug and alcohol issues that

will also have a consequent

impact on lessening their

offending behaviour. The

involvement of a magistrate in overseeing rehabilitation s a

very positive move. Again, this

will help break the cycle of crime and incarceration for youth in youth in the Territory. The court has already had some

success interstate. The trial

starts next month. The wall

collapse of the late '80s will

go down as one of Australia's

worst business disasters and a

NSW wool grower says it could agrees happen again but not agrees with such a dire

assessment. Adrienne Francis

reports. It was a crashing fall

from grace. For decades the

nation rode on the nation rode on the sheep's

back, then in 1989 the market

collapsed. Our income halved

so we still had considerable

farm debts and I would lay most

of that at the feet of this

political debacle. Southern NSW grazier Charles Massy has spent

the past 10 years investigating

the collapse of the A story emerged that most

people weren't aware of and that

that was a political man-made

disaster that could have been

avoided. He says avoided. He says it start

would a minimum price of wool

set in 1974 by the Federal

Government but during the late

'80s the price was set too high

forcing the peak grower body,

the Australian Wool

Corporation, to buy up close to

5 million bails at auction. A

plal flaw where the growers

were making judgments about the future of their product should be the consumers. When

the crash hit the losses were

mammoth, totaling $12 billion

according to Mr Massy. In

today's terms that's 20 billion

so it makes every other business disaster Australian

history babies. He says those

industry bodies that played a

hand in the collapse need to be disbanded but Australian Wool

Innovation says lessons were

learned. The business has been restructured where the

shareholders, that is the

growers, have a vote on their board. But there is concern the heartache for wool growers

could happen again. We still

have generic promotion and

sadly I don't think we really have learned that lesson. Australian Wool

Innovation disagrees. 20 years

later, the industry has gone

full circleal with the wool

price again at record highs. To

finance now and the local and

Asian share markets surged

today in response to the debt

ceiling deal in the United

States. Alan Kohler has the

details. It was a good solid relief

and various gains of more than

1% around Asia today and we'll

see what happens on Wall see what happens on Wall Street

tonight. The US dollar fell

despite the happy press conferences in Washington because when because when they're worried

investors don't know what else

to do with their money but buy American Treasury bonds and US

dollars. When they're less

worried, as they are now, they

buy assets perceived as more

risky such as Australian

dollars. Arguably, there are

few things riskier than an

American dollar now but as

we've learned the past 5 years, markets irrational. Here is a chart of

what happens when sovereign

debt is downgraded by Standard

and Poor's as America's might

be. It shows the impact of 10-year bond years on AAA

downgrades by S&P, yields go

down, that is prices go up. In

other words, countries usually

benefit from a S&P down grade

because it's a signal for investors to buy, not sell

their bonds. There were solid

gains among the resource

leaders and banks today with

BHP and ANZ up 2% and retailers joined joined in, almost as enthusiastically. The Reserve

Bank can now perhaps cross off

US default from the list of

things to worry about but the

were data on the local economy

that would further push them to

keep rates on hold tomorrow.

The ACCI survey of business

expectations fell and so did

new home sales. Here's a graph

of the manufacturing index.

Anything below 50 indicates contraction so after a flirtation with expansion it's

contracting again and quite

markedly. That's finance. It

was a long shot but the weekend

loss now means there's not even the mathematical possibility of the Raiders reaching the

finals. As well as the loss on

the scoreboard, the New Zealand

game could mean the loss of

fullback Josh Dugan and second rower Bronson Harrison through

injury. They'll both have scans

during the week. The team wads

determined to put yesterday's

19-point defeat behind them.

While the finals are out of coach is clear. No reach, the message from coach is clear. No Doubt

they've got to - the players

still have to perform. If they

don't they won't be playing. The Raiders

the week preparing for Sunday's

game against the Knights. The Melbourne Football Club has

announced former player Todd

Viney will coach the team for the

the rest of the season after the sacking of Dean Bailey.

Bailey was in the last year of

his contract. The final straw

was the weekend's massive

166-point second-worst defeat of any team

in AFL history. I don't think

you could select a worse result

for someone running into the

last five or six weeks who's

being reviewed in the last six

or seven weeks in the season.

We'll do everything we can to

find the best possible

coach. Todd Viney has a long

history with the club, playing

233 games for Melbourne between 1987 and 1999. Freestyle swimming sensation James

Magnussen has shone on the championships in China. His

final leg of the medley relay

had Australia within

millimetres of upsetting the Americans. John Hayes Bell

reports. The swimmers of the

first three legs of the 4x100m

medley relay, Hayden Stoekel,

Brenton Rickard and Geoff

Huegill, had one man to thank

for their silvers metals. This

was another blistering performance from James

Magnussen. Australia was

languishing in 4th place until

a breath-taking finish by the

100m free style champion. He's doing it close. Oh, my

goodness. Australia's other

medal on the final night came

in the women's 400m individual medley. Stephanie Rice took bronze behind American Elizabeth Beisel and Britain's

mile mile mile. She's

clamouring for second. I think

she'll get - no, she doesn't

quite. Australia won only two

gold medals at a meet dominated by the United States. China

made the event's last big statement when 19-year-old Sun

Yang broke Grant Hackett's 2001

world mark for 1500erm. Grant

Hackett will be very nervous

right now. What a performance

he's going to do. It When it

comes to Formula One, McLaren's Jenson Button can almost be

banked on to win when the

conditions are slippery. The

British driver made all the

right choices to celebrate his

200th race. For some reason I

like these conditions. Don't

ask me why. It worked out again. German Sebastian Vettel

had a day he'd prefer to forget

but still came second. Mark Webber

Webber was fiths. Vettel leads the driver standings by 85 points. There was an unusual

twist to a run-out decision

against English batsman Ian

Bell on the third day of the

second Test against India.

Thinking Owen Morgan had struck

a four on the last ball before

tea, Bell headed for the

pustill havian but the ball

hadn't crossed the boundary

rope and wasn't dead. India

appealed and Bell was given

out. This is not going to be a happy situation here. The

tourist s were booed from the

ground. After talking with English management during tea,

India withdrew its India withdrew its appeal. Bell India withdrew its appeal. returned to the crease. He went

on to make 159 as England

finished the day almost 400

ahead with four ahead with four wickets in

hand. Taiwan's Yani Tseng has reaffirmed

reaffirmed her status as reaffirmed her status as the world's best female golfer

bedefending the British Open

title. Tseng had a closing

round 69 to be 16 under par, 4

strokes clear of American

Brittany Lang. At 22, Tseng's

the youngest player to win the youngest player to win four

majors. Now with a look at today's weather, here's Mark

Carmody. Good evening. Along the Federal Highway at the

moment the wattle is starting

to put on a fantastic show of

yellow and no wonder of a day like today which was a replica

of days passed. This morning it

dropped to minus s 3 at the

airport and there was a good

fog about but when it all

cleared it was fine and sunny,

reaching a warm top of 17. As the bloke used to say, there's

more. Wednesday we're expecting

a top of 20 which is 7 degrees

above the average August maximum, even now it's warmish,

it's 12. There's bait of cloud

about but the north-westerlies have died right away.

Australia is mostly free from

cloud which gave centres a

sunny, dry day but there's a band of cloud passing through

the bight and that cloud is

associated with a cold front

which will help push warm, dry, north-westerly winds that are being generated by a high in

the Tasman over some the Tasman over our region tomorrow. Tasmania

Virginia, August'ser weather

can be so variable. Sunny and

warm one day, wet and cool the next. Certainly and 20 is

almost unbelievable. I had to

do a double take then. Thanks, Mark. That's pretty exciting.

Before we go a brief recap of

our top stories tonight - the inquiry into the Queensland

floods has made more than 175 recommendation to help the State cope with any similar

catastrophe in the future. And the

the US President has unveiled a compromise deal to end

America's debt crisis but it

still has to be passed by

Congress. And that's the news

for now. Stay with us for more

on the blood report with a

special 7:30- flood report with

a special 7:30 live from Queensland. Closed Captions by CSI Tonight on 7.30 - Queensland's fatal floods. Was

the devastation avoidable and

could it happen again? What's

important to me is important to me is that any

changes that can be done ahead

of the wet season are

implemented now. I'm Paul

Lockyer returning to the

battered town of Grantham,

where I witnessed the full fury

of the January floods. Labor Party knives another

leader. We have to get out of

the Hackett of making it appear

to the world that faceless

union officials and others are

running the Labor Party. This Program Is Captioned

Live.