Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
Disclaimer: The Parliamentary Library does not warrant the accuracy of closed captions. These are derived automatically from the broadcaster's signal.
7.30 Report -

View in ParlViewView other Segments

(generated from captions) were injured when the blast

ripped through the crowded

terminal. Philanthropist and

chairman of CSIRO Simon McKeon

has been named Australian of

the Year. He was honoured for

his extensive charity work.

Jessica Watson was named Young Australian of the Year.

That's ABC News. Stay with us

now for the '7:30 Report' .

We will leave you with We will leave you with tronga

zoo's latest edition. -

addition. Kipenzi was born 10

days ago. Her name means

'Precious one' in somewhat heelie.

I've lost my $25,000. Today

on the 7:30 Report - the

financial planners who left their clients high and dry. their clients high and dry. It

gold bullion in front of me. We was like dangling diamonds or

regret any time when client investment expectations are not


This Program is Captioned

Live. Welcome to the program. Tracy Bowden. That story later

but first to Canberra where a

short time ago Melbourne

businessman and philanthropist

Simon McKeon was announced the

Australian of the Year. The

55-year-old had a successful

career as a lawyer and

shifting his focus to investment banker before

encouraging the corporate

community to help those in

need. Simon McKeon is current ly

ly chairman of the CSIRO and is also involved in Red Dust role

models which works with remote

indigenous communities. Back in 1993, he set for speed sailing in inland

Victoria. Simon McKeon joins me now from Canberra. Simon McKeon, first of all

congratulations and can I ask what does this mean to you? Tracy, it's extraordinarily humbling. I've been with all the other

finalists today and learnt

their stories and why I've been

chosen I've given up trying to

answer. That I know ite it's a

wonderful opportunity for me to

tell the Australians the sorts

of things that have inspired

me. You were viewed as

Macquarie Bank. You decided to potential chief executive of

go part time and shift your focus towards philanthropy.

What prompted that decision? Look, I guess ever

since I was a young boy growing

up in one of the lower

socioeconomic suburbs of

Melbourne I was someone who not

only saw need but saw ways in

which individuals, community service organisations, churches, whatever, responded

so effectively to need. For me, one didn't have to

intellectualise it, it was

intellectualise it, it was just

an obvious thing to. Do I've wanted to fit a lot of things

into my life but I didn't want

to leave it too late until I to leave it too

had seriously connect ed with community. Australians rightly

or wrong ly are seen as being less philanthropic than other

countries. Do you think that is

right and why might that

be? Well, I challenge that

firstly. I think that the US at

the moment has an extraordinary

or is experiencing extraordinary generosity

amongst the very, very wealthy. But I think when we look at most Australians they're extraordinarily generous,

certainly financially. We only

have to see what happened in

spofns to the tsunami, and - response to the floods at the moment. My

experience is actually that

Australians are looking for

ways to help. You talked about if flood ifrtd and the fact

that corporate - effort and the

fact that corporate sauce getting involved. Do you think

that is a good model? Look,

when a calamity such as the

flood situation has as we have experienced in so many States experienced in

occur s, we need exv every sector to be working together

to do their bit. So Government, clearly the non-for profit

sector, and business all backed

up by us as individuals. There

is no room for egos and I am more important than you. It is

a matter of a very important

cooperative effort. Can you

give us an example of the sort

of work you're doing and the

areas you're focusing on? I am

a bit of a jack of all

involved in a number trades. I support and am

causes. And generally just working alongside extraordinary

Australians who are leading the

charge. But if I can mention

one I am chairman of a lilt organisation called Business for Millennium Development it encourages Australian business

where possible to operate in

the developing world, the third

world. Not so much to be a give

or a philanthropic organisation

but just to do what it does

best - namely supply goods or

services but in a third world setting, not in Australia

necessarily. And I have just

seen some wonderful things that

our little organisation is in turn catalysing at this point,

particularly in Papua New Guinea. You suffer from multiple sclerosis and you're a

chairman of MS Research

Australia. You've said you a

condition. Can you explain certain fondness for your

that? Tracy, I don't talk often

amy McMS, it is not they am

embarrassed, I really am not at

all: I have had a very easy ride. I was initially 10 years ago when a couple of

really nasty things happened to

me and I didn't know what was

to happen in the future. But

since then, body is in pretty good shape. I since then, miraculously my

don't really therefore talk

about it all that much. But the

reason I'm fod fond of it is

I've had my moment of

have been like experiencing of what it might

have been like for much of my

physical capacity to have been

it is cut down. As a result of that

it is very difficult for me to

take any day for granted. You

now have another hat to wear - Australian of the Year and

historically this position

involve s people campaigning and use ing their year. How are

you hoping to use the next 12

months? I am passionate about a

number of cause s ranging from

the environment to overseas aid and medical research, et cetera. But I think what I've

tried to say a few moments ago

in accepting the award is that

I really just want to share my story of having experienced so story

much joy at getting involved,

really getting dird under the finger nails if you like by not

just writing out a cheque but spending time with the community sector. It is a

wonderful sector. It does

incredible work, has amazing

people in it. I wouldn't do it

if it wasn't fun and fulfilling and it's been terrific. Simon

McKeon, best wishes for year

ahead. Congratulations again and thanks for speaking to us Thanks. Australian of the

Year there. Now tale for anyone thinking of

managing their own superannuation. Dozens of

retirees have been left in

limbo after taking the advice

of financial planning Prosperity Advisers, now in voluntary administration. The

investors were convinced to place their superannuation nest

eggs in high risk, so-called

Mezzanine Finance schemes which have either stalled or

certainly swallowed their

capital. Their claims against Prosperity Advisers could amount to more than $77 million. Meanwhile has been sold back to the

original directors under an

almost identical name and is

still open for business. Sarah

Dingle reports. With its calm marina surrounding national

park and 237 hole golf course,

Nelson Bay on the mid-North

coast of NSW is prime retirement real estate. Thank you. But at least one retiree

finds himself unable to enjoy

its charms. We have to watch our expenditure very, very

closely. In 2005, then BHP

employee Matt y more el was

trying to ensure a comfortable retirement. His financial

planner, Prosperity Advisers,

recommended investing in a

large residential development

at Nelson Bay. So these are

the Aqua Apartments: These are

the Aqua Apartments they've

lost my $25,000 in. The

resort-style Aqua apartments

project suggested by his planner promised a pretax

return of more than 34%. It

was virtually like dangling diamonds or gold bullion in

front of me. Unfortunately I

realise now that I was caught

at a vulnerable moment, I

didn't have the time to sort of

consider everything properly and she was persuasive and very determined to get my signature on the

dotted line. The unit es

couldn't find a buyer and by mid-2000 8 the developer PCG

capital has gone into

liquidation. It was one of

three major investment s

recommended to Matty more el by Prosperity Advisers which

failed. So what was the total amount of money you lost? The

final sum came up to about

$100,000 - 1,625,000. That is the That is the ones listed

down there. They're the

investments that we lost our

money on. There with the

crosses. And in total it came

to? $200,000. Down the road,

Tony and Carol Johnson have a

similar story. We have lost

money on six in investments

and. Six almost. So the strike rate is bad. Like Mr More el,

Prosperity Advisers advised the

Johnsons to invest their super

in high risk Mezzanine Finance

schemes. So-called because investors are second in line if

projects fail and it comes to

recovering any money. Prosperity Advisers

pocket add lump sum commission

for each mezzanine scheme

sold. We asked for moderate risk products. They recommended - They recommend that a that a moderate portfolio wouldn't be required to get us

through our retirement. So at

what point did you find you

were in high risk kblaez Sean finance? finance? T>>z word was there

but there was no explanation

about it. We didn't realise. We

were led to believe that we

were led to believe that there

was no great risk to our

capital. As well as the Aqua

Apartment, all three retirees

in invested in a Perth development development called Riverside

and another trust which

collapsed in 2006. Prosperity

Advisers sold these investments to at least 60 other creditors,

include ing the NSW State

Treasurer Eric Roozendaal, who

reportedly lost tens of

thousands of dollars. You

actually went to Riverside pier

in Perth to have a look at the

development. What did you find? We found there was a

crane that had been there for

about five years. Some piers

had been put in. And the rest

of us it was just nothing

there. They took holiday snaps

but the situation was no joke.

In late 2003 when their concerns with Prosperity

Advisers began, Carol John son

multiple sclerosis. Of course had been diagnosed with

we were concerned with other

things at around this time of

our lives, we trusted them to

do the right thing by us and obviously they obviously they weren't. They

were selling a product rather than having our interests

really as their major concern. Both the John sonce

and Matty Morell went to the financial Ombudsman's service which upheld their claims, finding that Prosperity Advisers owed the three more

than $300,000 for misselling

investments. Before they

could take any legal action, on

the 6th of October last year,

Prosperity Advisers in Newcastle placed itself in voluntary administration. Kun

kun kun was its chief executive

- Alan McEwen was its chief

executive. Ite been a

time and there's been I guess fail nuclear part of the

portfolio. Fail ure in part of

company or its directors? In the portfolio but not of the

terms of investment portfolios,

as I say in a urm in of

occasions they - in a number of

occasions they haven't met expectation. By then potential claims by claims by unsatisfied

Prosperity clients had reached

$77 million. At creditor s

expressed their outrage to meetings, representatives

administrators Smith Hancock.

Some creditor hepatitisive s

like this lawyer fold Hancock

could have done much more. I

thought there would have been more forensic work undertaken

and I guess in principle my

main problem was that the administrator administrator seemed to not adopt a sufficient ly sceptical

approach to what he was being

told. Three weeks after administration administration began, the

company was sold ba back to the

same directors including Alan

McEwen. It was there on the

market for anyone to acquire.

There Baz detailed process that the administration went through. It has been done

within the boundaries of the

law. However, to ordinary

people, particularly those who lost money through the investment, seeing the same

group of people operating a

company with much the

company with much the same name

can doing much the same business I

can understand why that could cause them great heartache and

concern. To sweeten the deal for creditor, the directors of

Prosperity Advisers agree ed to

pay for a Supreme Court court

case against prosperity's

inshires dexster. ASIC, the

financial omentd and Alan McEwen all git gaetion represented their McEwen all told creditors this

first best chance of recovering

any money. They mightn't have a

good case anyway. But Prosper ity seem ity seem to think they have. There is a slight possibility of getting

something back. It is one of

three disputes Prosper ity has

on its blooks. Un until they

settle any slee, these investor

s can't take any action. You

bought the company back and you have dodged the immediate

threat of legal action, do would say something about that

doesn't seem right? I am not

sure what you mean by dodgying action. There is a process that any sort of immediate legal

is continuing. All we needed

was the breathing time to

enable us to progress our legal

action against the

insurer. ASIC and the administrators declined to be

intervieweded for this story.

Newcastle is still in

operation. Alan McEwen told the ABC he believes the litigation against Dexter alone will

likely stretch to another 12

months. Meanwhile unsecured

creditors are left wondering if

there's any point in taking

their concerns to the

or. My arguen'ts and my claims

are full y justified but if

a moral victory. Unfortunately nothing comes of it it is only

a moral victory. Unfortunately moral victories don't put bread

on the table. Kor ol could

ends up in a home early. We

just hope that doesn't happen.

Fit does, that is extra that we could need to get

proper care. The lost of

$200,000 plus certainly didn't

help our finances at all. That

report from Sarah Dingle. The

NSW Government's fire sale of the State's electricity assetings may prove to be the final nail for Kristina

Keneally. In the past week, a parliamentary inquiry has revealed

could reap less than half a

billion dollar force State,

well below the 5.3 billion

first trumpeted by the Government. The inquiry is expected to expected to decide later this week whether to have eight former broad directors from the

State's two biggest power companies arrest and forced to

give evidence on why they were

so alarmed by the sale, they resigned on mess. - en masse.

What are you trying to

hide? I am asking you to apply your mind to answer the question that is put

to you. I acknowledge that I

underestimated the level of

interest in this. That is not answering the question answering the question with

respect. This inquiry is about

getting to the bottom of that

stink, steam k mess. My

interest is to nact the best interests of the taxpayer. Andly not have retention value or anything

- You're a lying clown and you

are a disgrace, an absolute

disgrace. Just remove that

person. After 16 years in power, there's a certain

unhinged quality to these last

dying days of Labor Government

in NSW. We're now just over

month before the Government

goes formally into care taker

mode. What keeps me awake at

night is the damage that Kristina Keneally and Eric

Roozendaal can still do to the

State before they go into a

period where they're no longer

able to make the sorts of crazy, incompetent and misdirected decisions we seen in recent times. But

desperate midnight scramble to

sell off the State's multibillion electricity assets

last month at fire

has been universe ally

condemned as a monumental blunder. The scheme is fundamentally a corrupted

scheme. And it's not second

best or third best. It's so bad

that - if Parliament were

sitting today, I think you would see the would see the deal stymied and

stopped. The sale so alarmed

eight board directors of the

two State power companies old

sold off in the deal they resigned en masse last month resigned en masse

but those same directors now face the prospect of being arrested around forced to

appear at a parliamentary

inquiry into the sale after

refusing to give evidence

without legal indemnity. It's

out of control. It is

ludicrous. Nobody in the history of the NSW Government

without legal immunity. In fact has been compel ed to

none of the ance witnesses

appear ing before the inquiry

into the sale have any of the

usual protection of parliamentary privilege.

result of the Premier's

decision to shut down

Parliament just one day after

the sale went ahead. It

appeared a deliberate atempted

to gag the critics but to gag the critics but the Premier insist it was just bad

judgment. I acknowledge that I

made a mistake in

underestimating the level of

transaction and the need for public interest in

scrutiny prior to the State

election. Now no-one can make a

mistake. That mistake has led

Premier to a stand-off between the

Premier and the inquiry. Will

you not provide them with an

indemnity? , I won't because I

don't - Because you have a lot

to hide. Bit hasn't stopped the

inquiry revealing profits from

the sale, maybe as little as

$34 0 million. Just a fraction of the trumpeted by the government. It

does leave the State with

residual risks. But they

they're not new risks. It doesn't derisk the State. Under

pressure, even the Treasury pressure, even the Treasury Secretary Michael sherry gan conceded there were serious

flaws in the Government's so ul

cad Gen-Trader model. The Gen

Trader option is the next best

available: Dst it available: Dst it is the same

model rejected by the UK as a

dub just two years ago. Just

before he was drummed out of

Parliament he had a plan which

would have reaped the State $15 billion, the critical fundstor

the State's long neglected

infrastructure, in particular

Sydney's congested roads and

crumbling public transport system.

villages on the way out. They

didn't want Barry O'Farrell to

come in where he could sell the

electricity assets an then have

all that money in spend to keep

mim h him in office for 12

years. They deknee it

absolutely but the NSW Labor

right machine is the most

ruthless in the country without

a doubt. If we had st chance to

deal with many shortfalls that only have been quanderred because we got the model wrong

and because the Government pursued it withricless

abandon. The State Treasurer

spent the last

the sale with whiteboards and

flow charts. We took the advice

at the time under the circumstances some two years

ago it was the best option

available to the Government to

protect the time of NSW without

having to fund future power

straitions to project the trit's triple #5678d credit

writing. Even if this had some merit, voters are not

listening. It's showing a

comfleet wipeout for Labor

the next election. But at this

stage it's looking like 13 seats instead of 20. The

Opposition has promised to Opposition has promised to do

what it can to unscramble the

sale once in government. But

while Liberal leader Barry

O'Farrell may well be the new

big white hope of the the side,

he will also have to lift with the

Opposition that stopped Premier

Iemma's energy re forms going

ahead in 2008. No-one is going

come out of come out of this with clean

hands. The NSW in - the

situation in NSW is may be a victory to the Liberal

Party. Finding a collection of

long lost silent films in garage in Tasmania is the stuff of dream force the National Film and Sound Archive. The archive has saivend restored

more than 130 films made at the

turn of the 21th century including some of the old including some of the old esz footage shot s on the street in

- on the streets.

Brsh There's some of the

oldest surviving silent films

in the world. And for the first

time in more than time in more than a century,

these snipts of cinematic history are once again delighting Australian

audiences. These films were

made at the very beginning of cinema. So they are like nothing else you've ever seen. Saved seen. Saved from lying dormant and disintegrating in a garage in Tasmania, the films have

been restored by the National

Film and Sound Archive, and re released to the silver screen.

The world audience is

literally hungering for what is

going to come next. Some of the

films are thought to be rest to

the rest of the world. Some are

in bet ever condition and some

are just so f lovely, people

just melt when they see

them. This . Th>> one is going

to be one of the main cure aetdor at the National

Film and Sound Archive Meg

Labrum cess criebed the

collection as a stroefr trough of films from of films from countries like

Australia, England, America and France. The The film s are

fabulous because they're not

only black and white, they're sensiled colour. That means the

films were frame by frame films were frame by frame Col ords. . Anyway're mad. Anybody may have been indulging in nothing not quite natural. One of the most amazing ones,

though it's 10 minutes from a

14 minute film was made in

England in 1904. It's beautiful

black and white film called

Living London and it's just

simply the camera filming what was happening in the streets of

London at this time. It's one

of those things it was lost and

has now been found. The films

were collected at the tourn of

the 20th drentry. By Tasmanian family who toured

their vauderville show around

Tasmania and the world. The maf

marvellous chorics showed

hundreds of short frms as part

of their act with 130 of the

films survive ing today. Other companies were starting to

advertise film s would be shown

at the threat they're

night. Competition was

something that the korics had

to be extremely wary of.

father there with the

camera. John koric is the son

of Leonard koric who was the

only boy of eight the original truep. The father

drops us in Perth and everybody

proud as ever entered the

street and got their photograph

taken and they were on the

street that might and well the

numbers in the feeter. So that

was gimmick to get their

numbers up. It's rarity, it is

something that everybody is

also on the hunt for. The Perth footage is thought to be one footage is thought to be one of the earliest reports of life on the streets there. The

marvellous chorics disbanded in 1914, with their highly flammable film collection,

ultimately ending up in John ultimately ending up in John koric's garage. That was about about ten miles of nitrate film

stored in the garage, some of

it without condition US Ju in

the tin and to the open. If I

ever caused a minor fire there,

I would run like hell because

nitrate film, boy does she

goes! It's Aladdin's lamp.

Every box that you open release

s a new genie into the world.

That is a great gift. When

the director of acrobatic troops 'Legs on the Wall' pat

Rick Nolan first saw the films

he was inspired to create a show featuring the collection.

You feel very privileged I

guess in term of being anal to

work with these people who are

now of course all ghosts, the films

films themselves have bizarre, crazy energy and that

is great to be around: You

get a huge thrill. As one who

loves films, I to be in the

audience and see them come

alive again. I to hear the

audiences respond and also I to

see now that the films are

starting to inspire something

new. For John koric, the

restoration and rebirth of his

family's heritage is a tribute to the to the marvellous korics who

were within act ahead of their

time. To think that such a

wonderful- old silent films

have been made available to

people today. It's marvellous.

That's when you bear in mind

their first show about 19 O2 is

1 0 8 years ago. A long time

ago. Long before my time!

Fantastic find and that 'Legs on the Wall' dance

production called My production called My Bicycle

Loves You is heading to Perth

in February 56 its Sydney at

the Sydney festival. And that

is the program for tonight. We

will be back at the same time

tomorrow. But for now


Closed Captions by CSI Come on, up. I've been thinking about breakfast a lot recently, in particular because I've just come back from Malaysia, and over there there's no differentiation between breakfast, lunch and dinner. So you're eating some pretty hardcore stuff for brekkie, like curries and nasi lemaks, you know, spicy stuff. And back in the day when I was younger, we'd get congee for breakfast. But now I'm pretty much a full-blown Aussie, so it's toast, scrambled eggs, pancakes. And it just got me thinking how intriguing it is why people eat what they eat for breakfast. Good morning, Emmanuel. (FRENCH ACCENT) Good morning. You're here to cook breakfast with me. Well, yes. It's the first injection of butter. (LAUGHS) Of course! You know, some people said to us, "You French only eat croissant breakfast." OK. Well, that's not totally true. the oldest bread, As a French person we probably eat like the leftover bread, and we have this for breakfast. we put into a toaster a Sunday special. A croissant would be just Oh, really? Really? Yep, yep. your arteries every single day. So you're not clogging up Just on the weekends. No. Yeah. Just on the weekend you can get bad. Well, I've never made bread before. So what are you making today? What? I wanna make bread for you. Baguette viennoise. I was going to make a white bread yeast, salt. Yes. which is made with water, flour, make something more, er..." And I said, "Oh, well, I want to Naughty. Naughty? (BOTH LAUGH) With more bad things in it? a plain flour, Well, first I've got here an ordinary plain flour. Fresh yeast, it's always better for bread. So you're just trying to crumble it with a little bit of flour here. Smell the yeast. Smells beautiful. It's nice, huh? Now, I'm gonna put here salt, sugar. So in the bowl Emmanuel's got half-and-half, and the yeast is there. and that's the sugar and the salt, Cos the salt will kill the yeast. little bit of milk, To protect the yeast at first, one egg. use egg in bread, do you? So Emmanuel, you don't always No, you don't. the brioche, This is probably the beginning of eggs, a little bit of butter. because it's got a little bit of Forgot the butter. Sugar. A little bit of butter! How could you? gonna put the rest of the milk. Now it's all combined, I'm just a really sticky dough. Yep. It's quite a sticky, where the dough get very elastic. Yes, we want to go into the point on the table. OK. And it doesn't stick anymore table so you can have a good look. So I'm actually gonna do it on the your hand. Now, you just want to flour Mm-hm. I'm just going to knead the dough. And very gentle, like, method. It's a really interesting, Yes, it is. Kind of slapping it.