Scandal-hit Spain PM denies graft claims

SPAIN'S Prime Minister Mariano Rajoy has denied allegations that he received undeclared payments from his ruling party, as he sought to douse a major corruption scandal.

Rajoy vowed on Saturday not to resign despite the publication of documents purportedly showing secret payments to him and other top party officials, branding the damaging reports "harassment".

He promised to publish full details of his income and assets, speaking at an emergency meeting of his conservative Popular Party as angry demonstrators outside called for him to step down.

"I have never received nor distributed undeclared money," he said, adding that he would publish online "statements of income, patrimony and any information necessary" to refute the allegations.

"I commit myself personally and all of my party to maximum transparency."

Rajoy, 57, was speaking out for the first time since being named in the scandal which struck at a tense time as the government imposes tough spending cuts on Spaniards suffering in a recession.

Last year he defied speculation that the country would need a financial bailout only for the political scandal to erupt in the new year.

Leading centre-left newspaper El Pais on Thursday published account ledgers purportedly showing that donations were channelled into secret payments to him and other top party officials.

The newspaper said the alleged fund was made up of donations, mostly from construction companies, adding that such payments would be legal as long as they were fully declared to the taxman.

Rajoy said the ledgers were false.

The allegations fuelled anger among Spaniards suffering in a recession that has thrown millions out of work.

"We must not allow Spaniards, of whom we are demanding sacrifice to think that we do not observe the strictest ethical rigour," Rajoy said.

Protesters say ordinary Spaniards are being made to pay for an economic crisis brought on by the collapse of a construction boom which many blame on corrupt politicians and unscrupulous banks.

As Rajoy spoke, demonstrators yelling "Thieves!" gathered near the party headquarters, kept at some distance by police barriers.

An online petition at change.org calling for Rajoy to resign, launched on Thursday, had gathered nearly 650,000 signatures by Saturday afternoon.

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French gay marriage law clears hurdle

FRANCE'S National Assembly has overwhelmingly approved the first and most important article of a controversial law that will allow gay couples to get married and adopt children.

Deputies voted 249-97 in favour of article one of the draft legislation, which redefines marriage as being an agreement between two people rather than necessarily between a man and a woman.

Although the proposed law still faces at least another week of parliamentary scrutiny before a final vote scheduled for February 12, the ease with which it cleared the first hurdle indicated it is almost certain to emerge unscathed from the debate.

The article approved on Saturday was supported by deputies of the ruling Socialist Party, who enjoy an overall majority in the Assembly, other leftists and Greens as well as at least one member of the UMP, the main centre-right opposition force.

"We are happy and proud to have taken this first step," Justice Minister Christiane Taubira said. "We are going to establish the freedom for everyone t o choose his or her partner for a future together."

UMP deputy Philippe Gosselin said the government was forcing through legislation that France did not want.

"Today it is marriage and adoption. Tomorrow it will be medically assisted conception and surrogate mothers," he said in comments that reflected the strength of feeling among opponents of the government's plans.

Opinion polls suggest a clear majority of French voters support the right of gay couples to wed and a narrower majority favour them being granted the right to adopt as couples (gay men and women can already adopt as individuals if approved by social services).

Massive demonstrations across the country have underlined that those who oppose gay marriage feel very strongly about the issue and President Francois Hollande has been accused of pushing the legislation through without proper consultation.

The Catholic church has been heavily involved in mobilising opposition and protests were scheduled to take place again on Saturday in towns and cities across France.

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Illegal fireworks blamed for road collapse

A TRUCK that exploded and caused an elevated stretch of highway to collapse in central China, killing 10 people, was loaded with holiday fireworks that were illegally produced and transported, authorities say.

Local authorities have shut down the company that made the fireworks, Hongsheng Fireworks Manufacturing Co Ltd, and detained four company officials following Friday's blast, state media reported on Saturday.

It remained unclear what set off the fireworks as they were shipped eastward on a major highway through Henan province. State-run China Central Television said witnesses believed a collision caused by heavy smog might have triggered the blast, which occurred about 90 kilometres west of the ancient city of Luoyang.

The Ministry of Public Security said Hongsheng, based in the neighbouring province of Shaanxi, had illegally produced the explosives, packaged them in disguise and contracted with a trucking company unlicensed to handle hazardous commodities.

It said the factory had failed to check the credentials of the trucking company's personnel.

The state-run China News said the explosives had been declared as general commodities.

Preliminary investigations blamed the explosion for the collapse of the 80-metre stretch of the elevated highway in Mianchi county, sending trucks and sedan cars plummeting 24 metres to the ground, according to a statement by the provincial government of Henan.

Most of those who were killed died from the fall, CCTV said. Eleven people were injured.

Photos by state media and television footage showed hunks of concrete, overturned trucks and crumpled cars in the debris. In one photo, a truck's back wheels were perched at the edge of a shorn-off section of the highway.

"It was horrible. It was horrible," survivor Hou Chunlin murmured from his hospital bed in an interview by CCTV.

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Palestinians evicted from West Bank camp

PALESTINIANS and activists have been forcefully removed from a new camp near a West Bank village, after a third attempt at the novel form of protest against Jewish settlement.

An AFP correspondent said the army used tear gas and violence on Saturday to remove hundreds of people who had set up four temporary huts and three tents near Burin, south of Nablus in the northern West Bank.

The correspondent added that journalists were also forcefully removed from the site. He said the army made arrests, but was not aware of injuries.

A spokesman for the army was unaware of the eviction, but said there was "a violent and illegal riot taking place near Burin. Approximately 150 Palestinians were gathering and hurling rocks at IDF (Israel Defence Forces) soldiers, who are responding with riot dispersal means."

Earlier in the day, residents and activists set up what they called "the neighbourhood ... Al-Manatir", activist Abir Kopty told AFP.

According to Kopty, the name means "the traditional stone huts Palestinians built in their agricultural lands, which were used as shelter for the watchmen of the fields".

"Burin lost a lot of its land to the settlements around, Har Bracha and others, and is subject to settlers' terror and attacks on the people," she said.

She noted that settlers had thrown stones at village residents and activists from afar before the army got involved. The correspondent said that after the eviction, one of the structures was taken away by a group of them.

An Israeli officer had threatened AFP photographer Jaafar Ashtiye as he documented Saturday's events that he would be arrested at his home during the night.

A military spokesman said in response to an AFP call that such remarks were inappropriate, and that he would investigate the allegation.

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Bones could reveal England's lost king

Men dressed as medieval knights pose for pictures in Leicester at a site believed to hold the skeleton of medieval king Richard III. Source: AFP

THE fate of England's last king to be killed in battle will be decided this weekend when scholars gather to determine whether a skeleton found buried under a council car park is that of King Richard III.

In September, the Leicester City Council social services car park was dug up on a hunch by a historical society that the king's body was buried there, in what was a friary, 500 years ago after he died in battle.

A body was found and months of painstaking DNA tests are expected to show it is more than likely the skeleton found is that of the king. Scholars are gathering at Leicester to study the evidence gathered for a conclusive ruling which is to be announced Monday.

But indications are already strong thanks partly to Shakespeare.

The playwright described the king, who ruled in 1485, as having a hunchback and being killed with a cleave to the head and arrow in the side.

Archaelogists and local officials announce the possible discovery of the skeleton of Richard III at Leicester. AFP PHOTO / Gavin Fogg

The skeleton found was confirmed to have had a curvature of the spine and a battle wound to the skull.

If the highly anticipated announcement is correct, history could be rewritten, with calls to conduct further tests on two bodies buried at Westminster Abbey.

King Richard has been much reviled throughout history courtesy of Shakespeare, with claims he killed his brother and his brother's two sons, to take the throne.

The two sons were thrown in the Tower of London shortly before Richard became king; bones of children found in 1674 thought to belong to the two boy princes were buried in the Abbey with an inscription of their sarcophagus claiming they were murdered by Richard the Usurper.

Archaeologist Mathew Morris of the University of Leicester at the likely site of the grave of Richard III. AFP PHOTO / Gavin Fogg

But if the bones from the Leicester carpark are Richard's then DNA tests on the children's bones may also support some theories they did not belong to the princes and at least open the debate as to whether he was a murderous king at all.

Richard died during the battle of Bosworth in the War of the Roses, between the House of Lancaster and the House York.

If shown to be the king, the skeleton is expected to be buried at Leicester Cathedral although some are calling for him to be buried alongside other monarchs at Westminster.

The key players in the plot, clockwise from top left, King Richard III; the princes in the tower he is supposed to have killed, Edward V and Richard, Duke of York; the Tudor who took the crown, Henry VII; Sir Thomas More and William Shakespeare, who both wrote of the scandal; and Queen Elizabeth II who has refused genetic testing on what are thought to be the princes' bones.

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LNP threat to sue tobacco companies

Big tobacco has moved into the legal sights of the State Government, with Health Minister Lawrence Springborg saying smokers were "putting pressure on our already burdened system", and indicated legal action was possible. Source: The Courier-Mail

HEALTH Minister Lawrence Springborg has left the door open to launching lawsuits against tobacco companies for the cost of smoking-related illness to Queensland Health.

As exclusive new figures reveal scores of Queensland children are regularly being exposed to passive smoking from their parents, Mr Springborg also raised the prospect of even tougher laws to control smoking.

Mr Springborg said smokers were "putting pressure on our already burdened system", and indicated legal action against tobacco giants was possible.

Latest estimates show the cost of smoking to Queensland society was $6.3 billion in health costs, lost productivity and premature death.

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$200 on-the-spot fines fines - and increased chances of harming their child's health - not enough to stop parents smoking around kids

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"Options for legal action would need to be considered based on specific advice but Queensland Health would welcome any opportunity that assists in addressing the costs of smoking on the health sector," said Mr Springborg.

One in seven deaths in the state are due to smoking, according to latest Queensland Health figures, with an average 3422 deaths a year.

Moves to turn the legal screws on tobacco companies were backed by Professor Mike Daube, who chaired the Commonwealth's committee that recommended plain packaging for tobacco products.

Prof Daube, president of the Australian Council on Smoking and Health, said it was time state governments considered US-style legal action against the companies.

Smoking in Queensland: By the numbers.

Major US tobacco companies in 1998 agreed with 46 US state attorneys-general to give them $200 billion over 25 years and settle lawsuits for treating sick smokers.

Prof Daube said: "We have known for decades that cigarettes are a wonderfully efficient killing machine. State governments should . . . emulate the US states that won hundreds of billions of dollars by suing tobacco companies for the costs of smoking."

In addtion to exploring legal action, Mr Springborg said the State Government was also prepared to consider tougher laws on smoking.

Smoking bans already exist for indoor and outdoor public places, as well as tough restrictions on retail advertising, display and promotion of tobacco products.

Anti-smoking groups have lobbied to extend laws to limit the number of outlets selling tobacco, and make smoking a classifiable element in movies.

Figures released to The Sunday Mail show since new laws were introduced in Queensland in 2010 making it an offence to smoke in a vehicle with a child under 16 years, 1412 drivers had been slapped with a $200 on-the-spot fine.

"Should we and could we go further, I am prepared to look at options with my inter-state colleagues," said Mr Springborg.

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Iran rial hits all-time dollar low

IRAN'S currency has plummeted to an all-time low, registering a more than 21 per cent drop in a span of two weeks against the US dollar, currency tracking websites and money changers say.

The rial was traded at between 39,000 and 40,000 per US dollar on the open market on Saturday, down from about 33,000 two weeks ago, according to money changers contacted by AFP.

It had briefly dropped in late January to 37,000 per US dollar amid rumours that central bank head Mahmoud Bahmani could be sacked because of his failure to shore up the rial.

The devaluation comes with Iran facing a growing shortage of foreign cash because of international sanctions against its central bank and vital oil sector over its disputed nuclear program.

Uncertainty over stalled negotiations with the UN's atomic watchdog agency and world powers over the nuclear standoff has added to controversy over the rial, according to local media.

The currency was traded at 12,000 in late 2011, prior to the introduction of tough Western sanctions on Iran's oil and banking sectors.

The official US dollar rate in Iran has been fixed for several months at 12,260 rials, but is reserved for official government business. Parallel to the open market, another rate of 24,550 rials is reserved for a few companies importing food or other goods judged essential.

Iran is suffering from heightened geopolitical tensions over its nuclear ambitions and the effects of draconian Western measures curbing access to its reduced oil exports.

The West fears Iran's atomic program is aimed at developing nuclear weapons, but Tehran insists that its activities are peaceful.

In addition to Western sanctions, some analysts and politicians blame the government for what they call mismanagement and failure to feed the market with sufficient foreign currency, stoking the currency plunge and high inflation.

The government, meanwhile, has promised to take measures to support the rial but so far there has been no sign of the pressure on Iran's currency easing.

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Ten workers die in Russia building fire

A FIRE has ripped through a new Moscow building's underground parking lot, killing 10 migrant workers and injuring 13 others who had been working and living there.

All those who died on Saturday were citizens of Tajikistan, Moscow police said in a statement. It said they were killed after a rubbish heap on the floor they were working on caught fire, but the cause of the blaze itself was under investigation.

Several million migrants from Tajikistan, Uzbekistan and Kyrgyzstan - former Soviet republics that are now Central Asian nations - have come to Moscow in search of work. While many are employed in the city's burgeoning construction industry, many work and even live on sites with nonexistent safety standards.

The Interfax news agency reported that Tashir Construction was responsible for the building's completion, but quoted company spokeswoman Marina Gaze as saying the building was finished. She denied that the victims were company employees, and said the company would have to "clarify" who they were and why they were there.

The Federal Migration Service of Russia told the Itar-Tass news agency that routine checks at the building had revealed serious migration law violations that were being investigated by the agency.

The fire erupted at 1pm local time and took nearly two hours to put out.

Russia has a poor fire safety record. The government's Emergency Services department says nearly 14,000 people died from fires in 2009, the latest year with complete records.

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China 'must modernise' before global role

CHINA'S new leadership will focus on modernising the country before it increases Beijing's role in international affairs, a top official has told the Davos forum.

Senior Chinese planning official Zhang Xiaoqiang told economic and business leaders gathered in the Swiss ski resort that the whole world would benefit if China completed its development program.

"I think that the new leader of the Chinese government and the Communist Party has emphasised the strategic agenda for China in the future is to realise the modernisation of China," Zhang told the World Economic Forum on Saturday.

"And of course for the largest developing country itself, modernisation must be a great contribution for the human beings' progress and development," said Zhang, a deputy director of China's National Development and Reform Commission.

Zhang was taking part in a panel at the annual World Economic Forum that discussed China's future global agenda, with other members including former British prime minister Gordon Brown and former Australian prime minister Kevin Rudd.

China's once-in-a-decade leadership transition is due to take place at a key congress in March, after the Communist Party in November chose current Vice President Xi Jinping to take over the reins from current President Hu Jintao.

Brown, British premier from 2007-2010 and now a UN special education envoy, argued that China should take a more prominent role in global affairs given that it would soon become the largest economy in the world.

"China should now want to play its rightful role in what is not a unipolar world any more but a multipolar world," he said. He added that the world economy was growing "far slower" than it should because of a lack of cooperation.

But Zhang said China was already playing a global role, and urged patience.

"In fact China already takes a lot of efforts in many global challenges, such as dealing with the international financial crisis, the government changes, food security," he told the forum.

Zhang said his nation would "continue to play an important role as a responsible developing country" and wanted to "build up more global development partnership."

"Particularly we first want to promote the common development within the developing countries, but this also will contribute a lot to the whole world's peace, progress and prosperity," he said.

International analysts widely expect China's fast-growing economy to overtake the United States in terms of gross domestic product, or total size, some time in the first half of this century.

But they also see the United States as likely to remain wealthier on a per capita basis given China's huge population of 1.3 billion, while that of the US currently stands at about 315 million.

Rudd, a Mandarin speaker who was Australia's prime minister from 2007 to 2010, warned however of an arms race in Asia fuelled by increasingly nationalistic territorial disputes in China's backyard.

"Economic globalisation does not, as a matter of inevitable mathematical logic, extinguish political nationalism," said Rudd.

"In our part of the world where you've got the biggest arms race unfolding in recent global history, that's the Asian hemisphere, there are important other factors which we need to respect."

Meanwhile Brown - who was introduced to the Davos audience as having led a G20 summit in 2008 that "saved the world from the brink of financial meltdown" - warned that lessons had not been learned from the global debt crisis.

"I think we will have financial crises on a regular basis over the next 30 or 40 years," he said.

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Former premier leads in Czech vote

LEFT-LEANING former prime minister Milos Zeman is leading in the race for the largely ceremonial post of Czech president.

With the votes from more than 50 per cent of polling stations counted on Saturday, the outspoken Zeman was leading with 57.62 per cent of the vote while his opponent, conservative Foreign Minister Karel Schwarzenberg received 42.37 per cent.

Czechs are electing the country's president in a direct popular vote for the first time, choosing a leader to replace euro-sceptic President Vaclav Klaus.

Zeman and Schwarzenberg, a bow-tie wearing aristocrat, are facing each other in a runoff after finishing as the top two candidates in the first round two weeks ago.

Klaus' second and final term in office ends March 7. The new president will be sworn in the following day.

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