Gay couples wed in Utah after ruling

A US judge has struck down Utah's same-sex marriage ban in a decision that marks a drastic shift towards gay marriage in a conservative state where the Mormon church has long been against it.

Friday's decision set off an immediate frenzy as the clerk in the state's most populous county began issuing marriage licences to dozens of gay couples while state officials took steps to appeal the ruling and halt the process.

Cheers erupted as the mayor of Salt Lake City led one of the state's first gay wedding ceremonies in an office building about three miles from the headquarters of the Mormon church.

Deputy Salt Lake County Clerk Dahnelle Burton-Lee said the district attorney authorised her office to begin issuing licences to same-sex couples but she couldn't immediately say how many had been issued.

Just hours earlier, US District Judge Robert Shelby issued a 53-page ruling saying the constitutional amendment Utah voters approved in 2004 violates gay and lesbian couples' rights to due process and equal protection under the 14th Amendment. Shelby said the state failed to show that allowing same-sex marriages would affect opposite-sex marriages in any way.

"In the absence of such evidence, the State's unsupported fears and speculations are insufficient to justify the State's refusal to dignify the family relationships of its gay and lesbian citizens," Shelby wrote.

The decision drew a swift and angry reaction from Utah leaders, including Republican Governor Gary Herbert.

"I am very disappointed an activist federal judge is attempting to override the will of the people of Utah. I am working with my legal counsel and the acting attorney general to determine the best course to defend traditional marriage within the borders of Utah," Herbert said.

Late on Friday, the state filed both a notice of appeal of the ruling and a request for an emergency stay that would stop marriage licences from being issued to same-sex couples. It's unknown when the judge will make a decision on whether to grant the stay.

If the ruling stands, Utah would become the 18th state to allow gay marriages, said Jon Davidson, director of Lambda Legal, which pursues litigation on LGBT issues nationwide. That's up from six before the US Supreme Court last year struck down part of the Defense of Marriage Act that defined marriage as between a man and a woman. The District of Columbia also allows same-sex marriage.

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Khodorkovsky starts life as a free man

Kremlin critic Mikhail Khodorkovsky has arrived in Germany after being freed from a Russian prison. Source: AAP

RUSSIA'S most famous prisoner, Kremlin critic and former oil tycoon Mikhail Khodorkovsky, has begun life as a free man in Germany after his surprise pardon by President Vladimir Putin.

Khodorkovsky has been reunited with his son in Berlin, a spokeswoman for the former tycoon said on Saturday.

"The eldest son of Mikhail Borisovich, Pavel, has already seen his dad," a spokeswoman for Khodorkovsky, Olga Pispanen, said on Russian radio Echo of Moscow.

"They are now together in Berlin."

Khodorkovsky's parents, Marina and Boris, were also preparing to fly out to Germany to "finally see and hug him," the spokeswoman added.

Released on Friday after 10 years behind bars, Khodorkovsky is "feeling well" and will give a news conference on Sunday, she said, with the date and place to be confirmed later.

Khodorkovsky's 79-year-old mother, who has cancer, said she was taking sedatives to help her cope with the strong emotions sparked by his release.

"We survived grief but it is also apparently hard to survive joy," Marina Khodorkovskaya said in an interview broadcast on Russian state television on Saturday.

Putin stunned Russia on Thursday by revealing that Khodorkovsky had turned to him for pardon on humanitarian grounds, citing his mother's health.

In a head-spinning succession of events, less than 24 hours later Khodorkovsky was granted pardon, walked out of prison and flew to Germany in a secret operation worked out behind the scenes with Berlin.

Prison officials said Khodorkovsky had requested to fly to Germany, where his mother has undergone treatment before.

Putin's spokesman Dmitry Peskov said that Khodorkovsky was not forced into exile and was free to return to Russia.

Former German foreign minister Hans-Dietrich Genscher, who helped negotiate his release, arranged the flight for him on a private jet and picked him up at the airport in Berlin.

From the airport, Khodorkovsky was reportedly taken to Berlin's luxury Adlon Hotel near the Brandenburg Gate from which Genscher was seen leaving on Friday evening.

About 20 cameramen and photographers as well as two TV vans were waiting for a possible glimpse of the former tycoon outside the landmark hotel in sub-zero temperatures on Saturday morning, according to reports.

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Attacks in Iraq kill 4 police, 2 pilgrims

OFFICIALS say attacks in western Iraq and south of Baghdad have killed six people - four policemen and two Shi'ite pilgrims.

Police officials say gunmen in a speeding car opened fire at a police checkpoint in the western city of Fallujah on Saturday morning, killing four policemen.

And in the town of Latifiyah, 30km south of Baghdad, a mortar shell hit a group of Shi'ite pilgrims heading to the holy sites in the city of Karbala.

The pilgrims were commemorating Arbaeen, the end of 40 days of mourning following the anniversary of the death of Prophet Mohammed's grandson, Imam Hussein, a revered Shi'ite figure.

Medical officials confirmed the casualties. All officials spoke on condition of anonymity because they were not authorised to talk to media.

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Gunman had botched vasectomy: Neighbours

AUTHORITIES in the US are trying to determine whether a Northern California man's anger over complications he suffered from a 2010 surgery prompted him to go on a shooting rampage at a Nevada urologist's office, killing one doctor and critically wounding another before committing suicide.

Reno Police Lieutenant William Rulla said on Friday detectives were working to obtain Alan Oliver Frazier's medical records to learn more about his physical and mental health.

Frazier, 51, made it clear in a suicide note that he had planned the attack and that his "focus was on the physicians at the specific office," Rulla said. Police recovered the note at Frazier's home.

Investigators have declined to specify the kind of surgery he had or say whether the doctors he targeted had anything to do with it.

But a couple who lived across the street from Frazier at Lake Almanor, about 130 miles north of Reno, said the operation he had had was a vasectomy. They also said Frazier frequently posted complaints in an online chat group about the pain he suffered from what he claimed was a botched surgery.

An international expert in men's reproductive health care said that while it's uncommon, some men experience pain more than two years after a vasectomy.

Neighbour Mario Tognotti told The Associated Press on Friday that Frazier told him and his wife that he sought help from doctors for his pain and had approached a lawyer about the situation. Tognotti declined to comment further.

His wife, Jari Tognotti, told the Reno Gazette-Journal in an email Thursday that Frazier encouraged friends to learn more about the kind of painful allergic reactions that men like him sometimes suffered as a result of vasectomies. She said it involved "immune-type reactions while their bodies are trying to absorb the sperm."

Dr Paul Turek, president of the Society of Male Reproduction and Urology, said that while vasectomies remain among the safest forms of permanent contraception, there are potential short- and long-term side effects. He declined to comment on Frazier's case, but noted about 60 to 70 per cent of men who undergo vasectomies develop an allergy to their sperm in the form of "antisperm antibodies."

Turek also said it's rare but possible to experience pain more than two years after a vasectomy.

"Developing over time can be a low-grade discomfort in the scrotum that's basically relieved by reversals because it's due to congestion that causes back pressure," Turek said.

Any sperm allergy appears to be localised to the immune systems on reproductive tracts, he said, and antisperm antibodies have not been shown conclusively to have any significant effect on other organs.

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Former judge to head new Vic parole board

FORMER Victorian Supreme Court justice Bill Gillard QC will be the first full-time chair of the state's parole board.

Mr Gillard will head the new-look Adult Parole Board and is joined by community representatives Rudolph Kirby, Glenda Frost, Peter Harvey and Keith Wolahan.

Retired County Court judge and serving board member Frank Shelton will be deputy chair.

The state government has overhauled the parole system on the recommendations of former High Court judge Ian Callinan, who delivered a scathing review of the board's performance after a series of murders committed by parolees.

Until now, the board has been chaired by a sitting Supreme Court judge, most recently Justice Elizabeth Curtain.

Board members are now only allowed to serve a maximum term of nine years, while registered victims must be given at least two weeks' notice of a prisoner's parole release.

The government has changed legislation to automatically cancel parole for serious sex and violent offenders who commit further crimes.

Laws have also been passed making it a crime to breach parole, with a possible jail term added to any other time owing.

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Woman killed in three car Vic crash

A THREE-CAR smash in southern Victoria has killed a woman and injured a man.

Three cars collided and a motorcyclist skidded off the road on Phillip Island Road at San Remo on Friday afternoon.

Police say a woman aged in her 50s died, while a man in his 60s was airlifted to The Alfred hospital with non-life threatening injuries.

Meanwhile, a cyclist has died at the same hospital following an alleged hit-and-run collision a kilometre from his Melbourne home last month.

Brighton East man Julian Paul, 53, was cycling home on November 26 when he was hit from behind by a car, leaving him with severe spine and brain injuries.

He died in The Alfred on Wednesday night, police said on Friday.

A 31-year-old Moorabbin woman was charged a few days after the incident with failing to stop after an accident and failing to render assistance.

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NSW police officer nabbed drink-driving

A NSW police officer has been charged with high-range drink-driving.

The male officer, attached to Sydney's Central Metropolitan Region Command, was issued with a court attendance notice on Thursday for driving with a high-range PCA.

The man is due to appear in Orange Local Court on January 23.

A police spokesman said no further details would be released due to a policy change in the way such matters were reported to the media.

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Milky Way to be mapped in 3D

The European Space Agency has launched a project set to provide the mapping of the Milky Way. Source: AAP

THE European Space Agency has launched a project set to provide the first realistic three-dimensional mapping of the Milky Way.

As part of the mission, a highly precise telescope dubbed Gaia will orbit the sun at a distance of 1.5 million kilometres beyond the Earth's orbit.

The rocket was launched on Thursday on a Russian Soyuz rocket, taking off from a space station in French Guiana.

The aim of the five-year mission is to map more than a billion stars, thereby creating a three-dimensional map of their positions and movement in space.

Scientists hope the information obtained will help them to better understand the structure and evolution of our galaxy, thereby shedding light on how it came into being.

New data on the movement of stars is also meant to allow scientists to predict incidents like the meteorite that exploded over Russia in February.

The comprehensive map, expected to collate data filling the equivalent of 20,000 DVDs, is set to be completed in 2020.

The first useable scientific data from the telescope is expected in January.

An earlier attempt by the agency to map the Milky Way took place from 1989 to 1993.

Experts say the mapping technology used for Gaia is 50 times more precise than that of its predecessor.

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Work deaths stop Incitec bonuses

EXPLOSIVES and fertiliser maker Incitec Pivot is withholding management bonuses partly because of two workplace deaths.

Chairman Paul Brasher opened the company's annual general meeting by expressing sympathy to the families of the workers killed this year in Canada and Queensland.

"Whilst our safety objective was met in terms of number of recordable injuries, we tragically had two fatalities this year," he told shareholders.

"As a consequence, no short-term or long-term incentives were paid to management in 2013."

A truck driver in Canada and a New Zealand man working as a contractor at Mount Isa, in far north Queensland, were killed in 2013.

"Tragically, we suffered the loss of two work colleagues during the year and I want to express our sympathy to the families of the two men who were killed in those incidents," he said.

Chief executive James Fazzino said the tragedies were a "very sad loss".

"Any year with such tragic events is a failure," he said, adding 86 per cent of its work sites were injury-free in 2013.

"It illustrates that we must be more determined than ever to drive our zero harm culture."

Incitec Pivot's net profit in the year to September 30 fell by 27 per cent, compared with the previous year, to $372 million.

Mr Brasher said the failure to meet the profit target was also behind its decision not to award bonuses to management this year.

"There is no point in complaining about low fertiliser prices or a high Australian dollar," he said.

Incitec Pivot shares rose seven cents or 2.83 per cent to $2.54 at 1458 AEDT.

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Gaia space probe set for blast-off

A STG2 billion ($A3.72 billion) European probe that will map more than a billion stars in 3D is due to be launched into space.

British scientists and engineers have played key roles in the design and construction of the spacecraft, called Gaia.

The two-tonne robot is expected to blast into orbit on a Russian Soyuz rocket from the European space port in French Guiana on Thursday.

Its five-year mission is to pinpoint many millions of stars with unparalleled precision, and discover thousands of previously unknown objects, including exploding stars, planets orbiting other suns, and nearby asteroids.

Scientists also hope Gaia will yield clues about mysterious Dark Matter and Dark Energy.

The observatory will operate from a stable location 1.5 million kilometres from the Earth known as the L2 Lagrangian point.

Situated with the Earth shielding it from the Sun, the craft will be perfectly placed to observe the wider universe. As it spins slowly, two telescopes will sweep across the entire sky and simultaneously focus their light on the largest digital camera ever put into space.

The flood of data beamed back to Earth will be enough to fill more than 30,000 CD-ROMs.

"The results from Gaia will revolutionise our understanding of the cosmos as never before," said Professor Gerry Gilmore, from Cambridge University, the UK's principal Gaia investigator.

"Our understanding of what's out there has been driven by looking at what we can see. We've never had a genuine opportunity to look at everything, to know what's there, and to know where they are in relation to each other.

"We don't even know how much we don't know - there are sure to be objects out there that don't even have names yet, since we don't yet realise how strange they are."

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Toll wins Coca-Cola Amatil contract

Toll has won a $380 million contract to distribute Coca-Cola Amatil's products across Australia. Source: AAP

TOLL Group has won a $380 million contract to transport Coca-Cola Amatil's beverages across Australia.

The five year contract involves bulk distribution and interstate road, rail and sea transport, and nearly doubles Toll's existing revenue gained from this work.

Toll's head of contract logistics Bruce Wilson said the contract build on the company's existing relationship with Coc-Cola Amatil.

"As a long term supplier of transport services to the beverage industry throughout the Asia Pacific region, we look forward to working with Coca-Cola Amatil to improve their supply chain," he said.

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Big paper mill fire in Sydney

AROUND 100 firefighters are battling a serious blaze at a paper mill in Sydney, with the fire spreading from stacks of paper to a three-storey building.

Three ladder appliances were deployed on Thursday afternoon to pour water on the fire near Botany Road at Matraville.

Fire & Rescue NSW Commissioner Greg Mullins said the blaze had spread from paper stacks into an adjacent three-storey building.

"We're going to be here for many hours; it's quite a serious fire," he told Macquarie Radio.

Firefighters also had to battle burning oil inside a building.

Workers were evacuated from the site but no injuries have been reported.

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Cops deny 'Black Widower' link to WA death

DETECTIVES in Western Australia don't think a notorious killer dubbed "The Black Widower" was in Australia at the time of the mysterious death of a Perth woman nearly 14 years ago.

The charred remains of 24-year-old hospitality student Deborah Michelle Anderson were found in a burnt out car in a shopping centre car park in January 2000.

Police have been baffled by her death for more than a decade.

She told family she needed the car for a trip to the zoo but it was later revealed the car had been driven to Geraldton and back on the day she died.

Ms Anderson's family are convinced she was murdered and reports in Scotland suggested police are probing a possible connection to convicted killer Malcolm Webster.

But after initially refusing to confirm or deny they were looking at a link, a WA police spokeswoman said late on Thursday that they had not been contacted by Scottish police.

"Information suggests that Mr Webster was not in Australia in January 2000," the spokeswoman said. Late last week, Webster failed in his appeal against convictions for the 1994 murder of his first wife Claire Morris in Scotland, and the attempted murder of his second wife Felicity Drumm in New Zealand five years later.

Ms Morris died in the flaming wreck of a car after an apparent accident. But it was later shown she had been drugged, and Webster had staged the crash.

Ms Drumm was also drugged and left asleep in a car with a jerry can of petrol in the boot, but was awoken by a phone call before Webster could complete his plot.

Both women had several life insurance policies worth several million dollars.

Reports in Scotland suggested Webster fled to Australia after his failed bid to kill Ms Morris.

At the time of Ms Anderson's death, police said they were highly suspicious about the cause.

"We've got a girl that by all accounts isn't depressed, is enjoying life, is doing well in her course, (has) good prospects (and) is about 20-odd kilometres away from her home, dead," Midland detective Rick Weskin said.

"Anyone would be suspicious of that and we certainly are."

In 2011, Ms Anderson's aunt Kathleen Cox hired a psychic to travel from Britain to investigate at the crime scene, after saying they believed she had met foul play.

And Derek Ogg QC, the prosecutor who brought Webster to justice, said there could be more victims from the five years he spent in Australia before his return to Scotland in 2004.

"There's no rational basis for thinking that Mr Webster, for some reason, completely changed his personality during his visits to Australia," Mr Ogg told the Seven Network.

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Companies given time to respond to ICAC

The ICAC has recommended two NSW mining licences that were corruptly approved should be cancelled. Source: AAP

NSW Premier Barry O'Farrell has given the holders of corruptly-approved mining licences linked to former Labor powerbroker Eddie Obeid and other Labor figures one month to convince the government not to cancel them.

The Independent Commission Against Corruption (ICAC) on Wednesday released a report urging the mining licences for Doyles Creek, Mount Penny and Glendon Brook be cancelled.

The ICAC report comes just months after it handed down corruption findings against Mr Obeid, mining minister Ian Macdonald and former union official John Maitland.

The Doyles Creek licence was awarded by Mr Macdonald to Mr Maitland and a consortium of investors in 2008, allowing the former union heavyweight to turn his initial $165,000 investment into $15 million.

Mr Macdonald was found to have rigged a 2008 tender process by granting the Mount Penny tenement which covered land owned by the Obeid family who earned $30 million out of the deal, with the prospect of making an extra $70 million.

The ICAC found the approvals for the mines were so tainted by corruption the licences should be expunged or cancelled and any pending applications refused.

Legislation cancelling the mines could be accompanied by the power to compensate affected innocent parties, while the government should also consider confiscating money made from the corruptly-obtained licences, the ICAC said.

But Mr O'Farrell said he would give leaseholders NuCoal and Cascade Coal until January 15 next year to make their case as to why the recommendations shouldn't be implemented before taking action.

"The NSW government will then make a decision based on public interest," he said.

Although he would not comment on whether the government would consider seizing assets or profits, Mr O'Farrell said he wanted to "see an end to this sorry saga of Labor corruption".

But Greens MP Jeremy Buckingham said that giving the companies a chance to keep their licences was a "pathetic response, when strong and decisive action is necessary".

NuCoal Resources Ltd acquired the Doyles Creek licence in 2010 and will make an announcement to the market before the start of trading on Friday.

Chairman Gordon Galt said NuCoal was "extremely disappointed" with the ICAC recommendation.

Cascade Coal, which now holds the Mount Penny licence and the licence at Glendon Brook near Singleton, said ICAC's recommendations were unfair to both the company and its shareholders.

"Cascade Coal and its shareholders will be making its case to the government as well as considering all options available to vigorously protect its legal and commercial interests," it said in a statement.

Mr Macdonald also lashed out at the recommendations, saying the ICAC reports had been "extremely destructive for the NSW economy".

"This has created a level of uncertainty, negatively impacting upon the vital jobs and investment," he said in a statement.

He accused the ICAC of handing down findings based on hearsay, conjecture and speculation and said the process denied him basic natural justice and had defamed him.

Opposition Leader John Robertson welcomed the recommendations, saying he would support measures brought forward by the government in response to the report.

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Abuse victim's anger at church mediation

THE Catholic Church's response to sex abuse was "Towards Hurting" rather than "Towards Healing" one of the victims has told an inquiry.

The man said he had no faith left after being abused by three Marist Brothers at school and then participating in the church's mediation process Towards Healing, which he called a "sham."

He felt this way when he learned that the order of brothers withheld the fact that an independent mediator in his case actually worked for the Catholic Church.

The 49-year-old identified as DK, who was abused while a boarder at St Augustine's Marist College in Cairns from 1976-81, told the Royal Commission into Institutional Responses to Child Sexual Abuse of his desire to forgive, and to educate his children in the Catholic system.

But this had changed because of the process to which he was subjected.

In 1999, DK reported the abuse, which included one brother fondling him when he was 11, another watching him while he showered and a third, Brother Ross Murrin, whom he considered a friend, molesting him twice. Murrin is in jail for unrelated abuse offences.

He was offered a Towards Healing process arranged by Brother Alexis Turton, the Marist Brothers' professional standards director in 2010, with an "independent mediator", Michael Salmon.

DK found out later from a TV program that Mr Salmon was the director of the NSW Professional Standards Office (PSO).

He said this "made me really, really angry because I felt I was lied to".

Under the protocols of Towards Healing, which was set up by the Catholic Church in the early 1990s to deal pastorally with abuse victims, it is recommended that a PSO director not be a mediator.

The March 2010 mediation, which started on an angry note as DK confronted two brothers he believed knew of the abuse, ended amicably, with all parties agreeing to a settlement of $88,000. This was negotiated away from the mediation.

In a statement which he read, DK said the mediation made him feel "really dirty and filthy".

"From 1976 to 1981, I was sexually abused; there was horrendous physical abuse and there was control and emotional abuse by angry, cruel men, who ruled my life and had more control over me than my parents," he said.

He added that he had put his trust back in them for Towards Healing and, by three o'clock that afternoon: "I just felt that the same angry, cruel men had done the same thing to me 25 years later. It's the same abuse.

"I don't call it Towards Healing, I call it 'Towards Hurting'."

Under questioning by Angus Stewart, counsel assisting the commission, Br Turton admitted he had not formally handed the complaint to Mr Salmon, who as director of the Catholic Church's PSO, should have managed it, not mediated it.

Br Turton said he prepared a draft email to DK on February 22 explaining Mr Salmon's position in the church but he never sent it because DK happened to ring and he told him.

DK said that he was now experiencing healing because, although the documents before the commission were searing and painful to read, he was finally getting the truth.

The hearing continues on Thursday.

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Sattler suing Perth station for $500,000

Shock-jock Howard Sattler (R) is suing his former employer 6PR, claiming he was unlawfully sacked. Source: AAP

VETERAN shock-jock Howard Sattler is suing his former radio employer for more than $500,000, claiming he was unlawfully sacked for asking former Prime Minister Julia Gillard if her partner Tim Mathieson was gay.

Mr Sattler caused a national outrage this year with an interview in which he posed the question to Ms Gillard.

Ms Gillard responded that the notion was absurd.

"You hear it! He must be gay. He's a hairdresser," Mr Sattler continued, sparking a vitriolic backlash and his termination from Fairfax Radio's 6PR station in Perth the next day.

Mr Sattler, who is suffering from a form of Parkinson's, has lodged a writ with WA's Supreme Court claiming he was unlawfully dismissed, and the manner of his sacking has made it impossible for him to find work.

Through his lawyer Bruce Havilah, Mr Sattler has claimed more than $500,000, calculated on six months remaining on his contract and a promise of another three-year deal to come.

The writ reveals Mr Sattler earned $190,000 in the first year of his contract and $195,000 in the second year, plus $100 for each live and recorded commercial read on air.

"I am confident that the circumstances will clearly show my claim is justified," Mr Sattler said.

"I will continue my fight for justice with the same tenacity I have fought for others."

The claim will contend that Ms Gillard's office had accepted in writing that the interview would be candid and that it would touch on controversial topics such as same-sex marriage and religion.

"He asked her to respond specifically to a myth about her de facto partner where he voiced that myth," Mr Havilagh said.

"He denies that the contract was breached ... or if it was breached, it was capable of rectification by an an on-air apology."

Mr Sattler said he was only able to launch the legal action through the generosity of others and also had to cut back on medical treatment because of his strained financial position.

But he only regretted asking the question because it led to his sacking.

"It never occurred to me at the time that this would lead to me being sacked," Mr Sattler said.

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Pressure grows for NSW pub lockouts

EMERGENCY service workers and doctors are demanding NSW government action to stop the carnage caused by alcohol-fuelled violence.

NSW confirmed it was the capital of drunken violence at the weekend, with 540 arrests during a trans-Tasman operation meant to curb the problem.

The NSW opposition is renewing its calls for a trial of reduced trading hours and lockouts in the state's licensed venues after the success of those measures in Newcastle.

The Last Drinks coalition, a group representing concerned emergency department staff, police and paramedics, has joined the chorus.

Its spokesperson, Australian Salaried Medical Officers' Federation president Dr Tony Sara, says the pressure is firmly on the government.

Dr Sara says a trial in select trouble spots would show positive results in a short time.

He said measures in Newcastle cut alcohol violence by 37 per cent and emergency department admissions by 26 per cent, so were worth a try in Sydney.

He challenged NSW Premier Barry O'Farrell to explain what harm a trial could do, believing the government was under the thumb of the powerful liquor lobby.

"How could it hurt?" Dr Sara told AAP.

"It might reduce profits a bit, but either they lose some money or we continue to have people hurt and maimed.

"I think the community comes before profits."

But Mr O'Farrell rejected calls for tougher laws, arguing authorities had done their part.

"Police and government agencies are doing their bit and the hotel industry, by and large, is responsibly getting on with their task," he told reporters on Monday.

"What we now need is for the community to come to the party."

NSW Opposition Leader John Robertson says police tell him privately they support tougher measures such as pub lockouts.

Police Commissioner Andrew Scipione agreed that cultural shift was crucial.

"Police will never arrest our way out of this problem," he said.

"If we don't start today we will lose a generation of young people to this love affair with alcohol."

Mr Scipione said a 23-year-old man who was punched and stomped on in front of dozens of revellers at Bondi Beach at the weekend was no longer in a critical condition.

The Australian Hotels Association NSW would not comment.

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Aurizon to cut rail fleet, cancel project

FREIGHT and coal haulage operator Aurizon will take a hit of almost $200 million as it cuts the size of its rail fleet and cancels a major Queensland project.

The company, previously known as QR National, is reducing its locomotive fleet by 28 per cent and cutting the number of wagons by 12 per cent in a bid to bring down fuel and maintenance costs.

Aurizon's downsizing will appear as an asset impairment expense of $130 million to $150 million in its accounts for the first half of the 2013/14 financial year.

The company will also incur a $47 million impairment on recent changes to several projects, including Glencore Xstrata's decision to stop the Wandoan project because of weakening thermal coal prices.

Aurizon had proposed a 210 kilometre Surat Basin rail corridor from the Wandoan mine in a joint venture with the Swiss multinational.

"There's not any job losses that are related to that," chief executive Lance Hockridge told reporters on Monday.

In July, Aurizon launched a second voluntary redundancy program in a bid to save $230 million by 2015.

Some 248 voluntary redundancies have since been accepted.

"I think the bulk of it is done," Mr Hockridge said.

More than 2,000 employees have left the company since it was privatised by the former Queensland Labor government in 2010.

Mr Hockridge said he was "cautious but confident" about the thermal coal sector, as well as the future of projects in Queensland's Galilee Basin, where Aurizon has agreed to develop a rail project for the GVK-Hancock joint venture involving billionaire Gina Rinehart.

Aurizon shares dropped two cents to $4.68.

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Kiwi extends gains over Aussie dollar

THE New Zealand dollar has extended its rally against its trans-Tasman counterpart as the divergence between the neighbouring economies makes New Zealand interest rates more attractive.

The kiwi rose as high as 92.49 Australian cents on Monday, the highest since October 2008, trading at 92.40 cents at 5pm in Wellington from 92.26 cents on Friday in New York.

The NZ dollar traded at 82.78 cents from 82.56 cents at 8am and 82.63 cents on Friday in New York.

The kiwi has been making fresh five-year highs against its Australian counterpart as the slowing economy in Australia and burgeoning local recovery underline the different stages of the interest rate cycle each nation's central bank is in.

New Zealand's Reserve Bank is keen on hiking rates next year, while Australia's is sitting on record-low rates to keep the stimulus coming.

Investors will be looking to see any hint of an easing bias when the minutes to this month's Reserve Bank of Australia policy meeting are released on Tuesday.

"Their central bank is quite determined to get the Aussie dollar lower to get a more sustainable mix in their economy," said Dan Bell, head of corporate sales at HiFX in Auckland.

"It looks like the kiwi/Aussie could get up to the 95 cent level" over the next month before it "runs out of puff," he said.

The kiwi fell to 85.04 yen at 5pm in Wellington from 85.31 yen on Friday in New York, and was little changed at 60.16 euro cents from 60.19 cents.

The trade-weighted index was steady at 77.92 from 77.90.

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Wesfarmers sells underwriting operations

DIVERSIFIED conglomerate Wesfarmers is selling its Australasian insurance underwriting operations to Insurance Australia Group (IAG) for about $1.85 billion - its biggest ever divestment.

Wesfarmers managing director Richard Goyder said the sale followed approaches by a number of parties that were interested in the underwriting business.

Wesfarmers had spent a lot of money in recent years getting the Australian and New Zealand insurance underwriting business into much better shape.

"But it hasn't delivered satisfactory returns on average over the last five years to Wesfarmers," Mr Goyder told reporters.

"And over a period of time, if any of our businesses don't generate satisfactory returns, we'll look and see what we do with it."

Mr Goyder said the sale of the insurance underwriting business also reduced some of the risk in Wesfarmers' portfolio of industrial, mining, retail and financial businesses.

There was inherent volatility in the insurance business because of catastrophic events like earthquakes in New Zealand, and Cyclone Yasi.

The sale does not include the insurance division's broking operations in Australia, New Zealand and the UK, and its Australian and New Zealand premium funding businesses which will remain part of Wesfarmers.

Wesfarmers expects a pre-tax profit of about $700 million to $750 million from the transaction, which will be included in the financial results for the second half of the 2014 financial year.

Mr Goyder said Wesfarmers had not yet decided what to do with the proceeds from the sale.

The sale is subject to regulatory approval, which is expected to take several months.

The acquisition comprises Wesfarmers' underwriting companies trading under the WFI and Lumley Insurance brands, and a 10-year distribution agreement with Coles.

IAG chief executive Mike Wilkins said the acquisition was a compelling strategic fit for IAG.

"Acquiring these businesses supports the group's strategic priorities of accelerating profitable growth in Australia and sustaining our market-leading position in New Zealand, and we expect attractive EPS (earnings per share) accretion," Mr Wilkins said.

IAG expects the acquisition will lift earnings per share by a modest amount in the first full year of ownership and by at least five per cent in the second year.

The acquisition will be partly funded from a $1.2 billion placement of shares to institutional investors, at $5.47 per share.

The integration of Wesfarmers' underwriting businesses is expected to generate pre-tax net benefits of about $140 million a year, with a significant proportion derived from reinsurance.

The integration process is expected to be substantially complete within two years, with pre-tax integration costs of $120 million.

Shares in Wesfarmers were 20.5 cents higher at $41.51 at 1515 AEDT. IAG shares are in a trading halt until the start of trading on Wednesday, December 18. They last traded at $5.70.

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Eight more dead in Bangladesh riots

10 people have been killed in Bangladesh's violence over the execution of an Islamist party leader. Source: AAP

EIGHT more deaths were reported in Bangladesh in intensified riots and protests sparked by the execution of a top Islamist leader, as the prime minister warned of a crackdown on the violence.

Police said Islamist supporters torched houses and fought running street battles with officers in towns and cities during a third day of unrest over the execution of Abdul Quader Molla for war crimes.

Two people were killed on Sunday in the northern town of Patgram and another six elsewhere overnight, police said, as Islamist supporters enforced a nationwide strike over the execution of Molla, a senior leader of the Jamaat-e-Islami party.

"Police fired shotgun pellets to disperse the Jamaat protesters who torched at least 20 houses belonging to ruling party supporters," government administrator Habibur Rahman told AFP of the violence in Patgram.

Molla's hanging on Thursday night triggered fresh unrest in the impoverished country, already reeling from political violence in the build-up to a deeply divisive national election scheduled for January 5.

Twenty people are now known to have died and dozens more have been injured in the clashes since Thursday between outraged Jamaat activists and police and between the activists and supporters of the ruling Awami League.

Prime Minister Sheikh Hasina warned of strong action against the rioters, saying "we have shown enough patience. We will not tolerate anymore."

"People of the country know how to reply to these atrocities (the latest violence), we (government) also know how to respond to, control you (the rioters)," she told a rally late on Saturday to commemorate those killed in the 1971 war of independence from Pakistan.

Molla, 65, became the first person to be executed for his role in that war. Jamaat called the hanging a "political murder" and said it would avenge it.

Molla had been found guilty in February by a much-criticised domestic tribunal of having been a leader of a pro-Pakistan militia that fought against the country's independence and killed some of Bangladesh's top professors, doctors, writers and journalists.

He was convicted of rape, murder and mass murder, including the killing of more than 350 unarmed civilians. Prosecutors called him the "Butcher of Mirpur", a Dhaka suburb where he committed most of the atrocities.

Of the six killed overnight, police said three died in the southern town of Companyganj, two in the northern town of Ramganj and one in the coastal town of Laxmipur.

At Companyganj, an opposition bastion, police fired rifles to disperse at least 8,000 rampaging Jamaat supporters who torched four government offices and attacked officers with crude bombs and guns, a senior police officer said.

In Ramganj, activists of Jamaat and its main ally, the main opposition Bangladesh Nationalist Party, attacked a convoy of ruling party lawmakers, leaving two people dead, sub-inspector Ershadul Alam told AFP.

Molla was one of five Islamists and other politicians sentenced to death by the International Crimes Tribunal, which the opposition says is aimed at eradicating its leaders.

The sentences have triggered riots and plunged the country into its worst violence since independence.

Some 250 people have now been killed in street protests since January, when the first verdicts were handed down.

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Red-suited revellers hit NY bars

The costumed New York pub crawl known as SantaCon has seen thousands of Santa's partying in bars. Source: AAP

SANTA Claus came to town despite snow and widespread criticism of the costumed New York pub crawl known as SantaCon.

New York City's SantaCon started on Saturday morning in Tompkins Square Park in the East Village. Thousands of red-suited revellers then spread out through the city's bars and snowy streets.

This year's SantaCon takes place in New York amid criticism that the event has become too rowdy. SantaCon participants were told to make charitable donations and encouraged to bring small gifts to bestow on one another and passers-by.

Organisers say similar events were set for more than 100 other cities worldwide on Saturday, including San Francisco; Portland, Oregon, Newport Beach, California and Vancouver, British Columbia.

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Aussie held over alleged arson in Thailand

A 47-YEAR-OLD Australian man has been arrested by Thai police and faces charges of assault and arson after clashing with the manager of a motorbike rental company in southern Thailand.

Kent Wesley Farrar, from Victoria, was detained on Friday after becoming allegedly angered by the bike's excessive use of fuel after renting the bike for a week on the resort island of Koh Chang, and demanded a refund.

But the manager, Narong Borploy, 55, said Farrar turned down the offer of another bike and started fighting after being refused the repayment.

Farrar, who sustained head injuries in the clash, then allegedly grabbed a fuel canister and poured petrol over three rental bikes and set them ablaze.

Thai police said Farrar then grabbed a knife and began threatening passers-by before being subdued at the scene.

Farrar faces charges of arson and assault and a damage bill of 100,000 baht (A$3500).

Thai Police investigator on the case, Police Captain Banjerd Krachangsaeng, was unavailable for comment when contacted by AAP.

Farrar's arrest comes in the lead up to the peak holiday season in Thailand and an influx of Australians over the Christmas period. Up to one million Australians visit Thailand each year.

Australian travellers are regularly warned over renting motorbikes in Thailand, often associated with scams by operators to extract additional fees for unspecified damages allegedly caused during the rental period.

A Department of Foreign Affairs spokesperson said the department was aware of Farrar's arrest and consular staff were seeking to meet with him and provide assistance.

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Police assaulted at NSW soccer game

A POLICEMAN had to use "defensive strikes" to force a man to release his grip on his groin during a brawl at a Newcastle A-League soccer match.

Another police officer was punched in the head by another man in the melee, which saw a spectator punched in the face three times on Saturday night.

Police from the Public Order and Riot Squad and local officers were patrolling the match between the Newcastle Jets and Western Sydney Wanderers at the Hunter Stadium when a fight broke out and objects were thrown at 9.40pm.

They say the crowd turned hostile towards them when they intervened.

During a scuffle, a 21-year-old man allegedly grabbed the policeman's groin and refused to let go.

The man, police say, had been hindering police when he was pushed out of the way and fell on the ground.

He was arrested and charged with assault police.

He will appear in Newcastle Local Court on January 16.

At the same match police spoke to three spectators who were allegedly causing trouble.

One man refused to follow a police direction to return his seat.

Police allege he punched another spectator in the face three times before turning on the officers who tried to arrest him.

The 41-year-old is accused of punching one officer in the side of the head.

He was charged with assault police and behave in an offensive manner.

He will also appear in Newcastle Local Court on Monday.

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