Melb wheel to turn again after shutdown

MELBOURNE'S troubled observation wheel is expected to turn again on Saturday after it shut down just weeks after reopening.

A software problem caused the Melbourne Star to close on Friday.

Technicians are now conducting final tests on the wheel and it is expected to reopen by 10am (AEDT) on Saturday, but it could even be open as early as Friday night.

Chris Kelly from the Melbourne Star Management Group said the wheel would be open for the Australia Day long weekend.

"Since opening on December 23 last year, Melbourne Star has welcomed in excess of 40,000 guests and we apologise sincerely for any inconveniences caused to our guests today," Mr Kelly said in a statement.

The 120-metre high Melbourne Star initially closed in January 2009 when a three-day heatwave caused the brace and supports to buckle and crack only a month after it opened.

Mr Kelly insisted in December the wheel was not a rebuild of the troubled former wheel, but a completely new wheel.

Just days after it reopened, one of the big wheel's 21 cabins was taken out of service while Victoria's workplace safety authority investigated a safety complaint.

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Alcohol and drugs body slams funding cut

ADCA says recent alcohol-related violence highlights the need for government funding. Source: AAP

THE federal government's decision to defund the Alcohol and Other Drugs Council of Australia is "short-sighted" at a time when Australia is "wallowing" in alcohol abuse, the council says.

The funding withdrawal in November had "destroyed" the organisation, ADCA says in a submission to a Senate committee on the government's commission of audit that calls for funding to be restored.

The non-government organisation was caught unawares by the government's decision because it had been previously promised funding, it says.

"This was disingenuous to say the least," the council said.

"The government's decision will ultimately prove to be short-sighted and ill-considered."

ADCA says the recent spate of alcohol-related violence over the holiday period highlighted the seriousness of the government's funding cut.

"There is no clearer example of the need for an organisation like ADCA than the current situation in which Australia finds itself - a nation wallowing in alcohol with a failure of leadership to address the critical issues of price, accessibility and advertising of alcohol products."

ADCA is calling on the government to review its decision and restore funding until after the commission of audit is completed.

The council has operated since 1966, providing research and advocacy relating to the health, economic and social harm caused by alcohol and other drugs.

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Starbucks profit jumps, sales growth slows

Starbucks says its quarterly profit is up 25 per cent, following stronger sales around the world. Source: AAP

STARBUCKS says its quarterly profit is up 25 per cent, thanks to lower coffee costs and stronger sales around the world.

The Seattle-based coffee company says global sales rose five per cent at established locations. That was slower than the increase in the previous quarter, however, and total sales were shy of Wall Street expectations.

Troy Alstead, the company's chief financial officer, on Thursday said the slower growth for the final three months of the year was the result of the shift toward online shopping during the Christmas shopping season, rather than heading out to stores.

"The impact to us is that there are fewer people out and about in the weeks leading up to Christmas," Alstead said.

But in a conference call with analysts, CEO Howard Schultz downplayed the impact that trend would have on sales growth going forward, saying that Starbucks' advantage was that its offerings can't be replicated online and that its loyalty card business is growing.

Starbucks, meanwhile, has been employing various strategies to drive up sales at its ubiquitous cafes, such as revamping its sandwiches and baked goods so people are more likely to get something to eat when they come in for a drink. Alstead said that croissant sales had doubled at locations where new recipes were rolled out.

New options such as boxed salads are intended to get people to visit throughout the day, not just during the morning rush hour.

Starbucks, which has about 20,000 locations around the world, is also eyeing a new front: tea. The company last year opened its first tea cafe in New York City, saying it plans to popularise tea culture in the US the way it did with coffee culture.

For the quarter, sales at established locations rose five per cent in both the US and the region encompassing Europe, where Starbucks had been struggling.

In the China and Asia Pacific region, the figure rose eight per cent.

For the three months ending December 29, it earned $US540.7 million ($A618.90 million), or 71 US cents per share. That was more than the 69 US cents per share analysts expected.

A year ago, it earned $US432.2 million, or 57 US cents per share.

Revenue rose to $US4.24 billion, shy of the $US4.3 billion Wall Street expected.

The company stood by its guidance of for sales at established locations to grow in the mid-single digits globally in the year ahead. Earnings per share are expected to be in the range of $US2.59 to $US2.67, up from the previous $US2.55 to $US2.65.

Shares of Starbucks edged up 38 US cents to $US73.77.

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United Airlines posts 4Q profit of $US140m

United Airlines posted a growth in fourth quarter earnings with an increase in passenger numbers. Source: AAP

THE parent of United Airlines has earned $US140 million ($A158.60 million) in the fourth quarter, as more passengers flew and paid more for their tickets.

The airline's fuel bill also shrank.

Net income at United Continental Holdings Inc was $US140 million, or 37 US cents per share. A year earlier it lost $US620 million, or $US1.87 per share.

Not counting special charges, United would have earned 78 US cents per share - well above the 66 US cents expected by analysts surveyed by FactSet.

Revenue rose more than seven per cent to $US9.33 billion, also higher than analysts had expected.

Passengers paid three per cent more per mile to fly compared to a year earlier. They paid more in add-on fees, too. United said so-called ancillary revenue, which covers items such as baggage fees, rose 15 per cent in the quarter to nearly $US21 per passenger.

Fuel expenses fell four per cent to $US2.97 billion for the quarter.

United said in November that it intends to cut $US2 billion in annual costs. The company is still working to integrate Continental after their 2010 merger. Although all the paint on the planes and the signs at the ticket counters read "United," the company still has to schedule flight crews and planes separately for the two airlines, reducing the savings from the merger.

"Our goals for 2014 are to provide even more reliable operations, great customer service and materially better financial performance," chairman and chief executive Jeff Smisek said in a written statement on Thursday.

For the full year, United earned $US571 million, after losing $US723 million in 2012.

Shares of Chicago-based United Continental fell 3.4 per cent in premarket trading to $US47.50. They set a new 52-week high on Wednesday at $US49.20.

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No cheap deals by church, inquiry told

THE Catholic Church has paid compensation to abuse victims even when they would have had difficulty proving legal liability in court, a lawyer has told an inquiry.

The Royal Commission into Institutional Responses to Child Sexual Abuse, which is examining how the church's Towards Healing process worked for abuse complainants, has heard that payments of up to $900,000 were made by the Archdiocese of Sydney.

Patrick Monahan, a solicitor who has represented Catholic Church Insurances Ltd (CCI) at Towards Healing settlements, told the inquiry on Thursday that the company took more than just financial liability into account when agreeing to payments.

"It is not a matter of doing the cheapest deal they can," Mr Monahan said.

He said justice and compassion were considerations and assessment was complex, dependent on the facts of each case.

Redress or compensation is part of Towards Healing, which was established in 1997 in response to growing numbers of child sex abuse allegations against church personnel.

The commission has heard evidence from four people who went through the process.

DK, one of the four people who gave evidence at the commission, was awarded $88,000, which included money for ongoing counselling.

Mr Monahan said common factors in the question of legal liability were whether those in authority had any earlier knowledge of inappropriate behaviour by the individual or whether there was something which they could have, but did not do, to prevent or minimise the harm.

"If there are neither of the two I would identify it as a case where the victim would have difficulty in establishing a legal liability," he said.

He said CCI took into account broader pastoral issues, and he would never advise Catholic Church clients that they had no liability but he would say that the victim would have difficulty proving it.

Mr Monahan said he had dealt with other commercial insurers of other non-Catholic organisations and on similar facts they would simply deny indemnity and make no offer at all.

In his statement to the commission presented when the hearing opened in December, DK said that Mr Monahan's role at Towards Healing was never explained to him and that the solicitor had yelled at him for taking too long.

Mr Monahan said it was not the style he brought to those meetings and apologised if his tone had been sharp.

A recurring issue at Thursday's hearing was what senior staff at St Augustine's College in Cairns knew of Brother Ross Murrin's behaviour at the college, including toward DK.

Murrin is now in jail for offences against children at Sydney schools.

DK has told the commission the then principal at the school, Brother Gerald Burns and former dorm master Brother Andrew Moraghan who attended the mediation session in 2010, denied they knew Murrin had molested him.

DK said he wanted them at mediation to find out why they had not acted to protect other boys from Murrin.

Br Burns, who is now retired, was adamant DK never raised the issue of complaints by other boys during mediation.

Br Moraghan said he only learned that Murrin was molesting children when he was arrested in Sydney in 2008.

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I never meant to hurt anyone: mall gunman

THE gunman who sent Brisbane's central pedestrian mall into lockdown last year says he never meant to hurt anyone.

Lee Matthew Hillier, 35, told the Brisbane District Court he had no reason to cause fear to innocent bystanders when he took an unloaded semi-automatic pistol to the Queen Street mall on March 8, 2013.

Wearing a suit, the prisoner told his sentencing hearing on Thursday he had relapsed back into drug addiction following his last stint in prison and "things just spiralled out of control".

"I wasn't in there to harm anybody," he said from the dock during an at-times rambling statement.

"To stand there with an empty handgun and to have 30 police stand there with revolvers facing you is very, very confronting."

Hillier, who has remained in custody since the incident, said that leading up to the standoff his best friend "blew his own head off" in a siege but he wasn't going to "sit there and make excuses".

"I'd just like you to take into account that I am standing here and take responsibility for my own actions," he told Justice Terry Martin.

Workers and shoppers fled Queen Street when the heavily tattooed Hillier produced a gun, sending the mall and surrounding businesses into lockdown.

The 90-minute stand-off ended when police shot the shirtless gunman with a combination of non-lethal and live rounds.

Witness statements read to the court said during the stand-off Hillier had appeared agitated, had often pointed the gun at himself and seemed to be frothing at the mouth.

"Get away or I will kill myself," he yelled at one stage according to a witness statement read out by defence barrister Simon Hamlyn-Harris.

Mr Hamlyn-Harris said his client had been at "rock bottom" that day and submitted a psychiatric report that detailed Hillier's disadvantaged background and psychological factors.

Prosecutor Belinda Merrin outlined a lengthy criminal history that included several convictions for weapon and drug possession and a string of traffic offences.

Less than two months before the siege he had blown some of his own fingers off with a homemade shotgun.

The prosecutor said Hillier's propensity for carrying weapons in public meant he was a serious danger to community safety.

Hillier pleaded guilty to a dozen serious charges including assaulting police while armed, going armed to cause fear, and dangerous conduct with a weapon.

Some charges related to the earlier incident when he blew his fingers off.

He also pleaded guilty to a string of traffic offences and breaching bail conditions.

Justice Martin is due to pass sentence on Friday morning.

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Problems pile up for security contractor

THE list of embarrassments besetting security contractor Serco is growing on a daily basis, including prisoners and asylum seekers breaking out of custody under their officers' watch.

It emerged on Thursday that a shackled prisoner was left unguarded at Royal Perth Hospital after one guard went to the toilet and another left the room because he didn't want to be alone with the inmate.

That came hours after a young Vietnamese asylum seeker escaped from the same hospital and was recaptured after a city-wide manhunt that lasted about two hours.

And on Monday, four male Vietnamese asylum seekers escaped from the Yongah Hill Immigration Detention Centre at Northam, east of Perth, but were quickly recaptured.

It was the fourth break out from the facility since mid-August.

Two of the 14 detainees that have broken out during this period are still on the run.

Immigration Minister Scott Morrison has made his displeasure at Serco clear and on Wednesday revealed he had asked for a reassessment of Yongah Hill detainees so that those at high risk of escaping were placed at a different facility.

A spokeswoman for Mr Morrison said the latest incident involving the young Vietnamese man would "be added to those issues already being reviewed by the government as a result of previous instances of escape".

Earlier this month, rapist Cameron John Graham and fellow inmate Kelden Edward Fraser managed to abscond from Serco's custody by kicking out the door of a prison van at Geraldton airport as they were being transferred to Perth.

They were found 72 hours later at a bush camp near Mullewa.

And on Friday, burglar Bradley John McIntosh-Narrier escaped from Joondalup Health Campus while under Serco's watch.

Guards had removed his handcuffs when he asked to use the toilet, where he ripped a towel rail from the wall to threaten them with before smashing up the room and climbing out through the ceiling.

The Community and Public Sector Union says the WA government needs to reassess its contracts with Serco, which it says does not have enough staff to properly undertake them.

"We are seeing the company saying yes to a raft of different government contracts, getting the money but then failing to deliver," branch secretary Toni Walkington said.

"They are taking on these services that were handled competently by public servants and are then being stretched to the limit and don't have enough staff to get the job done because they are trying to do them as cheap as possible."

In a statement on Thursday, Serco said the officer who left the prisoner unsupervised in hospital while his colleague went to the toilet has been suspended and might be sacked.

The company is investigating the incident, which came to light after complaints from hospital staff last weekend.

"At least two officers are assigned to each hospital sit, which allows for each of them to take comfort and refreshment breaks while the other remains with the prisoner," it said.

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Wind change affects Kwinana bushfire

A bushfire continues to burn out of control in the City of Kwinana, threatening lives and homes. Source: AAP

SIXTY firefighters are battling a bushfire in Perth's southern suburbs that is threatening lives and homes, and has so far burnt through about 49 hectares.

The Department of Fire and Emergency Services (DFES) updated their emergency warning for Medina, Calista and Leda in the City of Kwinana at 4.40pm (WST), saying the wind had shifted to a north westerly direction, pushing the blaze towards Mandurah Road.

It was earlier burning towards the Kwinana Golf Club after starting between Gentle and Wellard roads.

Residents have been told to act immediately to survive.

A temporary evacuation centre has been set up at the Kwinana Town Council building on the corner of Sulphur Road and Gilmore Avenue in Kwinana.

The bushfire is moving fast, and is out of control and unpredictable.

Spot fires are starting up to 100 metres ahead of the fire.

A watch-and-act alert has also been issued for people in Kwinana Beach, east of Rockingham Road and Patterson Road to the railway line in the City of Kwinana.

A bushfire advisory has been issued for people in Orelia, Kwinana Town Centre and Parmelia.

Aerial support has been sent to assist ground crews.

The cause of the fire is unknown.

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Meninga's brother makes bid for freedom

The jailed brother of RL legend Mal Meninga has taken his bid for freedom to the Supreme Court. Source: AAP

THE jailed brother of rugby league legend Mal Meninga has taken his bid for freedom to the Supreme Court.

Bevan Meninga has already served 21 years in prison for the rape and murder of a teenage girl on Queensland's Sunshine Coast.

He applied to the Supreme Court for parole after the Queensland Parole Board failed to rule on his release.

The parole board had failed in its duty to decide on Meninga's application within 210 days of receiving it, the Supreme Court heard on Wednesday.

Meninga applied 12 months ago and was "not prepared to wait any longer", his lawyer Julie Devery said.

The parole board was planning to meet on Friday to decide whether to grant parole or a take a preliminary view to decline it, the court heard.

Justice Anthe Philippides said a decision had to be made given how long Meninga had spent waiting.

"I think it's appropriate that the matter proceed," she said.

"If a decision is made and if it's not necessary to proceed further with this application, so be it."

Justice Philippides adjourned the matter to February 13, to ensure a quick decision on Meninga's parole.

Meninga, then 20, was sentenced to life in prison in August 1992 for the rape and murder of 19-year old Cheree Richardson.

Ms Richardson's battered body was found in an Alexandra Headland park on the Sunshine Coast.

She had suffered massive head injuries after being bashed with a tree branch and also had internal injuries.

At the time of the attack, Meninga had been on parole for bashing a woman with a stake in her home.

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Man charged with sex assaults on boys

A 31-year-old man from NSW's Hunter region has been charged with sexually abusing two young boys. Source: AAP

A 31-YEAR-OLD man from NSW's Hunter region has been charged with sexually abusing two young boys.

Police say the man was arrested on Tuesday following investigations into alleged sexual assaults on the two boys by a relative between 1994 and 2010.

The State Crime Command's Child Abuse Squad launched an investigation last year after a nine-year-old boy disclosed he had been sexually assaulted by a relative on two separate occasions.

It's alleged the boy, who is cognitively impaired, was assaulted at a property in Sydney's northwest on two dates in 2010 when he was seven years old.

During the investigation, detectives identified another person who had allegedly been sexually assaulted by the man.

Between 1994 and 1995, a five-year-old boy was allegedly sexually assaulted by a teenage relative at a property in the greater Lake Macquarie area.

Police say the boy was again allegedly sexually and indecently assaulted by the relative on a number of occasions at another property in the greater Lake Macquarie area between 2000 and 2002.

The boy was aged between 10 and 12 years old at the time of the alleged assaults.

The 31-year-old man has been refused bail and will appear in Raymond Terrace Local Court on Wednesday.

He is charged with four counts of sexual intercourse with a person under 10, four counts of aggravated indecent assault with a person under 16, five counts of sexual intercourse with a person between 10 and 14 years, and one count of indecent assault with a person under 10.

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Detainee on the run in Perth CBD

POLICE have locked down a large part of Perth's city centre as they continue to search for a detainee who escaped from Serco guards while being transported.

A police spokesman told AAP it was not a Corrective Services matter and the person on the run was not a prisoner.

It is understood the detainee was being transported by Serco guards, possibly from Royal Perth Hospital, and escaped custody, running west along Murray Street.

Police have cordoned off the area and are searching for the detainee inside shops including the Myer department store and the Perth Cultural Centre.

Comment is being sought from the Immigration Department.

It has been a difficult time for Serco following a string of embarrassing escapes for the company contracted by the state government for prisoner transport and by the federal government for the transportation of detainees.

There have been four break-outs from the Yongah Hill detention centre in the past five months.

Two men also recently escaped from a prison van in Geraldton and a third man escaped from a Joondalup hospital while under the guard of Serco officers.

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Bird flu spikes in China before holiday

A SPATE of bird flu cases in China has experts watching closely as millions of people and poultry move before the lunar new year holiday, the world's largest annual human migration.

China has reported more than 50 H7N9 infections in 2014 after the strain jumped from birds to people for the first time in 2013.

The virus remains hard to catch, and most cases have been linked to contact with poultry, but scientists worry that could change if it mutates.

For those who track influenza, the holiday, which begins January 31, is always worrying because it comes during winter, when the flu typically rages.

Add that to hundreds of millions of people - and often birds - crammed on buses and other forms of transportation going home, and it's always a bit of a gamble.

"This is the first winter we've seen H7N9. We are in uncharted territory," said Gregory Hartl, World Health Organisation spokesman in Geneva.

"We have seen an upstart in cases, which we are attributing basically to the fact that it's winter. That combined with a lot of movement of people in crowded trains with chickens could give rise to a lot more infections, but we've also seen in past years where it hasn't."

The first H7N9 cases were reported in late March near Shanghai, and more than 200 others have since been identified, including about 50 deaths.

In past years, it was the H5N1 bird flu virus that spiked this time of year. That strain, which has killed at least 386 people since 2003, is still circulating widely in poultry stocks and kills about 60 per cent of the people it infects.

Both bird flus cause high fever and respiratory problems, including pneumonia. Scientists have repeatedly warned the viruses cannot be ignored because of their potential to spark a global pandemic. But after years of campaigning in countries where it's common for chickens and pigs to live closely with people, that message is often a hard sell.

"After almost a decade of sitting on the proverbial edge of the H5N1 pandemic cliff and not falling off, people are beginning to think that we never will fall," Michael Osterholm, an infectious disease expert at the University of Minnesota, said by email. "But the best scientific assessment of microbial genetics tells us we could still fall off of that cliff and if we do, the global consequences could be devastating."

Poultry is a central feature of many dinner tables during the lunar new year festivities, and it's often bought live and killed at home in China and elsewhere in the region. WHO urges care when slaughtering and preparing birds, including frequent hand-washing. However, well-cooked meat and eggs do not pose a threat.

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St Vincent's Hospital welcomes lockouts

A PROMINENT Sydney neurosurgeon has welcomed Premier Barry O'Farrell's proposed restrictions on trading hours for licensed venues in an effort to combat drunken violence.

St Vincent's Hospital neurosurgeon Dr Mark Winder has in recent weeks treated victims of king-hits - unexpected single blows that can result in death.

"For every hour we see a reduction in alcohol trading in the Kings Cross and CBD area, we are confident of seeing a major reduction in the amount of alcohol-related presentations that will come through our emergency department doors," Dr Winder said in a statement.

"We welcome the NSW government's decision to introduce 1.30am lockouts and 3am closures around the city.

"This will go a long way to reducing some of the horrific injuries that I, and many of my surgical colleagues, have had to contend with in recent times."

St Vincent's Hospital treated one-punch victims Thomas Kelly and Daniel Christie, who died in separate incidents in nearby Kings Cross.

Mr O'Farrell on Tuesday announced a legislative package aimed at curbing alcohol-fuelled assaults on Sydney streets and beyond.

Laws would include mandatory minimum jail terms for serious alcohol and drug-related assaults, forced drug and alcohol testing, earlier closing times for bottle shops and early-morning lockouts for big inner Sydney bars.

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UN makes 'mistake' on Iran: Russia

THE UN chief's decision to rescind the invitation to Iran to join this week's Syria peace talks was a mistake but not a catastrophe, Russia's foreign minister said Tuesday.

Sergey Lavrov said that Ban Ki-moon's decision to withdraw his last-minute offer to Iran to attend the conference set to begin on Wednesday in the Swiss resort of Montreux would have a negative impact on the United Nations image.

The invitation to Iran extended by Ban on Sunday put the talks in jeopardy, with the US pushing for rescinding the offer and the Syrian opposition threatening to skip the event entirely.

"This story hasn't helped strengthen the UN authority," Lavrov said at a news conference, adding that recalling the offer looked "unseemly."

The controversy over Iran's participation in the talks reflected deep differences over Syria between the United States and Russia, which has been a key ally of Syria, shielding Syrian President Bashar Assad's regime from the United Nations sanctions and continuing to supply it with weapons throughout the civil war that has killed more than 130,000.

He reaffirmed Russia's stance that the presence of Iran was essential for the success of the talks.

Iran has been Assad's main regional ally, supporting his regime with advisers, money and materiel since the uprising began in 2011.

Lavrov warned that spurning Iran would deepen division lines in the Islamic world and would have a negative impact on global efforts to fight terrorism.

"The absence of Iran isn't going to help strengthen the unity of the world's Muslims," he said.

Lavrov insisted that Russia is not supplying Syria with any weapons that are "banned by international agreements and could destabilise the situation in the region."

At the same time, Lavrov voiced hope for the success of the talks that would put the government and the opposition at the same table for the first time since the start of the conflict three years ago.

"There is no catastrophe, we will push for a dialogue between the Syrian parties without any preconditions," he said.

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Tourists wanted back after Vic bushfire

FIERCE bushfires have failed to shut down tourist operators in Victoria's Grampians region.

However, operators now face the threat of tourists being scared away because of the blazes.

Bushfires, which burnt 52,000 hectares and destroyed 27 homes, were contained by early Tuesday morning.

The fires burnt 37,600 hectares in the northern part of the Grampians National Park and stopped a few kilometres short of the tourism town of Halls Gap.

Northern Grampians Shire Council mayor Kevin Erwin said there was a noticeable decline in tourists visiting after the fires and even cancellations for bookings up to Easter.

His message to tourists was that the region was open for business and safe.

The region's huge tourism industry is worth $949 million and employs 8300 people.

"Business won't survive if the people don't support them, particularly right now when they need it the most," he said.

Halls Gap Tourism Association chairperson Geoff Watts said it was too early to tell if the bushfires would hurt tourism.

However, he said the fires did not damage Halls Gap and tourists could visit the region safely.

"The press that's gone out about Halls Gap is that it's almost burnt to death," he said.

"The message we're putting out to everyone is we're open for business, nothing has changed."

CFA incident controller Mark Gunning said many roads, campgrounds and walks inside the park were open.

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Aust marks 60 years in refugee convention

AUSTRALIA will have been part of the United Nations refugee convention for six decades this week.

The Menzies government acceded to the refugee convention on January 22, 1954, enabling it to officially come into force internationally.

The convention focuses on the process of granting asylum to people fleeing persecution.

In the past 60 years Australia has given some form of protection to about 620,000 refugees, the Refugee Council of Australia says.

However, only about 64,000 of these were granted asylum in Australia.

Most came to Australia via resettlement programs.

Earlier this month the UN's refugee agency warned Australia could in breach of its obligations under the convention if the navy pushed asylum-seeker boats back to Indonesia.

There was speculation in late 2013 the government might pull out of the convention in its efforts to stop the boats but Immigration Minister Scott Morrison said that option was not under consideration.

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