Abbott and PM descend on western Sydney

TONY Abbott has fired the first shot in this week's war for western Sydney as Julia Gillard gears up for a five-day tour to reconnect with the Labor heartland and salvage support in once-safe seats.

The opposition leader descended on Campbelltown on Saturday, pledging to solve the area's transport woes and tackle crime as new polling highlighted just how hard the prime minister will need to work during her own visit.

The Fairfax Media/ReachTEL poll found the government is on track to lose the seats of Chifley, Blaxland, McMahon and Werriwa to the Liberals at the September 14 election. All four would normally be considered safe.

Such a result would result in frontbenchers Chris Bowen and Jason Clare and backbenchers Laurie Ferguson and Ed Husic being booted from parliament, in addition to Labor MPs in more marginal seats like Lindsay's David Bradbury.

And in particularly worrying news for Ms Gillard, the poll of 2550 voters spread across the four seats finds the collapse in Labor's support is due in large part to negative perceptions of her leadership.

Mr Abbott sought to highlight the local MPs' failings too.

"You've got Chris Bowen, who couldn't stop the boats. You've got Jason Clare, who can't stop the guns. And you've got David Bradbury, who wants to attack people's superannuation," Mr Abbott told reporters at Leumeah train station.

He rejected suggestions his visit to Campbelltown was aimed at stealing the spotlight from Ms Gillard.

"I know Sydney, I'm not a tourist in Sydney and this is my 47th visit since the election to western Sydney," he said.

Mr Abbott will return to the area in the coming days and says he will stop in at the Rooty Hill RSL - next door to where the PM is staying - on Monday at the invitation of a breakfast television program.

While Ms Gillard had no public appearances on Saturday, Trade Minister Craig Emerson sought to downplay the latest poll, suggesting it could not be trusted because it was automated, unlike the better known Newspoll and Nielsen.

"The people who are more likely to respond to those polls are the ones who have got a particular adverse view," Dr Emerson told ABC television on Saturday.

Former Labor leader Mark Latham, who lives in Sydney's west, says the party has lost touch with the area. He says the old working class is steadily vanishing and being replaced by more aspirational voters.

"And unless Labor understands that it too will vanish," he told Sky News.

Labor holds Chifley on a margin of 12.3, Blaxland on 12.2, McMahon on 7.8 per cent and Werriwa on 6.8 per cent. The poll suggests a leadership switch to Kevin Rudd could keep Chifley and Blaxland in Labor's hands.

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Drastic threat over deadly Borneo siege

MALAYSIA is threatening to take "drastic action" against intruding followers of a self-proclaimed Filipino sultan after a tense standoff erupted into a shootout that killed 14 people.

Twelve followers of the little-known sultan of Sulu and two Malaysian security personnel were killed in Friday's firefight, police said, as the more than two-week-old siege in a remote corner of Malaysia turned deadly.

Dozens of Filipinos have been holed up on Borneo island, surrounded by a massive Malaysian police and military cordon, since landing by boat from their nearby Philippine islands to insist the area belongs to their Islamic leader.

"We want them to surrender immediately. If they don't, they will face drastic action," said Hamza Taib, police chief of the Malaysian state of Sabah where the drama was taking place.

His comments echoed growing Malaysian impatience with the situation.

In Manila, Philippine President Benigno Aquino urged the gunmen to surrender immediately.

"To those who have influence and the capacity to reason with those in (the affected town of) Lahad Datu, I ask you to convey this message: surrender now, without conditions," he said in a statement.

Malaysian Prime Minister Najib Razak, whose government has been embarrassed by the security breach, said in the shootout's aftermath that he told police and armed forces to take whatever action was necessary to end the impasse.

"Now there is no grace period for the group to leave," he was quoted as saying by Malaysian media, blaming the intruders for sparking the violence.

Muslim-majority Malaysia had previously avoided tough talk, expressing hope the intruders would leave peacefully.

The Filipinos, who are estimated to number between 100 and 300, sailed from their remote islands to press Jamalul Kiram III's claim to Sabah.

Kiram, 74, claims to be the heir to the Islamic sultanate of Sulu, which once controlled parts of the southern Philippines and a portion of Borneo.

The Sulu sultanate's power faded about a century ago but it has continued to receive nominal payments from Malaysia for Sabah under a historical lease arrangement passed down from European colonial powers.

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Mardi Gras to shine as rain clears

HEAVY rain has cleared just in time as thousands of people gather to celebrate Sydney's Mardi Gras, the Australian gay and lesbian community's night of nights.

Feathers, wigs and ponchos are the most common accessories on Oxford Street.

Spanish tourists Mark and Agnela began lining up early on Saturday afternoon to grab a spot and say they're shocked by the turnout.

"We have similar parades in Barcelona but they're quite new and not this big," Mark told AAP.

He said it was nice to see gay people celebrated and accepted in the event.

"Being gay is not something that is unusual any more. Things have changed for the good."

Around 10,000 performers are taking part in the event which celebrates the parade's 35th anniversary.

A key feature of this year's "Generations of Love" theme will be the participation of people who took part in Sydney's first Mardi Gras in 1978.

Creative director Ignatius Jones said the lead float would be "dedicated to the 78ers, the first generation".

The float would be surrounded by young protesters carrying parade "season posters" from 1978 up to 2013.

The two key "1978ers" participating in the parade would be media personality Julie McCrossin and the "godfather of Mardi Gras", Ron Austin.

Every major political party has entered a float this year and for the first time, the armed forces will be marching in uniform in the parade.

A number of "Bob Katters" will also take part in the parade, organisers have revealed, with performers dressing up like the maverick Queensland MP.

A record 110 floats are expected to roll down Oxford Street in the harbour city's second biggest night after New Year's Eve.

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Rebels, troops die in north Syria battle

A FEROCIOUS battle on the outskirts of the northern city of Raqa, near the Turkish border, killed dozens of Syrian troops and rebel fighters, a watchdog reported.

"Fierce clashes pitting rebel fighters from several battalions against regular troops have raged since dawn on the outskirts of Raqa city," said the Syrian Observatory for Human Rights on Saturday.

"Army troops shelled several city neighbourhoods, as well as the outskirts, while the clashes left dozens of troops and rebels dead," the Britain-based group said without giving exact numbers.

"Explosions could be heard in the city, and towers of smoke could be seen rising into the sky.

Both the Observatory and activists in Raqa said the army was using helicopters to strafe rebels in some parts of the city, in a rare escalation of violence in the provincial capital.

Raqa city is strategically located near Syria's northern border with Turkey. Residents say it has become home to thousands of people forced to flee their homes in other war-torn parts of Syria.

"A large number of people were forced by mortar attacks on their district to flee their homes in the Masaken Shuhada area" of the city, said Observatory director Rami Abdel Rahman.

"Because of the large number of civilians who have sought shelter in Raqa from other parts of Syria, the rebel Free Syrian Army had an agreement not to assault the city," he said.

"Saturday's battle was a rare but intense escalation."

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Asian markets mostly down, weak China data

ASIAN markets were mostly lower on Friday as traders took a breather after healthy gains in the previous session while Chinese data showed growth in manufacturing activity had slowed.

Wall Street provided a meek lead, with the Dow ending lower after flirting with a record high as investors appeared to take in their stride looming deep US budget cuts due to take effect later in the day.

Tokyo stocks closed 0.41 percent, or 47.02 points, higher at 11,606.38, as a weak yen helped the market recoup early losses sparked by profit-taking, and after the naming of a new Bank of Japan chief known to favour aggressive monetary easing.

Sydney slid 0.35 percent, or 17.98 points, to end the week at 5,086.1, while Hong Kong fell 0.61 percent, or 140.05 points, to 22,880.22 and Shanghai was 0.26 percent lower, shedding 6.08 points to 2,359.51.

Seoul was closed for a holiday.

China's official purchasing managers' index showed activity in the crucial manufacturing sector eased to 50.1 last month from 50.4 in January, suggesting a recent pick-up in the world's number two economy is weaker than initially thought.

A reading above 50 indicates growth.

British bank HSBC said later Friday that its final PMI for February came in at 50.4, a four-month low but also the fourth consecutive month of expansion after 12 months of contraction.

Zhang Liqun, a government analyst, said the figures showed a rebound in the economy was likely to lose steam, adding: "The February PMI extended a trend seen in January to decline modestly, indicating a rebound in economic growth will come to a stabilising point."

Shares in the United States ended lower, with the Dow seeing a late sell-off after moving within a few points of its record high seen just before the onset of the global financial crisis.

Traders were left unimpressed by a revision of fourth-quarter US economic growth, which came in at a lower-than-forecast 0.1 percent, although it was better than the 0.1 percent contraction previously estimated.

There seemed to be little reaction to the fact that the government was poised to start slashing spending Friday as the $85 billion in federal cuts known as the "sequester" comes in, which economists say will trim growth.

The Dow ended 0.15 percent lower, while the S&P 500 lost 0.09 percent and the Nasdaq edged down 0.07 percent.

Currency markets were quiet in early trade after a volatile week, which saw the dollar and euro surge against the yen before tumbling in reaction to Italian elections that renewed concerns about the eurozone.

In Tokyo the dollar bought 92.57 yen, compared with 92.58 yen in New York Thursday afternoon. The euro fetched 121.13 yen and $1.3079 compared with 120.95 yen and $1.3062.

Oil prices eased, with New York's main contract, light sweet crude for delivery in April, shedding 16 cents to $91.89 a barrel in the afternoon and Brent North Sea crude for April delivery sliding 23 cents to $111.15.

Gold was at $1,579.30 at 0805 GMT compared with $1,591.00 late Thursday.

In other markets:

-- Wellington edged down 0.05 percent, or 2.02 points, to 4,317.99.

Telecom Corp. was down 2.07 percent at NZ$2.37, Air New Zealand up 1.07 percent at NZ$1.415 and Chorus steady on NZ$2.90.

-- Manila skidded 1.18 percent, or 79.18 points, to 6,642.27.

-- Taipei rose 66.65 points, or 0.84 percent, to 7,964.63.

HTC rose 1.08 percent to Tw$280.0 while TSMC was 0.48 percent higher at Tw$104.5.

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Brothers 'can't accept pedophile's guilt'

Archbishop Denis Hart ignored reports that a pedophile might have been working at a college. Source: AAP

MANY Christian brothers refuse to accept that one of their ranks is guilty of the child sex crimes for which he was convicted, a Victorian inquiry has been told.

Members of the order also lack sympathy for sex abuse victims, Christian brother and researcher Dr Barry Coldrey told the parliamentary inquiry into sexual abuse within religious organisations.

Dr Coldrey said some brothers had not accepted that Robert Best, who was convicted over the abuse of 11 boys over a 20-year period, was a pedophile.

"Even at this moment there are many brothers who refuse to believe that Robert Best is guilty," he told the inquiry in Melbourne on Friday.

He said some would still visit Best in prison.

Best was in 2011 found guilty of 21 charges, including the rape of a nine-year-old disabled boy, and later pleaded guilty to a further six.

All 27 charges related to 11 boys he taught at St Alipius primary school in Ballarat, St Leo's College in Box Hill, and St Joseph's College in Geelong between 1969 and 1988.

Dr Coldrey told the inquiry that the order had little sympathy for victims of sexual abuse.

"At the moment, the mood is sullen, angry and certainly little sympathy is expressed for victims," he said.

"No one ever won an election in the Christian Brothers by expressing sympathy for victims."

Dr Coldrey said his concerns that a convicted pedophile was working at Monash University's Mannix College were ignored by senior clergy members, including Melbourne Archbishop Denis Hart.

Residences at the college were rented out to non-university students for four months of the year.

"Everybody who had a say took the cover-up option," Dr Coldrey said.

"Denis (Hart) took the cover-up option."

Dr Coldrey said he was not sure if the man was still working at the college under an assumed name.

The inquiry resumes in Melbourne on Monday.

Br Brian Brandon, the executive officer for professional standards for Christian Brothers Oceania, rejected that there was little sympathy within the Christian Brothers ranks for sex abuse victims.

In a statement, Br Brandon said he met regularly with victims and Mr Coldrey was out of touch with reality and his statements were unsubstantiated.

Br Brandon said the Christian Brothers expressed care and concern for victims.

He also offered an apology on behalf of the Christian Brothers to Archbishop Denis Hart for comments made about him by Mr Coldrey, who testified that senior clergy members including Archbishop Hart, ignored concerns that a convicted pedophile was working at Monash University's Mannix College.

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Metronet would cost $4.3bn: WA Treasury

THE West Australian Labor party's flagship Metronet rail plan has been independently costed at $4.335 billion by the state's Treasury.

Labor's scheme to run rail links to Perth's outer suburbs in a bid to ease congestion across the city was costed at $3.8 billion by the WA opposition - while Liberal state Treasurer Troy Buswell claimed the project would cost $6.4 billion.

The differential has been one of the main arguments between the two parties in the build-up to the March 9 state election.

And after demands to have the scheme independently assessed, WA Under Treasurer Tim Marney delivered his verdict on Friday afternoon, putting the scheme at about $500 million more than Labor claimed, but $2 billion less than the Liberal estimate.

He said not only did the figures show Labor couldn't add up, they also showed that the party wanted to build a rail line that was unreliable and unsafe.

Addressing the discrepancy in the treasury costings and his party's own estimates of the cost of building Metronet, Mr Buswell said Labor's planned budget is inadequate because it does not allow for a necessary duplication of the Midland rail line between Bayswater and Perth.

Pointing to treasury commentary that running 18 trains per hour on the Midland line would reduce reliability and safety, Mr Buswell said Labor's plan should now be renamed.

"This is not Metronet. This is Metronot, because it is not funded, not costed, not reliable and not safe," Mr Buswell said.

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Three dead as Malaysia ends stand-off

THREE people including two police officers were killed as Malaysian security forces ended a stand-off with Filipino gunmen over a territorial dispute in Sabah, the Philippine government said.

Dozens of followers of the little-known sultan of Sulu had been facing off with Malaysian police for the past two weeks, after they sailed from their homes in the southern Philippines to stake a territorial claim in Malaysian Borneo.

The 74-year-old Jamalul Kiram III says he is the head of the Islamic Sultanate of Sulu, which once controlled parts of Borneo including the site of the stand-off, as well as southern Philippine islands.

The owner of the house where the leader of the gunmen stayed during the 17-day stand-off was also killed but the nationality was not known, Philippine foreign department spokesman Raul Hernandez told reporters, citing a report by Malaysia's ambassador.

A third Malaysian police officer was wounded after the gunmen opened fire on their van, he said.

"The Malaysian ambassador said that the rest of the Kiram group in Lahad Datu escaped and ran toward the sea," he said, adding that 10 members of the group were arrested.

Malaysia's state news agency Bernama reported that two police commandos had been killed in a mortar shell explosion as they patrolled around the village where the gunmen were holed up.

It was unclear if they were the two police officers mentioned by Hernandez.

An official at the main hospital in the town of Lahad Datu near the site of the stand-off told AFP two police officers had been brought in with gunshot wounds but were in stable condition.

Hernandez said he could not confirm allegations by a Manila spokesman for the gunmen that Malaysian security forces had shot dead 10 members of the group and wounded four others.

Hernandez said Manila had formally demanded a full account of the security operation that ended the stand-off.

Kiram's spokesman Abraham Idjirani claimed Malaysian snipers had killed 10 of the sultan's men and wounded four other members of the group.

"I talked to (the group's leader) by telephone just now and asked him how many of his men were martyred. He told me 10. I enquired about the wounded and he said four," Idjirani told a news conference at Kiram's Manila home.

Idjirani insisted Kiram's men would continue to fight and would not leave Sabah.

The Islamic Sultanate of Sulu leased northern Borneo to Europeans in the 1870s.

While the sultanate's authority gradually faded as Western colonial powers exerted their influence over the region, it continued to receive lease payments for Sabah.

The former British colony became part of the federation of Malaysia when it was formed in 1963.

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Slovenia government falls

Slovenian PM Janez Jansa's year-old centre-right government has fallen in a no-confidence motion. Source: AAP

SLOVENIAN Prime Minister Janez Jansa's year-old centre-right government has fallen in a no-confidence motion following weeks of political turmoil in the small Eurozone country.

The job of forming a government amid the country's worst crisis since independence from Yugoslavia in 1991 now passes to political newcomer Alenka Bratusek of the centre-left, as Slovenia's first female premier.

Bratusek says her top priorities will be "normalising" life by softening "excessive" austerity measures imposed by the outgoing government and stimulating growth.

"We have to boost economic development," the former finance ministry official said, announcing plans for a revised budget shortly after taking over.

"We will stabilise public finances and agree with social partners over the necessary wage cuts and the very likely temporary increase of some taxes," she added.

Jansa became prime minister in February 2012 after his centre-left predecessor Borut Pahor himself lost a confidence vote, triggering early elections in Slovenia which has a population of two million.

Jansa has struggled to implement structural reforms and austerity measures seen as vital for putting what was once a model newcomer to the European Union and the Eurozone in 2007 back on the road to growth.

The death blow came when the corruption watchdog in January accused him of tax irregularities, prompting three parties to quit his five-way coalition and leaving his government with only a third of seats in parliament.

The charges, which also toppled the leader of the largest opposition party - Zoran Jankovic of Positive Slovenia - prompted large protests across the country among ordinary Slovenians fed up with austerity and corruption.

An opinion poll earlier this week showed that Slovenians wanted Jansa out, with 21 per cent backing him and 77 per cent opposed.

More than 50 per cent also backed the creation of an interim technical government, raising the prospects of new early elections for the second time in 14 months.

Bratusek, who only became an MP at the last election and says she'll seek a vote of confidence after a year in office, is facing a tough task, political analyst Vlado Miheljak warns.

"A much bigger uncertainty is whether Bratusek will manage to form a new government since the People's Party (SLS) and the Civil List (DL) might not be ready to collaborate in it," he told AFP.

The two centre-right parties were the first to leave Jansa's coalition government but after the last election in December 2011 they baulked at teaming up with Positive Slovenia.

Slovenia's economy grew between 2004 and 2007 at about five per cent per year but the global financial crisis found the export-dependent country badly exposed.

The national debt more than doubled between 2007 and 2011 and the new government will inherit a banking system saddled with bad debt and possibly needing outside help.

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Cyclone Rusty weakens to a category one

Tropical Cyclone Rusty has put new areas on red alert as it moves inland from WA's Pilbara coast. Source: AAP

THE remnants of tropical cyclone Rusty are causing major flooding in the Pilbara catchment areas and river levels are expected to remain high for days.

Around 4pm WST, two hours after all cyclone warnings were cancelled, emergency services said minor to major flood levels had been reached in the Nullagine, Oakover, Coongan and De Grey rivers, with further peaks possible in coming days.

Residents of Port Hedland, Marble Bar and Nullagine considered themselves fortunate to avoid the full force of the cyclone, which was a category four before it crossed the coast on Wednesday, weakening as it moved inland.

A dolphin washed ashore in Port Hedland battered and bruised but alive, and fallen trees and branches needed clearing up around the town.

But it was the tiny community of Pardoo further north that copped the full brunt of Rusty's winds.

Pardoo Station owner Graham Rogers said his 200,000 hectare property was "flogged" by the cyclone, which damaged buildings and killed cattle.

The main cause of the deaths was hypothermia, Mr Rogers said.

Pardoo Roadhouse manager Ian Badger said a shed was demolished, some cladding was torn from the building and a few trees were brought down.

He described the winds as "extremely intense".

"It is a hell of a mess to clean up," Mr Badger told ABC radio.

"I had two truck drivers who were stranded and spent their time in their cabs.

"It just blew, and rained, and blew and blew and blew."

Export facilities at Port Hedland were closed for 86.5 hours but re-opened for inbound ships around 4pm WST.

Rio Tinto resumed ship loading at its Dampier and Cape Lambert ports, although the company had continued mining, dumping and stockpiling iron ore throughout the emergency.

The three ports collectively handle some 500 million tonnes of iron ore annually.

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