PRESS DIGEST-Australian General News - May 15

Compiled for Reuters by Media Monitors. Reuters has not verified these stories and does not vouch for their accuracy. THE AUSTRALIAN FINANCIAL REVIEW (www.afr.com) -- More large Australian companies, including retailer Woolworths (WOW.AX) and investment company Macquarie Group (MQG.AX), have frozen or scrapped their employee share schemes following the Federal Government's decision to tax employees upfront on their shares or options. The scheme, which is estimated to earn the Government A$200 million over four years, has suffered widespread criticism from business leaders. National Australia Bank (NAB.AX) chairman Michael Chaney describes the proposal as 'inexplicable and counter-productive.' Page 1. --Federal Opposition Leader Malcolm Turnbull yesterday said he will not support the Rudd government's A$1.9 billion cut to private health insurance. However, Mr Turnbull indicated that the Coalition will support the majority of the Government's budget measures, although he claimed they would not make a 'material difference' to the A$57.6 billion deficit next year. The health insurance rebate changes proposed by the Government now needs the support of both independent senators and the Greens to get upper house approval. Page 1. --The Rudd government's proposed Australian Business Investment Partnership failed to secure Senate approval yesterday, after negotiations with the Greens broke down. The Government had secured votes from both independent senators, following a pledge by the Opposition to block the bill. However, the Greens would not back down on their request to have a A$1 million salary cap placed on executives of companies that access the fund, which is aimed at supporting the commercial property sector in the event of the withdrawal of foreign lenders. Page 4. --The Federal Government has announced that emissions generated from past landfill will not be penalised under its proposed carbon trading scheme. Parliamentary Secretary Greg Combet yesterday said that concerns over increased costs for councils, estimated to be around A$200 million a year, had prompted the backdown on 'legacy emissions.' The Government had previously said that the waste industry and local councils would be liable for emissions generated from landfill buried before 2008 from 2018. Page 4. THE AUSTRALIAN (www.theaustralian.news.com.au) --Immigration Department Officials duped an Iranian detainee into surrendering his daughter in order to secretly fly the seven-year-old back to Iran, according to a Commonwealth Ombudsman report. While at South Australia's Baxter Detention Centre in 2003, the man, 'Mr X', was asked by officials if they could take his daughter on a shopping trip. The daughter was subsequently sent to her mother in Iran, with Mr X not informed until she had arrived in Tehran. Immigration Minister Chris Evans yesterday described the actions as 'inexcusable.' Page 1. --Small businesses in Western Australian will be exempt from paying payroll tax for one year in order to boost employment. The proposal was part of the Barnett government's first budget, which has forecast a A$409 million surplus for next year. Treasurer Troy Buswell said yesterday that the payroll tax rebate for the estimated 6700 businesses, with a payroll of up to A$1.6 million, will cost the Government A$100 million but save around 68,000 jobs. Page 1. --South Australian (SA) Premier Mike Rann and SA Attorney-general Michael Atkinson have received death threats against them after they declared the Finks Motorcycle Club a 'serious criminal organisation.' The two men have had their personal police protection increased following yesterday's move by the Rann government which allows police to apply to the Magistrates Court for a control order on members of the club under new anti-bikie legislation. Mr Atkinson said that the Finks 'were immersed in criminal activity.' Page 2. --Queensland Premier Anna Bligh has described an incident at a water treatment plant, that increased fluoride levels in drinking water to 20 times their recommended amount, as 'unacceptable.' The malfunction at the North Pine Dam treatment plant happened two weeks ago, but was only discovered earlier this week. Ms Bligh has appointed International Water Centre chief executive Mark Pascoe to head an investigation into the incident. 'She [Bligh] has put people's lives at risk,' says Queenslanders for Safe Water chairwoman Merilyn Haines. Page 3. THE SYDNEY MORNING HERALD (www.smh.com.au) -- The Land and Environment Court has rejected an appeal by Bankstown City Council to block the construction of an Islamic school in the south-west of Sydney. Construction of the 1200-student school has been opposed by local residents since it was proposed in 2006. Bankstown Council had blocked the application over concerns including increased traffic and noise. Page 2. --A proposed change to Australia's recycling laws would see a A10 cents rise in the price of drinks bottles and aluminium cans, which would then be refunded when the used bottles and cans were returned for recycling. The secret state and federal report has been criticised by the Australian Food and Grocery Council, who say that it would 'crush' the roadside kerb recycling sector. However, green groups and local councils are in favour of the changes, saying that they would lead to an increase in recycling rates. Page 3. --Greens leader Bob Brown has criticised a A$90-a-week increase to the electoral allowance for Australian federal members of parliament, claiming members of the Remuneration Tribunal lived in 'some isolated world.' Yesterday's approval came as Labor and Coalition senators joined to vote in favour of the 17 percent rise. Mr Brown said the tribunal should have taken into account the circumstances 'in which all Australians find themselves in a recession.' Page 4. --A policewoman who was beaten and left to die as she walked to work in inner-city Sydney remains in a stable but critical condition in hospital. The 34-year-old traffic sergeant was attacked early Wednesday morning as she walked from her car to the police station in King's Cross. Police Commissioner Andrew Scipione said yesterday that the assault was probably drug-fuelled and that he would be surprised if the assailant was 'anything short of just a maniac.' Page 6. THE AGE (www.theage.com.au) --All the unidentified players of National Rugby Union club the Cronulla Sharks' who were involved in group sex with a 19-year-old New Zealand woman in 2002 are 'cowards' and should come forward, according to former federal sex discrimination commissioner Pru Goward. Only former player Matthew Johns and teammate Brett Firman have so far been named in the incident, following a recent television interview with the woman involved. Page 3. --The police watchdog has issued a damning report on Victoria Police's management of its top-secret databases, warning of a 'systemic failure' in information governance. The report, by the Victorian Commissioner for Law Enforcement Data Security, states that there is a 'lack of accountability' in Victoria Police's information management systems, which undermines its operations. The report's author, David Watts, concluded that there was 'no prospect' that Victoria Police can make the reforms necessary 'to support policing in the 21st century.' Page 3. --A deal by the Victorian Government that would allow James Packer's Crown Casino (CWN.AX) to increase the number of its gaming tables by 40 percent in exchange for increased taxes on its poker machines has been questioned by opposition parties. Opposition gaming spokesman Michael O'Brien yesterday asked whether the agreement was 'in the taxpayers' or the community's interest,' while Peter Kavanagh, of the Democratic Labor Party, said he did not think 'we need more gambling.' Page 5. --Victorian Police Minister Bob Cameron has refuted an Opposition Party claim that the Government failed to act on a recommendation to install a telephone-based warning system prior to the fatal Black Saturday bushfires. A review by emergency services commissioner Bruce Esplin called for the urgent introduction of a public emergency warning system to alleviate pressure on the triple-zero services. However, Mr Cameron maintained that the review was prompted by last year's windstorms, and had no relevance to bushfires. Page 7. --