Australian Prime Minister Kevin Rudd has challenged the opposition to prove claims that he abused his position to help a friend's car-dealing business.

Mr Rudd said opposition leader Malcolm Turnbull must resign if he fails to produce an e-mail on which the claims are based by Monday afternoon.
Mr Turnbull has called for the prime minister to stand down, accusing him of lying to parliament over the issue.

Indian Prime Minister Manmohan Singh said on Thursday that the BRIC economies are a factor of stability and growth amid the global economic crisis when commenting on the first BRIC summit meeting in Russia earlier this week, according to local media reports. Singh told Indian journalists that there was a need for reforming the present systems of global governance and international financial system.

He expressed his hope that the BRIC countries -- Brazil, Russia, India and China -- would not remain only a "talk-shop" and they would work together so that their voice is heard in the global arena.

A Republican Senator who once denounced President Bill Clinton for his dalliance with Monica Lewinsky has confessed to an affair with a campaign aide whose husband also worked for him.

John Ensign of Nevada, 51, an evangelical Christian who had presidential ambitions, read out a statement in which he admitted to having "violated the vows of our marriage" to his wife Darlene.

In his long-awaited policy speech on Sunday, Israeli Prime Minister Benjamin Netanyahu accepted the creation of a Palestinian state - but only on condition that it was demilitarised, with no army, no control of its air space and no way of smuggling in weapons.

And he refused to halt the expansion of Israeli settlements, which US President Barack Obama demanded earlier this month in Cairo should be stopped. Netanyahu said settlers were not "enemies of peace" and that he backed the "natural growth" in existing settlements.

A Pandemic Emergency Committee meeting in Sydney has left Australia's influenza alert at the contain level, despite the World Health Organisation declaring the swine flu virus a global pandemic.

Victoria's alert level was upgraded to 'modified sustain' last week.

More than 1,300 people have been confirmed as having swine flu in Australia; six people diagnosed with the virus are in hospital but underlying medical conditions may have exacerbated the virus's effect on them.

Health Minister Nicola Roxon says there is no need to cancel sporting events and other public gatherings.

The Federal Government is continuing its attack on the Commonwealth Bank for increasing its home loan rate.

The bank announced on Friday that it would increase its standard variable rate by 0.1 per cent.

Treasurer Wayne Swan and Prime Minister Kevin Rudd have both condemned the move.

Mr Rudd says the Commonwealth Bank should reconsider its position.
"Everyone in Australia is pulling together to try and lift the country out of the global recession," he said.

"I'd say to the Commonwealth Bank, join us and don't head in the wrong direction ... I think it would be good if everyone was on board for that."

Iran and North Korea are working together to develop ballistic missiles and have made significant progress, the head of the Pentagon's Missile Defence Agency says.

"It really is an international effort going on out there to develop ballistic missile capability between these countries," Army Lieutenant General Patrick O'Reilly told a forum on Capitol Hill.

Putting aside any political prisms, it's hard to see the David Letterman- Sarah Palin dust-up in any other way than this: Letterman was wrong for joking on his show about grown men having sex with a teenage Palin daughter, either teenage Palin daughter, and he ought to flat-out apologize.

Australia's largest and wealthiest Anglican Diocese, Sydney, has been rocked by the global financial crisis, losing more than $100 million on the sharemarket.

Sydney's Anglican Archbishop, Dr Peter Jensen, has written to parishes about the 'very significant losses' after the Archdiocese borrowed to invest on the sharemarket, which crashed at the end of 2008.

The letter states that the strategy had made a special $20 million building fund possible in 2007, but that the investment value has now fallen by more than half.

The loss means funding for diocese services next year has been slashed to just over $5.5 million.

The Security Council's five permanent members agreed on Wednesday on a draft resolution that would ratchet up sanctions against North Korea by concentrating on its financial transactions and its arms industry, including allowing for inspections of its cargo vessels on the high seas.

Global military spending rose 4% in 2008 to a record $1,464bn (£914bn) - up 45% since 1999, according to the Stockholm-based peace institute Sipri.

In contrast with civilian aerospace and airlines, the defence industry remains healthy.

"The global financial crisis has yet to have an impact on major arms companies' revenues, profits and order backlogs," Sipri said.

Peace-keeping operations - which also benefit defence firms - rose 11%.
Missions were launched in trouble spots such as Darfur and the Democratic Republic of the Congo.

Australian Greens leader Bob Brown says he cannot afford to pay a $240,000 Forestry Tasmania bill, a move which could see him lose his seat in the Senate.

Senator Brown was ordered to pay the money after losing a federal court case to stop logging in the Wielangta Forest in south-east Tasmania.

He says he has been told he could end up bankrupt if he does not pay, meaning he would lose his Senate seat.

Senator Brown says he is now campaigning to raise the money which must be paid by the end of the month.

Former Cuban leader Fidel Castro says US allegations that a Washington couple spied for Cuba are a "ridiculous tale".

In an editorial, he questioned the timing of their arrest - days after the Organisation of American States lifted Cuba's 1962 expulsion from the group.

The couple, retired state department official Walter Kendall Myers and his wife, are accused of having passed on information to Cuba for three decades.

The pair, both in their 70s, face up to 20 years in prison if found guilty.

In his article, Mr Castro described the case as an "espionage comic strip".