Spain's economy looks set to slip into recession after contracting for the first time in two years in the last quarter of 2011, highlighting the challenge for EU leaders as they meet to find ways to boost growth while cutting budgets. The leaders are meeting in Brussels on Monday with the goal of helping Europe's economy but they have to balance austerity with the need to help countries struggling with dismal economic performance. The finances of neighboring Portugal faced fresh scrutiny by markets on Monday and Spain's prime minister said this year's official growth goal would be missed. Gross domestic product in Spain shrank 0.3 percent in the fourth quarter from zero growth the previous quarter, preliminary data from the National Statistics Institute showed, in line with forecasts in a Reuters poll. Spain has massive unemployment -- around a third of the euro zone's unemployed are Spanish -- and a banking sector that has been hobbled by a collapsed property sector.

Spain's government has launched legal action against the now-defunct airline Spanair for allegedly violating the country's aviation regulations by suddenly ceasing operations, a minister said Saturday. An estimated 22,000 passengers who had booked seats on more than 220 canceled flights have been left looking for alternative arrangements and instructions on how to seek reimbursements. Spanair, owned by a consortium based in the northeastern region of Catalonia, shut down its operations late Friday because of a lack of funding. The legal proceedings begun by Spain's government could lead to Spanair being fined euro9 million ($11.8 million) for two "serious infringements" of aviation security legislation, Development Minister Ana Pastor said. The alleged infractions related to obligations linked to continued service and passenger protection. Chairman Ferran Soriano said the airline had failed to attract inward investment and consequently the regional government of northeastern Catalonia took the decision to stop providing funds. Spanair, whose hub was Barcelona airport, employed around 2,000 people and used the services of about 1,200 ground staff. Spanair's financial woes were exacerbated by a 2008 crash that killed 154 people. Eighteen people survived what was Spain's worst aviation disaster in 25 years. The airline, which also ran a commuter service between Madrid and Barcelona, was in trouble financially before Spanair Flight JK5022 -- an MD-82 jet -- crashed on takeoff on Aug. 20, 2008 as it tried to leave Madrid bound for the Canary Islands. In 2010 Spanair, which was Spain's No. 4 airline, reported an operating loss of euro115 million ($151.2 million) and had survived thanks to finance provided by the Catalan government and some private investors. The Catalan government cited the "current economic climate" and "European legislation concerning competition" as the major factors influencing its decision. In Brussels, the European Low Fares Airline Association said those of its members flying overlapping routes with Spanair would offer specially discounted fares to enable stranded passengers to return home. Offers are subject to seat availability, said the organization of budget airlines -- which includes Ryanair and EasyJet. The association's secretary-general, John Hanlon, said in a statement the aim was to assist Spanair passengers who were experiencing difficulties with travel plans. National carrier Iberia Spanish Airlines SA said it had also offered to help.

Ten thousands travelers were left stranded at Spanish airports Friday due to a new strike by pilots of Iberia, the flag carrier of Spain. The strike, part of protest activities that started on Wednesday against the airline’s plan launch a branch for low-cost flights, forced rescheduling 93 out of 277 domestic and international flights, according to a statement by the company. The company affirmed that its new branch “Iberia Express” would affect neither the working conditions or the pay of pilots. The branch, meant to cover the costs of short and medium routes, would generate more revenues and create new jobs, it added. Meanwhile, the airline’s pilot association said it would stage another strike on Monday unless their employer scrapped the low-cost flight plan which would turn the company into a mere provider of cheap service. The pilots staged similar strikes on December 18 and 29, 2011, and on January 9 and 11, 2012, thus forcing some 55,000 passengers of 422 Iberia flights to find alternatives to airline.

Spain's fourth largest airliner, Spanair, has stopped operations after failing to seal a last minute deal aimed at rescuing the company from financial bankruptcy. Spanair ceased operations on Friday night after failing to negotiate a deal with Qatar Airways who sought to buy a stake in the airline, according to the Catalan regional government in Spain. Over 3,500 employees have lost their jobs as a result of the decision. Moreover, at least 22,000 passengers have been affected as 380 domestic and international flights have been cancelled this weekend alone. Experts report that Spanish regional governments which hold a controlling stake in Spanair have been under pressure to cut costs to help the central government reach budget cut goals this year. Spanair has tried for some years to compete with low-cost carriers operating in the country. Since the economic crisis in Europe began, Persian Gulf oil-producing states have been investing in eurozone companies. There are fears that more delays in resolving the eurozone debt crisis, which began in Greece in late 2009 and infected Italy, Spain and France last year, could push not only Europe but also much of the rest of the developed world back into recession.

Since 2002 the number of people dying from heart attacks in England has dropped by half, the study conducted by Oxford University found. But within that, regional data revealed there was a 'blip' in London that corresponded to the financial crash in 2008 and continued through 2009. Heart attack deaths have dropped due to better prevention of heart attacks in the first place with fewer people smoking and improvements in diet through lower consumption of saturated fat. The treatment of people who do suffer a heart attack has also improved leading to fewer deaths with faster ambulance response times, new procedures to clear blocked arteries and wider use of drugs such as statins and aspirin. The research published in the British Medical Journal showed around 80,000 lives have been saved between 2002 and 2008 as deaths from heart attacks declined.

Four men, including a serving police officer, have been arrested in connection with Scotland Yard's investigation into payments to police officers by journalists. Police are also carrying out searches of the News International offices in Wapping, east London, and the homes of the four people. A 29-year-old serving police officer was arrested at his place of work in central London on suspicion of corruption and misconduct in public office. The officer, of the Met's territorial policing unit, is the second police officer to be arrested under the Operation Elveden investigation. A 48-year-old man and a 56-year-old man were arrested at their homes in Essex. Another man, aged 48, was held at his home in north London. All three were arrested on suspicion of corruption and aiding and abetting misconduct in public office. Scotland Yard said the arrests were made following information provided by News Corp's own investigation team. Rupert Murdoch set up the management and standards committee in July following the escalation of the phone-hacking scandal. According to well-placed sources, it has been conducting a forensic analysis of payments by all journalists between 2000 and 2006. A statement from the Met police said: "The arrests were made between 06.00 and 08.00 by officers from Operation Elveden, the MPS [Metropolitan police service] investigation into allegations of inappropriate payments to police. "The home addresses of those arrested are currently being searched, and officers are also carrying out a number of searches at the offices of News International in Wapping, east London. These searches are expected to conclude this afternoon. "Today's operation is the result of information provided to police by News Corporation's management and standards committee. It relates to suspected payments to police officers and is not about seeking journalists to reveal confidential sources in relation to information that has been obtained legitimately." All four men were being questioned at police stations in Essex and London, police said. Twelve people have so far been arrested under Operation Elveden. The operation is being supervised by the Independent Police Complaints Commission, and is being run in conjunction with Operation Weeting, the MPS inquiry into the phone hacking of voicemail boxes. It was launched after officers were handed documents suggesting that News International journalists made illegal payments to police officers. Others questioned as part of the inquiry include the former News International chief executive Rebekah Brooks, the ex-Downing Street communications chief Andy Coulson, the former News of the World managing editor Stuart Kuttner, the paper's former royal editor Clive Goodman, the former News of the World crime editor Lucy Panton and the Sun district editor, Jamie Pyatt. Brooks and Coulson are both former editors of the News of the World, which was closed in July at the height of the hacking scandal following revelations that the murdered teenager Milly Dowler's phone was hacked. Deborah Glass, the deputy chair of the Independent Police Complaints Commission, said: "It will be clear from today's events that this investigation is following the evidence. "I am satisfied with the strenuous efforts being made by this investigation to identify police officers who may have taken corrupt payments, and I believe the results will speak for themselves."

A man found decapitated has been named as 32-year-old John Grainger. Mr Grainger's body was discovered by firefighters in Stockport, Greater Manchester, at 5.10am on Thursday when they extinguished a blaze on a verge opposite Gala Casino. Police were called to Wellington Street and discovered Mr Grainger's head nearby. Two men, aged 29 and 31, who had been arrested on suspicion of possessing shotgun cartridges prior to the discovery of the body were later arrested on suspicion of murder. They remain in police custody for questioning. A Home Office post-mortem is ongoing to determine the exact cause of death. Superintendent Pete Matthews from Greater Manchester Police said: "We have a team of dedicated detectives who are working hard to establish the exact circumstances surrounding John's death, so we can provide his family with some much-needed answers. "We will be continuing with our inquiries and speaking to local residents. We also have extra officers in the area to offer reassurance and assist with the investigation. "People in the community are in shock at what has happened and I would encourage anyone with any information to contact the police." The crime scene in the town centre, near Stockport Magistrates' Court, was cordoned off as forensics officers scoured the area. Police said they understood a lot of rumours were circulating but said it would be wrong to speculate and insisted they were keeping an open mind.

former U.S. Navy serviceman has been detained in the United States after Japanese police issued an arrest warrant for him on suspicion of leading a group that smuggled drugs into Japan in 2004 through the military mail service, Japanese investigative sources said Wednesday. Tokyo has been seeking his extradition, and a U.S. court has been deliberating whether to transfer him based on a bilateral extradition treaty, they said. The former sailor left Japan for the United States on Aug. 6, 2004, one day after police arrested two civilian men who worked at the U.S. Naval base in Yokosuka, Kanagawa Prefecture, on suspicion of being involved in drug smuggling, according to police. The three are suspected of shipping some 50,000 tablets of synthetic drugs, including ecstasy, from Canada to a post office box at the base using the military mail service in July 2004. The man sought by Japanese police was dishonorably discharged in 2003 for a separate drug offense committed on the base. His whereabouts in the United States were confirmed in 2009, the sources said.

The Expat Banking Poll was sponsored by Lloyds TSB International and conducted by expat website Just Landed. Expats in Spain were found to have the most problems with banking abroad. Almost two-thirds of those polled – 64 per cent – said that they do not trust local banks at all. Some of the most common problems cited by those who distrust banks abroad include unfair charges, trouble with the language barrier and money that was deducted from their account without any explanation. Briton Graham Hunt, who runs a Spanish property website and has written some hard-hitting blogs on banking in Spain, said: "Two years ago, there was a lot more trust in Spanish banks. "But the past couple of years have seen new charges for cards, account maintenance, transfer fees... this put people into the red in unused accounts, and they were then given an additional overdrawn charge. As a result, trust disappeared." Spain is happiest expat destination 19 Jan 2012 He also claims bank charges have increased "dramatically" recently and that lack of clear communication is the major problem for expats not speaking Spanish, and banks not employing people with language skills. "However my experience is that if you have a good relationship with the bank manager then any charges on the account can usually be got back," Mr Hunt said. "You just threaten to take your business elsewhere." Ali Meehan, who runs the Costa Women community network, said however there were many reasons expats wanted to use Spanish banking services. ""Many expats bank with Spanish financial institutions because they have mortgage products or loans locally," she said. "Some banks also offer special deals if you have your UK pension paid direct to Spain." More than 11,800 expats in total were surveyed for the Lloyds TSB International report. More than half of those, 59 per cent, said that they do trust their banks abroad, while only 22 per cent of respondents said they did not trust their banks "at all". In the United Arab Emirates, 74 per cent polled said they completely trust local banks; in Kuwait, this number is even higher, at 83 per cent. In Europe, German banks receive a similar score, with 68 per cent of expats polled completely trusting their services. UK banks – though facing many problems – are completely trusted by 52 per cent of respondents. And despite uncertainties over the British pound, 36 per cent of expatriates surveyed claim they would invest in sterling over any other currency. "While the poll demonstrated a lot of positivity, there are also some issues to be addressed," said Daniel Tschentscher, managing partner at Just Landed. "In the current climate, one would expect the level of trust to be lower, but that really doesn't seem to be the case at all."

UK fraud levels increased by 9% last year, new figures revealed today, with identity scams the biggest contributor. Over 236,500 cases of frauds were identified during 2011– the highest number ever recorded, according to CIFAS, the UK’s Fraud Prevention Service. Nearly half of all cases were incidents of identity fraud, with some 113,000 cases reported to the CIFAS – up 10% on 2010. Facility takeover fraud – where a fraudster gains access to and uses a victim’s bank account or credit card for example – meanwhile has surged by nearly 300% in just five years and now accounts for 18% of all fraud. This means two data driven frauds make up over 58% of all frauds identified, CIFAS said. What’s more, the number of victims of both types of fraud combined has risen by 10% since 2010. Richard Hurley, CIFAS communications manager, said: ‘All organisations must recognise this threat, and review how they try to prevent such frauds: whether that is by reviewing their security procedures and increasing identification requirements when dealing with applications, or by ensuring that individuals regularly change passwords and PIN numbers’. Incidents of misuse facility fraud – where an account has been legitimately obtained but later used fraudulently – also increased some 13%. The number of false insurance claims recorded, however, has fallen 23% from 537 to 396 cases. According to CIFAS, these figures confirm that as austerity bites, economic crime continues to be a stealthy, insidious danger.

IGNORING longstanding local opposition, energy giants will continue the search for gas and oil deposits off the Andalucia coast. The first outcries were heard years ago from the tourist sector, coastal towns and environmentalist groups after the Ministry of Industry granted permits for offshore prospecting. Disapproval has now increased following authorisation for Canadian multinational CNWL to begin prospecting in the Mar de Alboran between Malaga and Granada. No date has been announced but work is expected to begin within a month over an area of 130,000 hectares off Almuñecar, Salobreña and Motril (Granada) and Nerja and Torrox (Malaga). Opponents to the project have intensified calls for the new central government in Madrid to revoke the licences and urged both the PP and PSOE to take action. Last year saw a wave of protests after Repsol YPF’s permits for prospecting off Mijas, Fuengirola and Marbella were extended until August 20, 2013. These initiatives, said Marbella’s lady mayor, Angeles Muñoz, were an attack on tourism “our principal source of income” as well as the environment. Professional fishermen are convinced that fishing grounds will be adversely affected and it would be still worse if gas or oil were eventually located and drilling authorised. This could spell ruin for the eastern Costa de Sol, predicted Jose Luis Guerrero, head of the Caleta de Velez fishing guild. Professor Juan Ignacio Soto of Granada University did not share Guerrero’s view, however. The system that would be used – known in Spanish as “air gun” because it uses compressed air – does not adversely affect marine life, he claimed. And while many Costa del Sol residents were horrified at the vision of oil rigs off the coast, others welcomed the possibility. “Wouldn’t this benefit the Costa del Sol and Spain?” was an often-repeated comment on Internet blogs. Meanwhile, retired engineer with 30 years experience in the offshore oil industry, now living in Axarquia, David M. Ritchie, 69. Ritchie said that in the case above there has been longstanding 'local' opposition. “One has to view this opposition carefully and try to ascertain whether it is well informed through good research or just some people, although dedicated to their cause, simply spouting uninformed hot air. I fear that on the Costa del Sol the latter applies.” “Evidently the tourist sector is to the fore in protest. One must ask why? I have read the comment that oil rigs are unsightly. In fact they are no more unsightly that container ships. ferries, oil/gas tankers and cruise liners.” “ One more different vessel will make no difference or do the tourist sector, coastal towns and environmentalist groups wish to ban all shipping?” he said. Opponents to exploration have evidently intensified their calls for the new government in Madrid to revoke existing licences and urge the two major parties PP and PSOE to take action. “My response to this is simply on what scientifically and engineering research do they base their protests?” he asked. “I suspect they have little or no knowledge of the exploration and exploitation of natural hydrocarbons industry. I fear that they simply feel they must protest without really knowing why.” Would not Spain benefit enormously from any oil and gas found off its coasts? In these days of worldwide recession would it be right for a nation to turn its back on income to benefit its people on the say so of a few noisy pressure groups? The answer must be a resounding no! “Let's really talk of protest groups/organisations. Consider one of the biggest or possibly the best known one, Greenpeace. There was a storage unit called the Brent Spar on the Brent oilfield in the North Sea. When it became redundant, the owner Shell wished to demolish it in situ. Greenpeace mounted a very effective campaign against this and Shell filling stations across the UK Europe were boycotted. Greenpeace told the world that the Brent-Spar contained so many dangerous chemicals which if released would wreak havoc with wildlife and humanity. Their campaign was so successful that Shell capitulated and towed the Brent-Spar to a fjord in Norway where it could be 'safely' demolished under close scientific monitoring and the death dealing chemicals could be identified and safely contained. What did these experts find? Nothing, absolutely nothing! All of Greenpeace's 'scientifically backed' predictions were proved to be nothing more than false and very loud posturing. Did Greenpeace go to any pains at all to tell the world that they had made a mistake? No! Not even the smallest 'oops'. Greenpeace were proved to be loud mouthed ignoramuses.” “I left the British Royal Air Force in 1969 and joined the fledgling offshore industry in early 1970. The offshore expertise in those days was American as they had been operating in the Gulf of Mexico. Within a very short time British expertise had left the Americans behind and British 'oilmen' became the crews of choice. It was in UK offshore operations where the present strict high operational standards were developed and honed. Development of safe practices went hand in hand with operational development and in the 30 years from 1970 to 2000 the whole industry became a safer one. But of course one can never eliminate accidents and the industry suffers from any accident being a major news item providing fodder for pressure groups who chose to ignore any statistics which in a global sense showed the offshore industry as a comparatively safe one. I have never been involved directly in any incident leading to injury or contamination. Likewise I have never seen any fishing adversely affected but have seen the opposite happen and fish stocks around an offshore installation increase. I agree with Juan Ignacio Soto of Granada University when he sees no problem from drilling operations or initial sonar type surveys. As a resident of Spain I welcome any exploration and exploitation of Natural hydrocarbon resources. Oil or gas finds turned into an industry would benefit the country and the people of Spain tremendously. To oppose the exploration for oil or gas is to deny a great source of income for the whole country, so I willingly oppose the opposers.”

Spain pledged to set spending limits for regional governments in a new law tomorrow as the country’s pharmaceutical lobby said the regions owe companies $8.4 billion for drugs. The People’s Party Cabinet plans the budget-stability law to flesh out a constitutional amendment that the party helped the former Socialist government pass in September. Budget Minister Cristobal Montoro said “early warning” and “automatic correction” systems will be set up to prevent overspending and sanctions will be strengthened. “The aim is to guarantee the budget stability of all administrations, boost confidence and strengthen Spain’s commitments to the European Union,” Montoro told a parliamentary committee today in Madrid. Spain’s PP government, in power since December, is trying to convince investors it can reduce its budget deficit by almost half in 2012 even as the economy suffers its second recession in two years. The law aims to increase discipline in the regional governments, which have accumulated unpaid bills after they were shut out of public debt markets and saw their tax revenues collapse. Spain’s 17 regions owed pharmaceutical companies 6.37 billion euros at the end of 2011, lobby group Farmaindustria said today in a statement. That debt has risen 36 percent from a year earlier as payments were delayed by an average of 525 days, according to the group, which has urged Prime Minister Mariano Rajoy to sell bonds backed by the unpaid bills in a program that would be guaranteed by the government. Credit Line As regions including Valencia suffer from a liquidity squeeze, Montoro has offered the states a credit line to allow them to pay unpaid bills. The government will seek tighter deficit plans in return, he said. The budget law will prevent spending rising more than projected economic growth, while giving debt redemptions and interest payments priority over other public spending. The ratio of debt to gross domestic product will be limited to 60 percent, Montoro said. The PP or its allies govern in most of Spain’s 17 regions, strengthening the government’s hand to reorder public finances. The regions, which missed their combined budget goals in 2010 and 2011, control about a third of public spending and hire half of the countries’ public workers. “We have seen the willingness of all the regional governments that Spain should have a new budget-stability law,” Montoro said today.

THE net is closing in on the 30-year-old criminal who is suspected of murdering Romanian teenager Maria Rostas. Sources say that gardai should be able to re-arrest the psychotic south city gangster "within weeks" after the discovery of the body of the tragic 18-year-old in the Dublin Mountains on Monday. The criminal is in Cloverhill Prison where he is on remand and facing trial for a number of serious criminal offences. He is also the chief suspect for a number of other serious crimes including a pub murder last year. The development comes as authorities in Romania contact-ed the family of the Roma teenager who gardai believe was savagely sexually abused before being shot in the head. It is understood that the family of Maria (Marioara) Rostas, including her father Dimitri, will travel to Ireland to bring her body back home to Romania for burial. Sources are still unsure whether the victim was taken to a house near Newry to be violated by a notorious underworld figure or whether her ordeal involved being assaulted over a number of days in a house in Pimlico before being shot dead and her body dumped. The chief suspect, along with some of his closest associates, was arrested in December, 2008. But they were all released without charge. When arrested, the chief suspect was wearing a bulletproof vest in bed. Gardai have always worked on the theory that Maria was shot dead in the upstairs room of a derelict house in Brabazon Street just days after being abducted as she begged on East Lombard Street on January 6, 2008. The Brabazon Street property was later gutted in a fire which was started by criminals in a bid to destroy evidence. CANDLES The chief suspect is the number one target for gardai and it is understood that a strong case is being built against him. "This maniac is one of the most dangerous criminals in the country. Certain information has been received which indicates that he saw the devil in her eyes which caused him to freak out and shoot her," a source said. "Despite being an absolutely evil individual, he has some kind of strange religious beliefs and is very afraid of the devil. He is all into candles and altars and stuff like that." The investigation has been helped because the victim's remains were very well preserved after being so tightly wrapped in plastic bags. The Herald revealed that two major south Dublin criminals helped the chief suspect bury the body of the tragic teenager. Sources have revealed that the south city gangster enlisted one of his closest associates to help dispose of her body after he shot her. The suspect's pal was so terrified that the gangster would murder him after burying Maria that he brought a close relative with him to help in the dig.

Tihomir Georgiev — known as the Butcher Of Bulgaria for his reputation for slicing off fingers and ears of his enemies — is due to be extradited this week. He is suspected of two murders in Bulgaria and could face at least 18 years in jail if convicted. But crime bosses — furious he tried to cut a deal by giving evidence against his former paymasters before going on the run — are taking bets that he will not see out the year. They have issued orders Georgiev, 43 — caught at a gym in Bermondsey, South London, after a tip-off from The Sun — must be killed behind bars. A source said: "His chances are slim to say the least."

This deployment defied explicit Iranian threats to close the waterway. It coincided with an escalation in the West's confrontation with Iran over the country's nuclear ambitions. European Union foreign ministers are today expected to announce an embargo on Iranian oil exports, amounting to the most significant package of sanctions yet agreed. They are also likely to impose a partial freeze on assets held by the Iranian Central Bank in the EU. Tehran has threatened to block the Strait of Hormuz in retaliation. Tankers carrying 17 million barrels of oil pass through this waterway every day, accounting for 35 per cent of the world's seaborne crude shipments. At its narrowest point, located between Iran and Oman, the Strait is only 21 miles wide. Last month, Admiral Habibollah Sayyari, commander of the Iranian navy, claimed that closing the Strait would be "easy," adding: "As Iranians say, it will be easier than drinking a glass of water." But USS Abraham Lincoln, a nuclear-powered carrier capable of embarking 90 aircraft, passed through this channel and entered the Gulf without incident yesterday. HMS Argyll, a Type 23 frigate from the Royal Navy, was one of the escort vessels making up the carrier battle-group. A guided missile cruiser and two destroyers from the US Navy completed the flotilla, along with one warship from the French navy.

European police and politicians have warned. The Netherlands is the latest country to outlaw the sale of the plant, which is now banned in sixteen EU member states and Norway. Khat is freely sold in the UK and observers say the UK's isolated stance could make it the main base for Europe's khat trade. The British government has commissioned a new review of khat use. Until announcing its ban earlier this month, the Netherlands was similar in its stance to the UK where the East African plant is legally imported, sold and consumed. In 2005 the UK Home Office commissioned a report by the Advisory Council on the Misuse of Drugs (ACMD) which concluded that "the evidence of harm resulting from khat use is not sufficient to recommend its control." In the UK, the drug is mainly consumed by people of Somali and Yemeni origin and the ACMD report concluded there was "no evidence of its spread to the general population." 'Social harm' Gerd Leers, Immigration and Integration Minister in the Netherlands, says he already has enough evidence of social harm caused by the drug to support a ban, which will come into force from June this year. Continue reading the main story “ Start Quote Those who argue against a ban don't know about the community and they can't see all the damage it is doing to families and individuals” Muna Hassan Sister of khat user Mark Lancaster, MP for Milton Keynes North, argued that khat should be outlawed in Britain in a speech he made in Parliament earlier this month. But others say that making khat a controlled drug could lead to further problems. "What worries me about the Netherlands is that once these legal Somali traders are criminalised and have their livelihood taken away from them - what are they going to do next?" says Axel Klein, an expert witness for the ACMD's 2005 report. "They have contacts, trading skills, financial acumen so it is very possible that they will start trafficking the khat and then diversify into harder drugs. "This is our main concern when looking at the UK as well. "Do we really want to create the opportunity for an organised crime syndicate to start-up from nowhere with long term consequences by banning khat?" Continue reading the main story Find out more Hear more on The Report on Radio 4 on Thursday, 26 January at 20:00 GMT. You can listen again on the Radio 4 website or by downloading the podcast Listen to The Report on the Radio 4 website Download The Report podcast Explore The Report archive Mr Klein argues that khat is chewed mainly by older men in the Somali diaspora and the practice will die out - rather like snuff has done in the UK. But British-Somali Muna Hassan is not so sure. She blames khat use for inducing her younger brother's paranoid schizophrenia. He has lived in the UK since the age of five and had a bright future ahead of him, studying at university, when he then started chewing khat. "The Somali community has a unified voice on this," she told Radio 4's The Report. "Those who argue against a ban don't know about the community and they can't see all the damage it is doing to families and individuals. We know," she says. 'Dangerous' drug Eleni Palazidou, a psychiatrist who has worked with the Somali community in east London, agrees. "For me it is a drug - no two ways about it. "Every patient that I have seen who chews khat, I have seen them worsening and it is impossible to get their condition under control. Continue reading the main story What is khat? Khat refers to the leaves and shoots of the Catha edulis - a flowering shrub native to the Horn of Africa and Arabian peninsula Khat has many names including 'qat' (Yemen), 'jad' or 'chad' (Ethiopia, Somalia), 'miraa' (Kenya) or 'marungi' (Uganda, Rwanda). Khat leaves are chewed and contain stimulant substances that have amphetamine-like properties. Khat contains cathine and cathinone which, as isolated substances, are banned in the UK, but in khat leaves are not. It is chewed mainly by men in khat houses known as Mafrishes, though there is anecdotal evidence of growing use by teenagers and women. In the UK it is an informal, legal trade so it is impossible to know exactly how much is imported. Estimates range from 10 to 60 tonnes a week. "What khat does to the brain is similar to amphetamines. I think heavy, regular use is dangerous. I have no doubt that khat has a major adverse effect on people's mental health and does cause psychological problems," she told The Report. The Netherlands' ban has been welcomed by Dutch citizens like Dagmar Oudshoorn, mayor of the village of Uithoorn, near Schipol, who says the khat trade has been a blight on her community. "Four times a week 200 cars arrive with people who want to buy khat and they fight - we had stabbing incidents - and they leave rubbish everywhere. "We want to refurbish our business area but because of the bad environment we lose investors and customers," she told the BBC. Neighbouring states, where the drug has long been illegal, have also put pressure on the Dutch government in The Hague because they have seen a sharp increase in khat trafficking from Holland. For Europe's Nordic countries, much of the khat arrives by truck across the Oresund bridge between Denmark and southern Sweden. Swedish police estimate that 200 tonnes is smuggled into the country each year, with a street value of 150 euros (£125/$190) a kilo. Continue reading the main story “ Start Quote With the Eurotunnel you can get from London to Malmo in 15 hours. Britain will become the new hub in Europe that is for certain” Detective Stefan Kalman Swedish police After years of lobbying, Swedish MEP Olle Schmidt admits he was pleasantly surprised by the Dutch move to ban khat. "There is a shift in the Netherlands. They no longer want to be seen as a liberal country where tourists can come to smoke pot and buy drugs. "Now, of course, khat will come more extensively to the London airports and then be smuggled to the rest of Europe, because you can earn a lot of money with this drug," warns Mr Schmidt. Stefan Kalman, a senior detective in the Swedish drug squad, says customs officers catch smugglers on the border several times a week. "The couriers often have accidents because they drive so fast", he says. "Sometimes they shoot past the border controls without stopping because they are nervous - khat is quite bulky and you cannot conceal it like other drugs." They are also in a rush because the drug has to be consumed when it is fresh. Cathinone, one of the psychoactive agents in khat leaves, is highly unstable and loses its potency within three days of harvesting. With the door slammed shut in Holland, smugglers will turn to the UK despite the longer distances says Detective Kalman. "With the Eurotunnel you can get from London to Malmo in 15 hours. Britain will become the new hub in Europe that is for certain." The British government has commissioned a new review of khat use - the date of its publication is still to be confirmed.

As he swam toward the coast of Nantucket, Mass. in August 2008, Scott Douglas, 58, watched his yellow fishing boat disappear, carried away by the swelling surf. He thought it would be the last time he'd ever see the Queen Bee. But yesterday, more than three years after Douglas and his brother-in-law were tossed off the boat by a wave, the U.S. Coast Guard called to say the vessel had washed up on the Spanish coast. It was rusty and covered in barnacles, but intact. "It looks entirely different," Douglas said upon seeing the photos. "That's amazing." Douglas remembers the water was restless on the day he set out to sea, and the fish weren't biting. He tried to keep the boat stationary, bracing himself as huge rollers crashed into it. advertisement "At all times, it's a very sketchy area," Douglas told msnbc.com. "You wouldn't want to be dumped in the ocean there." But that's exactly what happened when a rogue wave knocked Douglas and his brother-in-law, Rich St. Pierre, off the boat and into a sink-or-swim fight for survival. Douglas remembers thinking the water was not too cold. "The only way I was going to survive was just to get started, not tread water," he said. But swimming didn't come as easy to St. Pierre, 68, who had gone through open heart surgery a year earlier. However, a survival kit containing an inflatable device had been knocked off the boat and floated to St. Pierre's side. It was a miracle, Douglas said, noting that the kit was the only item from the boat in the water with them.  Courtesy of U.S. Coast Guard Scott Douglas, 58, watched his yellow fishing boat disappear in 2008, carried away by the swelling surf. He thought it would be the last time he'd ever see the Queen Bee. Douglas swam for about an hour and made it to shore on Smith's Point, a beach off the coast of Nantucket. Dripping wet and exhausted, he walked up to a cabin and asked to use the phone to alert the Coast Guard. Not long after, he saw St. Pierre walking on dry land. "At the end of the day, it just wasn't our time," Douglas said.  While that marked the end of their ordeal, the Queen Bee's journey didn't end there.  Lt. Joe Klinker, a U.S. Coast Guard spokesman, said the most likely scenario is that the boat somehow got across the continental shelf and into the Gulf Stream. "From there it may drift north off the coast of northern Canada and then east with the North Atlantic currents," Klinker told msnbc.com. He said it's rare, but not unheard of for an object off the coastline of the United States to drift across the Atlantic to Europe. But a boat? "I've never heard of anything like this," Klinker said. Smith's Point Llanes NRoad 1000 miles1000 miles 2500 km2500 km  It's not uncommon, he said, for the Coast Guard to locate derelict ships from Florida off the coast of Virginia, or vessels from Virginia off the coast of Massachusetts, but never in Europe.  The ability to withstand the hardships of the Atlantic has a lot to do with the make of the boat, Klinker said. The Queen Bee is a 26-foot center console fishing boat made by Regulator.  "It probably could have floated for another three years," Klinker said. The Spanish Coast Guard alerted their U.S. counterpart Tuesday. Based on salvage law, the boat now belongs to Spain. Douglas, who is now retired and lives in New Jersey, said he doesn't want the boat back. But with four grandchildren, he has thought about turning Queen Bee's story into a children's book.    "It's interesting to see what life takes and gives," he said.

Eating fried foods didn't hurt the hearts of Spaniards who follow a Mediterranean diet, but the findings are too good to be true for Canadians, experts say.

A study in Wednesday's issue of the British Medical Journal suggests that frying foods in olive and sunflower oils is not associated with an increased risk of heart disease or premature death.

The Mediterranean diet favours fruits, vegetables, fish and whole grains. (iStock)

Prof. Pilar Guallar-Castillón from Autonomous University of Madrid and her co-authors surveyed the cooking methods of 40,757 adults aged 29 to 69 over an 11-year period. None of the participants had heart disease when the study began.

The people were asked in a typical week whether they ate food that was fried, battered, crumbed or sautéed. Their answers were divided into categories based on how much fried food they consumed.

During the follow-up period, there were 606 events linked to heart disease and 1,134 deaths.

"In Spain, a Mediterranean country where olive or sunflower oil is used for frying, the consumption of fried foods was not associated with coronary heart disease," the study's authors concluded.

The results directly apply only to Mediterranean countries where foods are fried in a similar way to Spain, the researchers noted.

Spanish participants more active

"When I look at the group of patients evaluated in Spain 10 years ago, they were much more active and fit than we are as Canadians nowadays," said Dr. Beth Abramson, a cardiologist at St. Michael’s Hospital in Toronto and a spokesperson for the Heart and Stroke Foundation of Canada.

And overall, people in the study ate a diet that was heart healthier than a typical North American diet.

The Mediterranean regime favours fruits, vegetables, fresh fish and whole grains.

"Occasionally having some fried food now and then isn't going to be harmful probably in the long run, but routinely frying food just adds to the chance that you're going to become overweight and out of shape," Abramson said.

The investigators only questioned participants about their diet at the start of the study, which isn't as reliable as checking in more often, Abramson said.

Floria Aghdamimehr, a wellness and life coach in Halifax who teaches people how to improve their diet, said the study confirms the value of using olive oil, though sparingly.

The nutritional content of foods changes when they are fried, Aghdamimehr said.

Nutritional changes with frying

"Most of the deep-fried foods people eat in North America … [uses] oil [that] is being recycled — reused several times,” Aghdamimehr said.

In Spain, fried food doesn't equal fast food from restaurants the way it often does in North America, the researchers said.

"Frying leads to an increase in trans fats and a decrease in unsaturated fats in foods," said Prof. Michael Leitzmann of the department of the epidemiology and preventive medicine at University of Regensburg in Germany in a journal editorial published with the Spanish study.

"Frying also increases the energy density of food and makes food more palatable, which may lead to the consumption of larger amounts."

The study was funded by the Fund for Health of Spain, five Spanish regional governments and the Catlan Institute of Oncology.

Two underworld bankers who laundered more than £17million in drug money have been jailed for a total of 17 years. Daniel Keenan, 41, and Andrew Barnett, 45, used a stolen identity to clean up proceeds from a massive cocaine and heroin dealing operation by making currency exchanges They were caught out when police stopped Barnett with £500,000 in cash stuffed into a satchel. The pair were subsequently linked to Ian Kiernan, who was jailed for 20 years in 2001 for his key role in one of Britain's biggest-ever drug smuggling plots. Andrew Barnett (left) and Daniel Keenan (right) laundered the vast proceeds from a cocaine and heroin ring by making currency exchanges Barnett was stopped on 26 November 2009 near Marble Arch carrying a satchel found to contain 535,000 euros in 200 euro notes. He also had a receipt from a nearby money service bureau called Interchange. Convicted blackmailer Keenan contacted the police station a few days later, claiming he had asked Barnett to carry out the transaction, and was promptly arrested on suspicion of money laundering. Investigations revealed Keenan used a stolen identity to set up his Interchange account. Since opening the account in April 2008, Keenan and Barnett had made more than 300 transactions totaling more £17million. The money was generally brought in for exchange in £20 notes in large bags. The pair admitted money laundering but initially claimed the cash came from illicit gambling on horse racing. But after a two-day hearing at Southwark Crown Court they admitted knowing that that bundles of cash had come from drug deals. This is some of the money recovered by police from the pair, who were caught when officers stopped Barnett with £500,000 worth of currency stuffed into a satchel Jailing Keenan for 11 years and Barnett for six years, Judge Nicholas Loraine-Smith said the offences were 'hugely successful' and committed while Keenan was on license from prison. He told Keenan: 'Interchange was visited more than 400 times as you or others delivered cash amounting to a total of £17.5million. 'I accept that initially you thought you were being used to launder the proceeds of illegal gambling. 'But eventually the amounts of money involved must have made it clear that they could only come from the most serious of crimes - sale of Class A drugs. 'You yourself signed for 58 deliveries amounting to £12million while your assistant Mr Barnett signed for about £5 million. 'When police detained Mr Barnett you came up with a number of explanations and produced quantities of false paperwork to try and justify your business which included the use of other people's identities.' Daniel Keenan is here seen on CCTV counting out huge piles of banknotes. Keenan and Barnett laundered more than £17million in organised crime profits Barnett had claimed he was simply acting on behalf of Keenan and was paid £200 each time he want to the Interchange. Drug baron Ian Kiernan had been jailed for 20 years and banned from racecourses for 10 years after a Jockey Club investigation found he was involved in corruption in horseracing. The head of the syndicate, Brian Wright - dubbed The Milkman because he always delivered - was jailed for 30 years in 2007. The link between Kiernan, described as the drug ring's storeman, and the launderers was only discovered in December when police investigated Keenan's mobile phone records. Prosecutor Mark Fenhalls said: 'When Mr Keenan's phone records were looked at they showed that that most of the calls were made to his partner, then his mum, and then Kiernan, in that order.' He was found to have been in contact with Kiernan - who was on temporary licence from HMP Latchmere - on all but one of the days on which transactions of more than £400,000 were processed. Keenan was serving a five-year sentence for blackmail and consiring to defraud the clothes shop Monsoon when he met Kiernan in jail. The court heard Barnett visited Kiernan in prison in 2003, Mr Fenhalls said it was 'inconceivable that Barnett... did not know that he was assisting Keenan to launder the proceeds of cocaine dealing on a vast scale. 'No other explanation or inference sensibly arises from the available evidence.' Barnett, of Twickenham, Middlesex and Keenan, of Egham, Surrey, admitted converting criminal property. Keenan also admitted fraud by false representation, having a fake passport and possession of articles used in fraud, a fake bank card.

Drug smugglers and street dealers could avoid prison in the UK even if caught with heroin, cocaine or thousands of pounds worth of cannabis, under new guidelines on drug offenses published by the Sentencing Council for England and Wales on Tuesday. The new guidelines, to come into force next month, on February 27, were put out following a three-month public consultation. They cover importation, supply, production, permitting premises to be used for drug-related activities, and possession offences. "Drug offending has to be taken seriously. Drug abuse underlies a huge volume of acquisitive and violent crime, and dealing can blight communities. Offending and offenders vary widely, so we have developed this guideline to ensure there is effective guidance for sentencers and clear information for victims, witnesses and the public on how drug offenders are sentenced,” said Lord Justice Hughes, deputy chairman of the Sentencing Council, as quoted by the British media. According to the official website of the Council, the guidelines intend to distinguish the leading players in drug smuggling from those in subordinate roles such as drug mules, who may be coerced or misled into carrying drugs. It will mean that sentences are based on a court’s assessment of the offender’s role, and on the quantity of drugs involved, or the scale of the operation. Reports suggest offenders who play a “limited” role in gangs, including low-level dealers and so-called drug mules, who bring narcotics into the country, could now face community orders rather than jail sentences. This particular draft received major support during the consultations. Drug barons playing a leading role in large-scale offences such as smuggling and supply will continue to face long prison sentences, as will those who sell directly to the public, especially to children. Police have suggested that gang leaders would be able to escape jail by claiming that they were lesser members. “How can a court be expected to differentiate between the person who says, I am very low in the chain, and those high up?” questioned Peter Smyth, chairman of the Metropolitan Police Federation, as quoted by The Telegraph. “No matter how big a role I played, if I was in their shoes and arrested for drugs I would say I was a low-level player or forced into it. If they can see a loophole, then of course they will go through it.” Under the new guidelines, dealers caught with 6kg of cannabis, valued at thousands of US dollars, or 20 ecstasy tablets, could now avoid prison and receive a community sentence. Heroin and cocaine dealers deemed to have played only a “minimal” role and workers in small cannabis “farms” could also escape custody.

London hospitals have written off more than 90% of what they are owed by foreign patients not entitled to free NHS care, BBC London has learned. A Freedom of Information request showed Newham Hospital Trust wrote off 96% of what it had invoiced last year. Meanwhile, Basildon and Thurrock wrote off 97% of what it was owed, having previously recovered £68,061 out of £116,561 of its debt. In total, £7.6m was written off by 33 NHS trusts in the region, since 2009. Across the trusts, a total of £26m is owed by patients, of which £18.4m continues to be actively sought. However, hospital trusts said chasing the money was difficult if patients leave the UK. In a statement, Basildon and Thurrock said: "We scrupulously manage our finances and only write off debt after following the full debt collection process." Continue reading the main story Hospital variations in amount written off Newham Hospital wrote off £345,000 out of £358,000 Basildon and Thurrock wrote off £47,000 out of £48,500 Hillingdon hospital wrote off £335,000 out of £660,000 Luton and Dunstable wrote off 2,000 out of 85,000 South London wrote off £29,000 out of £481,000 All figures relate to 2010-11 All hospitals are required to recover money owed for treating these patients.

Saravy Sok, 22, of 88 Forthill Ave., Lowell, who was identified by prosecutors as a member of the Tiny Rascals Gang-Grey, a violent street gang with ties to California, was arraigned on gun charges and a charge of armed assault to murder after the Sunday morning shooting outside 12 Benefit St. According to police and Assistant District Attorney Roberta O’Brien, a 28-year-old man was at a party at 12 Benefit St. when he got into a minor verbal argument with another partygoer. The 28-year-old man decided to leave the party, but outside the man he had argued with challenged him to a fight. The two men had begun to fight when Mr. Sok arrived to help his friend, Ms. O’Brien said. “As they were fighting, this man pulled out a gun and started shooting,” she said in court yesterday. The 28-year-old was shot once in the shoulder and twice in the leg. The injuries were not life-threatening, but the victim may suffer nerve damage, Ms. O’Brien said. The victim walked into the emergency room at St. Vincent Hospital just after midnight Sunday with the gunshot wounds. Police were called to the hospital and spoke to the victim. He told police he recognized the shooter’s girlfriend, and police were able to identify the suspect. Lowell police told city investigators that Mr. Sok was a member of the TRG-Grey gang and gave them a booking photograph from a previous arrest. Mr. Sok was identified as the suspect through witnesses, detectives and members of the Shooting Response Team. Lowell police located Mr. Sok Monday night and arrested him on a warrant for the shooting. In 2008, Mr. Sok was among a large group of gang members in the Lowell area arrested on a variety of charges. Mr. Sok was charged in federal court with weapons offenses. In mid-2009, he was sentenced to serve 32 months in prison with three years of supervised release. Ms. O’Brien said Mr. Sok was still on supervised release in the federal case when last weekend’s shooting occurred. Federal authorities said members of the TRG-Grey gang are responsible for many acts of violence in Lowell over the past decade. Mr. Sok was charged with armed assault to murder, assault and battery with a dangerous weapon, possession of a firearm without a firearm identification card, carrying a loaded firearm without a license and using a firearm during a felony. Not guilty pleas were entered. Bail was set at $50,000 cash, and the case was continued to Feb. 23.

Economy Minister Luis de Guindos said Spain is sticking to its deficit goal even as the economy shrinks, underlining a rift in the month-old Cabinet over whether the nation can halve its shortfall during a recession. De Guindos said the government’s commitment to budget cuts is “total” and there’s “no change” to this year’s target. His comments in Brussels today came after reporters asked him about Budget Minister Cristobal Montoro’s call on Jan. 22 for the European Union to ease Spain’s 2012 deficit goal to take its shrinking economy into account. Spanish Prime Minister Mariano Rajoy divided the Finance Ministry in two after coming to power in December, putting People’s Party veteran Montoro in charge of the budget and giving de Guindos, a former Lehman Brothers Holdings Inc. banker, responsibility for the economy. Rajoy didn’t make either of them deputy prime minister, as the last two finance chiefs were, saying he would oversee economic issues himself. “It’s a trial of strength to see who’s really in charge of economic issues, and Rajoy will just let it happen,” said Ismael Crespo, a political scientist at the Fundacion Ortega- Maranon research institute in Madrid, who was head of the state polling unit when the PP was last in power. “Montoro is speaking more to the public and Guindos is speaking more to the foreigners,” he said in a telephone interview. Economy Contracting Spain’s government needs to rein in its borrowing costs and convince investors it can cut the euro region’s third-largest budget deficit even as the economy enters its second recession in two years. The Bank of Spain said yesterday the economy contracted in the fourth quarter and may shrink 1.5 percent in 2012, adding to pressure on Rajoy, who won the Nov. 20 election on a pledge of creating jobs. Budget Minister Montoro, a 61-year-old public-finance professor and lawmaker for Seville, said on Jan. 22 the EU should ease Spain’s budget target of 4.4 percent of gross domestic product this year as the goal was set by the previous government, which expected the economy to grow 2.3 percent. The deficit amounted to 8 percent of GDP last year, overshooting the 6 percent target. “If Brussels doesn’t adapt the stability program to the new scenario of a recession, it won’t be realistic and not only will Spain sink but the whole of Europe,” Montoro said in an interview with La Vanguardia newspaper in comments confirmed by a Budget Ministry spokeswoman. Austerity Commitment EU Economic and Monetary Affairs Commissioner Olli Rehn rejected Montoro’s comments today after a meeting of finance ministers in Brussels, saying it’s “essential” that Spain meets the target, and must take more measures to do so. De Guindos, 52, who described Montoro in December as his “mentor” and “friend,” said Spain would keep its promises. The task of attending the European meetings falls to de Guindos, who speaks fluent English, while Montoro stays in Spain. “The government’s deficit target is 4.4 percent and there is no change in this respect,” de Guindos said after the meeting today. It isn’t the first time the pair has given differing messages in the past week. De Guindos, who is not a member of parliament, wrote in the Wall Street Journal on Jan. 19 that budget cuts were “not a choice.” The same day Montoro was quoted as telling the Financial Times Deutschland newspaper that the nation may miss its budget goal. The two gave conflicting reports of the 2011 deficit on Jan. 2, as de Guindos said the overshoot may have been even greater than the government’s first estimate. De Guindos’ position on this year’s shortfall is backed up by Deputy Prime Minister Soraya Saenz de Santamaria, who said on Jan. 20 that the government was “determined” to meet the existing target. Rajoy holds a news conference later today after meeting Portuguese Prime Minister Pedro Passos Coelho at 5 p.m. in Lisbon.

Peter Hain says the then-Prime Minister was “contemptuous” toward the desire of Gibraltar residents to remain under the British flag and told how close Britain came to losing the rocky territory to the Spanish in 2002. Mr Hain tells in his memoirs, published on Monday, how he wanted to work to “do something about Gibraltar”, which has been a British overseas territory since 1713, as soon as he became Europe minister in June 2001. This was based on a “gut instinct that it as ridiculous in the modern age for Britain to have a colony on the tip of Spain nearly 2,000 miles away”. His “African roots” made it easy for him to understand the strong feelings aroused by “a little bit of England trying eccentrically to cling on to Spain”. Mr Hain developed a plan that would see Britain and Spain share the island’s sovereignty, along with “maximum self-government for Gibraltarians”, with economic assistance from the European Union. The plan was “enthusiastically” backed by the then-Labour Prime Minister during a flight back from a meeting with Italian premier Silvio Berlusconi in February 2002. Mr Blair told him on the flight: “It is really important to get a better future for Gibraltar, to secure a better relationship with Spain and to remove it as an obstacle to our relations within Europe.” Mr Hain continues that Mr Blair “was contemptuous of Gibraltarian attitudes and insistent upon making a deal which could move the whole situation forward.” In the book, “Outside In”, Mr Hain admits that he became a “hate figure on the Rock, the target of angry posters and speeches, taking me back over 30 years to the time when I was stopping apartheid rugby and cricket tours”. He accuses residents of Gibraltar of having a “schizophrenic” attitude to their status, wanting a better relationship and new opportunities with Spain but fiercely opposing co-sovereignty. He says: “They remained rigidly wedded to their idea of Britishness in a totally artificial sense.” Mr Hain says that a deal was done with the Spanish Government on 18 April 2002 to allow the British to keep control of a naval base on the island, while the people of Gibraltar could hold a binding referendum. He says: “We shook hands not quiet believing our governments had managed to come together on Gibraltar for the first time in 300 years.” However the deal was short-lived and hours after agreeing it, the Madrid government had vetoed it. A week later Mr Hain was called into Downing Street to see the Prime Minister, who had just had a visit from angry pro-Gibraltar Labour MPs and who was, Mr Hain said, now “relieved” to have been “let off the hook” by the Spanish. Mr Blair told him: “We are not going to be able to strike a deal at this moment because the Spanish aren’t ready for it. Trying to reopen their historic claim is not on. “We should just park the agreement, allow things to settle down, allow opinion in Gibraltar to realise that co-sovereignty is the way we are going, and allow Spain to realise that this deal remains on the table.” Mr Hain says that he and Jack Straw, the-then foreign secretary, “tried to argue with him but to no avail”. Mr Straw went back to Gibraltar a few weeks later where “he was almost violently attacked by a baying mob”. This reinforced Mr Straw's view that Gibraltar should be run by Britain and Spain, and he made a Commons statement setting out that view as British policy in July 2002. A month after Mr Hain stood down as Europe minister in October 2002, a referendum was carried out, in which 98 per cent of Gibraltarians voted to remain under British rule. Mr Hain adds: “I don’t regret what we did or the personal flak that I took in ensuring that, at the very least, co-sovereignty will always remain part of the political architecture for Gibraltar. In time, I believe, serious thinking on the Rock will come to see it not as a threat but as a liberating opportunity.” Since 2006, Gibraltar has governed its own affairs, although defence and foreign relations matters, are Britain's responsibility. Last night a spokesman for Mr Blair said: "Tony Blair has never said or thought Gibraltar should be 'run by Spain'. Nor was he 'contemptuous' of it. It is correct he thought the issue should be carefully handled because of relations with Spain - an important ally - but that is all."

Deadly clashes erupted on Monday in Bani Walid, with a Libyan minister denying local officials' claims the attack on the former bastion of Moamer Kadhafi was carried out by his loyalists. An AFP correspondent who managed to enter Bani Walid for a short time said thick smoke billowed into the sky, while the identity of those present was unclear and there was limited evidence of the new Libyan authorities on the roads outside the town. While local officials said the town was attacked by Kadhafi's men, Interior Minister Fawzi Abdelali dismissed these claims, saying the firefight was caused by "internal problems" in the town. He told Libyan television that the fighting was among the people of Bani Walid, and linked to "the issue of compensation for those affected by last year's war." "The information we have from inside the city does not say that there are green flags (hoisted on town buildings) and there is nothing in relation to the former regime." But Abdelali confirmed that five people were killed in the fighting as claimed by local officials. "The loyalists of Kadhafi took control of the entire city of Bani Walid," said M'barek al-Fotmani, a former member of the ruling National Transitional Council (NTC) in the desert oasis, 170 kilometres (110 miles) south of Tripoli as he led the claims of the so-called attack. Fotmani said the daylight attack started with a assault on a base of former rebels which killed "five thuwar (anti-Kadhafi revolutionaries) including a commander." Around 30 former rebels were also wounded, he said from inside the base which he later fled. Mahmud Warfelli, spokesman of Bani Walid local council, too said that the attack was launched by "a group of remnants of the old regime," and called for outside help against a feared "massacre." "There are around 100 and 150 men armed with heavy weapons who are attacking. We have asked for the army to intervene, but the defence ministry and NTC have let us down," he said. "(The gunmen) took control and hoisted the green flag on some districts, some important districts in the centre of the city," Warfelli added. A senior NTC member, Fathi Baja, said reinforcements had been sent to protect the town, adding the "fighting is between some Kadhafi supporters and thuwar." Fotmani said the assailants had surrounded the base, which belonged to the May 28 Brigade, a unit attached to the defence ministry. But Salem al-Ouaer, a military commander from the town told AFP the Brigade of May 28 itself had caused Monday's clashes. "Recently the brigade arrested two persons from the tribe of Tlatem and after negotiations it was decided it would release them today. But when members of the tribe came to take them, the brigade refused and clashes ensued," he said. "People may have spoken about being surrounded by pro-Kadhafi elements to get reinforcements...," he said, while a source close to the tribe said that some pro-Kadhafi elements in the town may have "exploited the situation to their advantage." Another AFP photograher who has also visited the town said that the situation was back to normal later on Monday, but the base remained surrounded and added that he did not see green flags. Monday's firefight follows an outburst of opposition to the ruling National Transitional Council in the eastern city of Benghazi last week that prompted its chairman, Mustafa Abdel Jalil, to warn of possible "civil war" in post-conflict Libya. Speaking on Libya al-Hurra television on Sunday, Abdel Jalil warned the new Libya would fall into a "civil war" unless protests against the NTC ended. Crowds of protesters in Benghazi -- the city which first rebelled against Kadhafi last year -- had earlier thrown home-made grenades at and stormed the NTC office before setting it ablaze, witnesses said. The demonstrators denounced the interim government for its lack of transparency and accused the NTC of marginalising some wounded veterans of the uprising in favour of people previously loyal to the slain dictator. In recent months Libya has also seen clashes between rival militias, comprised of the former rebels. Bani Walid was one of the last pro-Kadhafi bastions to fall in the bloody uprising against Kadhafi. Its capture was followed days later by the fall of his hometown Sirte in a battle which also led to his killing and marked the "liberation" of Libya.

As the news filtered out -- a series of suspicious fires at shops, parlours and clubs connected to biker gangs, along with a shooting outside a suspected Hells Angels clubhouse -- it seemed logical to conclude that London had unwittingly found itself in the middle of a biker war. That seemed upsetting, but understandable. After all, we've seen this kind of stuff before. It seemed familiar and, in some strangely perverse fashion, almost reassuring. But then London police Chief Brad Duncan revealed police believed the violence was the work of street gangs. Street gangs? Taking on the Hells Angels? That's crazy, right? Yes, it is. And that, as one expert warns, is precisely the problem. "It is audacious," says Irvin Waller. "But street gangs tend to be audacious." A founding executive director of the International Centre for the Prevention of Crime, current president of the U.S.-based International Organization for Victims' Assistance, longtime professor of criminology at the University of Ottawa and the author of several books -- including the influential Less Law, More Order: The Truth About Reducing Crime -- Waller has advised officials in more than 40 countries about how to prevent violence. And when told about our police chief's view that London is seeing a battle between gangs and bikers, Waller issues a dour warning. "None of this," he says, "is good news." Shootings and suspicious fires are, of course, never welcome. But Waller says the very make-up of a street gang -- young men typically, he says, between the ages of 15 and 25 -- is a recipe for recklessness. "These are basically young men who likely dropped out of school, or are not involved in jobs," says Waller. "If they've started to get involved in the drug trade, which would be consistent with what your police chief said, then they're probably carrying handguns for their own protection. And once you start carrying handguns for your own protection, you're living a risky life." Whereas members of the Hells Angels tend to be older, wiser and more dependent on a well-organized hierarchy with established procedures, Waller says street gangs are, by their very nature, more careless and impulsive. This local conflict has likely been triggered, he says, by a desire for a larger share of the lucrative drug market. "Your typical street gang does not have links to Colombia or Mexico, so they are basically retailers of drugs," says Waller. "The Hells Angels may also be retailers, but they've been involved in importing and distributing drugs... The Hells Angels are usually higher up the drug food chain." Waller, who has studied street gangs in Canada and Mexico, adds gang violence often escalates. "Youth gangs are not good news because they end up shooting each other, and other people get hurt," he says. "And there's no doubt there's a lot more violence associated with gang activity in Canada now than there was 15 years ago... Dramatically more." Waller says street gangs and handguns go hand-in-hand. "Now, roughly 20% of homicides are (committed) with a handgun," says Waller. "But if you go back 15 years, it was almost none that were (committed with) handgun." "What will the Hells Angels do?" asks Waller. "I don't know. But these are dangerous acts. And my concern is, where is this going to stop?"

One was a flight attendant for the airline and obtained the pilots' uniforms which helped them to bypass airport securityEFE archive A gang which used fake pilots to bypass airport security and smuggle regular shipments of cocaine into the country has been sentenced by the Alicante provincial court, after 13 kilos of cocaine were discovered at their drugs store in Benidorm. The street value of the drugs found there in a police swoop in July 2009 is given at close to half a million €. One of the defendants was a flight attendant for Ryanair who obtained pilots’ uniforms for himself and an accomplice, allowing them to bypass security at Barajas Airport. The attendant, José Antonio H.P., had been under investigation since the start of 2009 and is thought to have been paid 20,000 € for each of the trips that he made as a drugs courier. The two men have each been sentenced to more than seven years in prison. A third gang member who stored and distributed the drugs, and is thought to have been the leader, was sentenced to eight and a half years, while a fourth received four years as an accomplice.

A coast guard officer's "Get back on board damn it!" order to the fleeing captain of the capsized Costa Concordia liner is being printed on T-shirts by a company hoping to inspire Italians to rescue their country from economic crisis. Italians have made a hero of coast guard officer Gregorio De Falco for his angry exchange with skipper Francesco Schettino - who has been blamed for the accident and is now under house arrest accused of manslaughter, causing a shipwreck and abandoning ship. Stefano Ramponi, owner of the Lipsiasoft web agency that is producing the T-shirts and selling them on the Internet for 12.9 euros ($16.63), said they had become an instant hit both in Italy and abroad. "We have had a lot of requests from all over the world, from Brazil, Hong Kong, also from Germany and France, the UK. Everyone is asking us for it," he said. He said he had been criticised by some people for making money out of the January 13 disaster, in which 11 people died and 21 are still missing. But he hoped the slogan will become a rallying cry for all Italians to shoulder their responsibilities and work together to navigate through recession and get the euro zone's third largest economy back on course. "We liked this phrase a lot because it was said by Captain De Falco in an extremely difficult situation, it really impressed us," Ramponi said. "We wanted to... distribute it en-masse...particularly to all the people in Italy who don't concentrate on their jobs, who don't give their all and do harm to Italy in this time of crisis."