Today's Business Headlines

Miners desert ALP's critic
One of the most strident critics of the Rudd government's workplace laws has suffered a setback with the resignation of BHP Billiton and Rio Tinto from the Australian Mines and Metals Association. The Australian

Petrobras joins offshore WA gas hunt
Brazil's state-run oil giant Petrobras has joined the worldwide rush to discover gas riches off WA's North West after striking a farm-in deal worth as much as $US235.5 million ($253 million). The West

States fear GST raids by Rudd
State treasurers have warned that Kevin Rudd's health reform plan will provide a precedent for the federal government to raid their GST revenue for future policy reforms in areas of state responsibility. The Australian

ATO turns focus on foreign accounts of at least 100,000 customers
The Australian Taxation Office has ramped up pressure on Australians with undeclared accounts in tax havens by gazetting orders allowing it to question 57 Australian institutions about the behaviour of at least 100,000 customers. Sydney Morning Herald

We'll fight $100m lawsuit, says ANZ
Banking giant ANZ says it will "vigorously" defend a $100 million claim lodged yesterday by the liquidators of failed stockbroker and lender Primebroker Securities. Herald Sun

THE WEST AUSTRALIAN:

Page 3: The hopes of 300,000 public servants taking ownership of their retirement fund have been dashed, with Treasurer Troy Buswell to confirm today that the government has scrapped mutualisation plans for WA's biggest superannuation provider.

Page 4: State treasuries have warned premiers that if they agree to Kevin Rudd's hospital reforms they may end up losing a lot more than 30 per cent of their GST revenue as they come under political pressure from Canberra.

Page 6: Demand for water could rise by as much as 70 per cent across WA and the Perth and Peel regions could face serious shortages by 2020, a startling new report predicts.

Page 7: WA taxpayers are paying more than $250,000 a year to run a school bus service between Kununurra and Wyndham, which is usually used by just two students.

Page 10: A third native title claim over an area of the Kimberley overlapping James Price Point will be launched within weeks.

Page 11: Compensation will be paid to Aboriginal workers whose wages were stolen for most of the last century, Indigenous Affairs Minister Kim Hames says.

Page 13: Two senior crew members on the Chinese coal carrier that ran aground on the Great Barrier Reef over Easter have been arrested.

Page 14: A new federal drought policy that would scrap exceptional circumstance payments and better prepare farmers is expected to be tested in WA.

Page 15: Parking fees at some city carparks have soared by up to 84 per cent over the past two years under so-called early bird rates that are costing up to $25 a day, figures show.

Business: Brazil's state-run oil giant Petrobras has joined the worldwide rush to discover gas riches off WA's North West after striking a farm-in deal worth as much as $US235.5 million ($253 million).

The Australian Taxation Office has ramped up pressure on Australians with undeclared accounts in tax havens, wining the right to quiz 57 Australian institutions about the behaviour of at least 100,000 customers.

Forge Group managing director Peter Hutchinson says he has no regrets about selling half of his shareholding into a partial takeover bid from Clough, despite an independent expert yesterday describing the offer as neither fair nor reasonable.

The multi-million-dollar collapse of managed forestry scheme operator Forest Enterprises Australia has thrown capital raising hopes of the sector's survivors into disarray.

Last year's capital raising boom also turned into a bonanza for investment bankers, with Goldman Sachs JBWere becoming the latest to reveal a profit windfall.

THE AUSTRALIAN FINANCIAL REVIEW:

Page 1: The Australian Taxation Office has demanded 57 financial institutions hand over the record of clients with offshore bank accounts, in an unprecedented crackdown on the abuse of tax havens.

Prime Minister Kevin Rudd has accused Victorian Premier John Brumby of demanding a blank cheque from Commonwealth taxpayers as Mr Brumby promised to scuttle Mr Rudd's health reform package at a meeting next week.

Major property developers have committed to more than $15 billion of new projects as banks increase lending to the sector and companies look to tale advantage of a recovering economy.

Small retirement funds will be forced to merge under new legal obligations to be imposed on trustees as part of proposals aimed at lowering the cost of operating basic superannuation products.

Page 3: Optimistic households have virtually shrugged off consecutive interest rate rises as soaring house prices and a strong labour market fuel confidence in the outlook for the recovery.

Page 7: The Construction, Forestry, Mining and Energy Union has called on the federal government to "get serious" about using its procurement policies to enforce labour standards, despite employer fears of being forced into agreeing to a last-resort arbitration of disputes.

THE AUSTRALIAN:

Page 1: State treasurers have warned that Kevin Rudd's health reform plan will provide a precedent for the federal government to raid their GST revenue for future policy reforms in areas of state responsibility.

Victorian Education Minister Bronwyn Pike says principals have been given too much autonomy over construction work at state schools, and the lesson of the Building the Education Revolution program is that her department should take more responsibility for the work.

One of the most strident critics of the Rudd government's workplace laws has suffered a setback with the resignation of BHP Billiton and Rio Tinto from the Australian Mines and Metals Association. The two mining giants have told the association in recent days they will not be renewing their membership. They will instead pursue a direct relationship with the government.

Page 2: Former Victorian police chief Christine Nixon did not make or receive a single phone call or message in the three hours during which the deadly Black Saturday bushfires consumed the town of Marysville.

Kevin Rudd will ignore China's international business showpiece Shanghai Expo 2010, sending Governor-General Quentin Bryce in his place. The snub -- which follows the Prime Minister's failure to attend Barack Obama's nuclear summit in Washington this week -- underscores still-simmering tensions between Canberra and Beijing.

Unemployed entrepreneur Eddy Groves saw the humour in his long-anticipated day in court yesterday, 18 months after the collapse of the ABC Learning empire he built from scratch.

Page 3: The captain and watch officer of the Chinese ship blamed for causing unprecedented damage to a coral shoal on the Great Barrier Reef will face court today on federal charges that attract heavy fines and jail.

The Australian Taxation Office has demanded information from 50 offshore and domestic banks about 100,000 of their wealthy Australian customers, as part of a crackdown on tax cheats who are hiding money offshore.

A confidential memo by the tax office warns that thousands of taxpayers are ''becoming desperate over serious cash flow problems'' after refunds were delayed by a botched computer system upgrade.

Page 4: The Rudd government is checking for fraud about $70 million in payments it has withheld under the failed $2.5 billion home insulation scheme. The payments for about 69,000 jobs have been withheld for compliance reasons, including multiple rebates claimed for the same address or for incomplete and incorrect paperwork.

Page 5: Deputy Prime Minister Julia Gillard's Fair Work Ombudsman has taken on teachers planning to boycott the national literacy and numeracy tests, warning their industrial action could be unlawful.

Page 6: One of the most strident critics of the Rudd government's workplace laws has had a setback in the lead-up to the federal election, with BHP Billiton and Rio Tinto resigning from the Australian Mines and Metals Association.

Business: BlueScope Steel appears to have backed away from its robust public rejection of the proposed Pilbara iron ore merger, in a shift that could cement Australian regulatory approval of the $US116 billion production joint venture proposed by Rio Tinto and BHP Billiton.

The superannuation industry is divided about the Cooper review's proposals for the establishment of MySuper no-frills accounts, with many large players highly sceptical of claims it will drive down costs and create a simpler system.

The bidding war for Macarthur Coal is heating up after Queensland miner New Hope revised its $3.64 billion takeover offer to include a cash component.

Optus has warned that the laws establishing the $43 billion national broadband network could allow the NBN to replace Telstra as a powerful and cashed-up monopolist.

The upheaval at one of Australia's oldest companies, the Australian Agricultural Company, continues with the cattle producer recalling as temporary chairman a man who was dumped from the position two years ago.

Macquarie Group will pay $US2 billion ($2.14bn) for a portfolio of commercial aircraft, the largest acquisition in the bank's recent buying spree that extends its march into international markets.

Premier Colin Barnett has told Texan oil and gas leaders that Western Australia is the ''mining capital of the world'' and the home of ''mega-projects'' as he touts for investment during a 10-day US tour.

Businesses in Western Australia are so worried and confused by the Rudd government's new industrial laws, they are rushing to pay thousands of dollars for professional advice on how to cope with them.

Brazilian national oil giant Petroleo Brasileiro (Petrobras) is moving into Australia, paying up to $US80 million ($85.8m) to take a half-stake in an exploration permit off the coast of Western Australia, partner MEO Australia said yesterday.

Forest Enterprises Australia called in administrator Ferrier BRI yesterday amid claims the company had been placed in an ''untenable position'' by the Commonwealth and ANZ banks.

BHP Billiton is likely to suffer more than its potential iron ore joint-venture partner Rio Tinto if the miners' planned $US116 billion ($124bn) deal collapses.

Kerry Stokes has agreed to stricter controls on what his private earthmoving group WesTrac can report as earnings as part of amendments to its $3 billion merger with Seven.

Toyota's quality crisis is exposing -- and exacerbating -- a longsimmering internal feud. The battle pits the founding Toyoda family against a group of professional managers, each blaming the other for the carmaker's woes. Behind the scenes in recent weeks, the skirmishing has grown intense.

The Australian sharemarket renewed its assault on the psychological 5000 resistance level yesterday, as banks surged ahead of their earnings reports.

SYDNEY MORNING HERALD:

Page 1: An Al-Qaeda recruiter, described as the No.1 terrorist threat to America, was engaged by a Sydney youth group to address hundreds of young people - a decision that has caused deep divisions at one of Australia's largest mosques.

The high-security holding cells at Sydney Central Local Court have played host to a who's who of the criminal world cooling their heels before and after an appearance in the dock.

The state government's new $28 million emergency contra-flow traffic plan desperately needs an overhaul if motorists are to avoid a repeat of this week's F3 debacle, the NRMA warns.

The state's fiercely independent Director of Public Prosecutions is being forced to retire for financial reasons - despite having life tenure in his job.

Page 2: The credibility of the former Victorian police chief Christine Nixon has been battered by admissions she had no contact with emergency services for almost three critical hours on Black Saturday, and that she misled the state's bushfire royal commission.

Page 3: Health authorities will not investigate a chemical compound found in many common household items despite concerns in the US about links to hormone dysfunction.

World: (New York) Barack Obama is set to promote his vision for the nation's human space flight program - including putting a human on Mars - just two days after three Apollo astronauts called the new plans "devastating".

Business: Paying for financial advice through super will become more like renewing your home contents cover if a proposal by the Cooper review into superannuation to be released this week comes into effect.

Sport: Champion trainer Gai Waterhouse stunned the racing world yesterday when she summonsed her stable jockey Nash Rawiller to appear in the Supreme Court along with rival trainer Chris Waller and the state's thoroughbred regulator.

THE AGE:

Page 1: The credibility of former police chief Christine Nixon has been battered by admissions she had no contact with emergency services for almost three critical hours on Black Saturday, and that she misled the Bushfires Royal Commission.

The Victorian government ignored advice from its own expert consultant that the emergency paging system that failed on Black Saturday should have remained capable of operating at its maximum capacity.

Page 2: Two crew members of the Chinese coal ship that smashed into the Great Barrier Reef have been arrested and charged by the Australian Federal Police.

Page 3: A leading al-Qaeda recruiter, described as the No 1 terrorist threat to the US, was engaged by a Sydney youth group to address hundreds of young people - a decision that has caused deep divisions at one of Australia's largest mosques.

World: The toll from an earthquake that rocked north-western China's remote Qinghai province yesterday has risen to about 400 dead and 10,000 injured.

Business: There was little contrition from Eddy Groves yesterday as he fronted the Federal Court in Sydney to answer questions about the collapse of ABC Learning.

Sport: A bewildered North Melbourne chairman James Brayshaw says his club's supporters should be embarrassed by AFL membership figures, which reveal the Kangaroos are more than 1,000 members down on the same stage last year and are running last of Victorian-based clubs on the membership table.

DAILY TELEGRAPH:

Page 1: He swept to power promising a fairer workplace - but Kevin Rudd's Government has had a staff exodus, losing 262 people in just over two years.

In typical style, the state's top prosecutor was yesterday holding an olive branch in one hand and a grenade in the other as he announced he would be leaving the job after 16 years.

Page 3: She made her national television debut on Tuesday night with a beautiful performance of Summer-time, charming an audience of almost 1.5 million viewers and making Kim Pickering Jones the favourite to win Australia's Got talent.

World: A powerful earthquake hit a remote mountainous area of China yesterday, killing about 400 people and injuring thousands as it toppled houses and at least one school, burying many in rubble.

Business: Investment bank Macquarie Group has spent almost $2 billion beefing up its aircraft leasing division, buying 53 new and in-production jets that are currently leased to 35 airlines around the world.

Sport: They are the hardest, meanest and most feared of rugby league players - but they are also the most vulnerable.

HERALD SUN:

Page 1: Christine Nixon's credibility has unravelled after a day of damning evidence to the bushfires royal commission. The Herald Sun today calls on Premier John Brumby to immediately dismiss her. This is why.

Page 2-3: Christine Nixon was out of touch for three critical hours as Victoria burned on the night of Black Saturday.

World: Facebook has launched a revamped internal site designed to help people stay safe and report threats while on the popular online hang-out.

Business: Banking giant ANZ says it will vigorously defend a $100 million claim lodged yesterday by the liquidators of failed stockbroker and lender Primebroker Securities.

Sport: Collingwood coach Mick Malthouse will lead Australia's International Rules team on the post-season tour of Ireland, placing him on a potential collision course with Saints players caught up in Friday night's on-field spat.

CANBERRA TIMES:

Page 1: A Supreme Court judge says prisoners shouldn't be put in the ACT's problem prone new jail if their safety can't be guaranteed.

The Commonwealth and Victorian governments are at loggerheads over the health reform plan, with Premier Mike Rann accusing the prime minister of holding patients to ransom.

Page 2: Victoria's former police boss Christine Nixon has admitted she did not speak to anyone for three hours at a critical time on Black Saturday.

Page 3: Two senior crew members of the ship that ran aground on the Great Barrier Reef have been arrested.

World: US president Barack Obama has declared the world a safer place after a 47-nation summit agreed to a four-year deadline to lock down loose nuclear materials.

Business: Australia's All Ordinarys index broke through the 5000-mark on Wednesday for the second time this week.

Sport: Wallabies coach Robbie Deans could call on Brumbies captain Stephen Hoiles for representative duties.