Eurozone bailout fund faces key Slovakian vote

Slovakian Prime Minister Iveta Radicova has so far been unable to get her coalition partners to agree a deal

Slovakia faces a key vote later on measures to bolster the powers of the eurozone bailout fund, seen as vital in combating the bloc's debt crisis.

With one coalition party vowing to abstain, the goverment looks set to lose the vote, but may keep trying.

After Malta approved the plans late on Monday, Slovakia is now the last of the eurozone's 17 member states to vote.

Slovakia's prime minister says she will tie the vote to a confidence vote - putting her government at risk.

"I have to say that the coalition partners have failed to reach an agreement," Prime Minister Iveta Radicova said.

The country's future in Europe was at stake, she said.

"It's unacceptable for a prime minister to allow the isolation of Slovakia."

While three of the four parties in the government coalition back the expansion, a fourth, the liberal Freedom and Solidarity (SaS), is holding out.
The SaS has balked at Slovakia - one of the poorest countries in the eurozone - being asked to guarantee 7.7bn euros of the 440bn EFSF.

It demanded a binding agreement that Slovakia would refuse to take part in the European Stabilisation Mechanism - which is meant to replace the EFSF in 2013 - and a veto over future bailout disbursements from the EFSF.

When the government failed to bow to its demands, it said it would abstain from the vote.

That means the vote is likely to be lost, as the socialist opposition has also said it will abstain.

However, parliament can call for a repeat vote. The opposition has indicated it would then back the measures - though it may make its own stringent demands, including new elections.

'Not enough'
To expand the powers of the bailout fund - the European Financial Stability Facility - all member states must agree on the measures proposed in July.

These include expanding the size of the fund to an effective lending capacity of 440bn euros ($600bn; £383bn).

They also include giving it the power to buy eurozone government debt and offer credit lines to member states and to banks.

The irony is that these plans, agreed in July, are now seen as inadequate, says the BBC's Matthew Price in Brussels.

Market analysts suggest the fund needs to be nearer 2 trillion euros to be effective.

Other plans agreed in July, to make private investors take a hit on any default by Greece on its debts, are also now seen as insufficient. Reports suggest leaders are contemplating a 50% cut rather than the 21% cut originally proposed.

Fresh measures
French President Nicolas Sarkozy and German Chancellor Angela Merkel pledged on Sunday to do what it takes to protect European banks from the debt crisis.

The leaders said they were close to a detailed package to ease the crisis and would give further details within weeks.

The pledge helped boost stock markets on Monday, with Wall Street's Dow Jones index rising 3%, albeit on low volumes.

The markets are now expecting more comprehensive measures designed to tackle the crisis once and for all to be announced at a G20 meeting in Cannes at the beginning of November.

Vitamins linked with higher death risk in older women

A healthy diet should provide enough nutrients without the need for supplements, experts advise

When it comes to vitamins, it appears you could have too much of a good thing, say researchers who report a link between their use and higher death rates among older women.

Experts have suspected for some time that supplements may only be beneficial if a person is deficient in a nutrient.

And excess may even harm, as the study in Archives of Internal Medicine finds.

All of the women, in their 50s and 60s, were generally well nourished yet many had decided to take supplements.

Multivitamins, folic acid, vitamin B6, magnesium, zinc, copper and iron in particular appeared to increase mortality risk.

The researchers believe consumers are buying supplements with no evidence that they will provide any benefit.

Harms v gains
They are quick to stress that their study relied on the 38,000 US women who took part in it recalling what vitamins and minerals they had taken over the previous two decades.

And it is difficult to control for all other factors, like general physical health, that might have influenced the findings.

But they say their findings suggest that supplements should only be used if there is a strong medically-based cause for doing so because of the potential to cause harm.

"Based on existing evidence, we see little justification for the general and widespread use of dietary supplements," Dr Jaakko Mursu of the University of Eastern Finland and his research colleagues said.

Less is more
In the study, iron tablets were strongly linked with a small (2.4%) increased death risk, as were many other supplements. The link with iron was dose-dependent, meaning the more of it the individual took, the higher their risk was.
Conversely, calcium supplements appeared to reduce death risk. However, the researchers say this finding needs more investigation and they do not recommend that people take calcium unless advised to by a doctor in order to treat a deficiency.

Drs Christian Gluud and Goran Bjelakovic, who review research for the Cochrane Database of Systematic Reviews to evaluate best evidence, said: "We think the paradigm 'The more the better' is wrong."

They say dietary supplementation has shifted from preventing deficiency to trying to promote wellness and prevent diseases, and caution: "We believe that for all micronutrients, risks are associated with insufficient and too-large intake."

Helen Bond of the British Dietetic Association said some people, like the elderly, might need to take certain supplements. For example, vitamin D is recommended for people over the age of 65.

But she said that generally, people should be able to get all the vitamins and minerals they needed from a healthy, balanced diet.

She said some took supplements as an insurance policy, wrongly assuming that they could do no harm. "But too much can be toxic and it is easy to inadvertently take more than the recommended daily amount."

'Underwear bomber' Abdulmutallab in Detroit trial

Abdulmutallab has had several outbursts during pre-trial hearings

A Nigerian man accused of an attempting to bomb a Detroit-bound flight with explosives sewn into his underwear has arrived at a Detroit court for trial.

Umar Farouk Abdulmutallab, 24, originally planned to defend himself, but his court-appointed lawyer will instead deliver an opening statement.

Mr Abdulmutallab faces a series of charges, including attempted use of a weapon of mass destruction.

If convicted, he could face a lifelong prison sentence.

The US government says Mr Abdulmutallab attempted to detonate a bomb aboard a flight from Amsterdam to Detroit as it landed on Christmas 2009.

The bomb, however, did not work and he was badly burned instead.

As the trial got under way, Mr Abdulmutallab's standby lawyer Anthony Chambers requested a ban on the word "bomb" until the final arguments.

Federal Judge Nancy Edmunds denied the request, saying "it makes no sense whatsoever".

'Driving the bus'
During last week's jury selection Mr Abdulmutallab alternately questioned potential jurors himself or sat silent as defence lawyer Anthony Chambers interviewed others.
The 24-year-old is officially representing himself, after firing a team of four lawyers appointed by the Detroit Federal Defender office last year.

Mr Chambers is the "standby counsel" appointed by a federal judge.

He told the Associated Press news agency he had been authorised by Mr Abdulmutallab to deliver the opening statement.

Mr Chambers said his client was "driving the bus" on the ultimate decisions made in the courtroom.

"His self-representation certainly makes it more difficult strategically. But we're doing the best we can with what we have to work with."

Lloyd Meyer, a former terrorism prosecutor at the US justice department, told AP Mr Abdulmutallab giving his own opening statement would have been disastrous for the defence.

"He would have stood up in front of a jury and said, 'I wanted to murder my fellow passengers and here's why'," Mr Meyer said.
Interview allowed
Mr Abdulmutallab attempted to have several pieces of information banned from appearing at trial, including statements he made while being treated for burns at a hospital.

He argued the interview should be suppressed, as he was not read his rights before being questioned by the FBI, including the right to remain silent.

US District Judge Nancy Edmunds, who is presiding over the case, denied the request, citing public safety in the immediate hours after the attempted bombing.

Judge Edmunds will also will let jurors see a martyrdom video recorded by Mr Abdulmutallab before the attack but won't let jurors see a video clip of al-Qaeda leader Osama Bin Laden hailing him as a hero.

As the juror pool was whittled down last week, Mr Chambers was ultimately unsatisfied with the makeup of the jury.

The final jury has only two African-Americans out of 12 total.

"Obviously, I'm not pleased with the pool," Mr Chambers said after jury selection last week. "By appearance, it does not represent the community."

Mr Abdulmutallab's father, Alhaji Umaru Mutallab, an influential banker who is well connected in Nigerian politics, said he had approached the US embassy officials and Nigerian authorities to warn them about his son in 2009.

The former student's outbursts in the courtroom have become common.

Last week, he shouted "Anwar is alive" during jury selection, an apparent reference to Anwar al-Awlaki, a US-born al-Qaeda recruiter killed in a drone strike in September.

During a pre-trial hearing, Mr Abdulmutallab made similar statements about Osama Bin Laden after his publicised death.

"The goal of the court is to get the best representation so no one down the road can claim [Mr Abdulmutallab] was railroaded or forced to assume a responsibility he could not handle," said David Steingold, a Detroit defence lawyer.

Egypt minister Hazem el-Beblawi quits over Coptic rally

Mr Beblawi said the government was ultimately responsible for the violence

Egypt's Finance Minister Hazem el-Beblawi, who was appointed by the ruling military council after popular protests earlier this year, has resigned, officials and media say.

Mr Beblawi, who was also deputy PM, quit over the government's handling of a Christian Coptic protest on Sunday, they said.

It ended in clashes between the army and protesters in which 25 were killed.

The ruling military council has ordered a swift inquiry into the violence.

Grievances
"Despite the fact that there might not be direct responsibility on the government's part, responsibility lies, ultimately, with the government," state news agency Mena quoted Mr Beblawi as saying.

"The current circumstances are very difficult and require a new and different way of thinking and working," he said.

His resignation came as members of the Coptic Christian community began a three-day fast to mourn those killed.

The ruling military council, which was handed the power to govern by President Hosni Mubarak before he was ousted in the popular revolt, is in temporary charge of the country while elections are organised.

The Copts, who make up about 10% of Egypt's 85 million population, have a number of grievances against the interim administration.

They say the authorities have been slow to punish radical Islamists who have attacked their churches.

Sunday's protest was sparked by the burning down of a church in the southern Aswan province last month.

About 2,000 people gathered in Cairo for an initially peaceful rally to protest against its destruction. But fighting soon broke out, involving protesters, residents and troops.

Greece payout likely to go ahead

The Greek austerity measures are hugely unpopular and have led to a wave of strikes and protests

International financial inspectors say they have reached agreement with Greece on reforms to put the nation's troubled economy back on track.

"Economic and financial policies" have been agreed between Greece and the troika of bodies which has been mulling if Athens will get any new loans.

The EU, IMF and European Central Bank say Greece is now likely to get 8bn euros ($11bn; £7bn) more bailout cash.
It came as they said Greece's fiscal target for 2011 was not achievable.

"Once the Eurogroup and the IMF's executive board have approved the conclusions of the fifth review, the next tranche of 8bn euros will become available, most likely, in early November," a statement said.

Some 5.8bn euros would come from the euro area member states, and another 2.2bn from the International Monetary Fund.

"The success of the programme continues to depend on mobilising adequate financing from private sector involvement (PSI) and the official sector, " the troika statement continued.

"Ongoing discussions on PSI together with assurances provided by European leaders at their 21 July summit suggest that the programme remains fully financed," it said.

The statement said that, "the fiscal target for 2011 is no longer within reach, partly because of a further drop in GDP, but also because of slippages in the implementation of some of the agreed measures".
However, it added that that 2012's deficit target of 14.9bn euros should be met if there was a "determined implementation" of the government's austerity plan.

Workplace reforms
The inspectors said they believed Athens was committed to its privatisation plan. Ministers hope to raise 35bn euros by the end of 2014.

The troika said the key to achieving that goal was to ensure that the privatisation fund, which supervises the sell-offs, remains independent.

The auditors also praised a decision to end sector-wide collective labour agreements as "a major step forward".

The government wants pay and terms to be negotiated at a company-level rather than across whole industries, as they have been previously. The move should make it easier for managers to sack employees.

Unions oppose the reform. However the inspectors say it will boost growth and prevent unemployment from becoming entrenched.

The news provoked a mixed reaction.

"It doesn't contain any surprises," said Michael Massourakis, chief economist at Athens-based Alpha Bank.

"Most of these things are known. But of course it is encouraging that the troika have concluded that there is reasonable hope that the agreement will get back on track."

Constantine Michalos, president of the Athens Chamber of Commerce and Industry, was more critical.

"We do welcome the fact that the troika is now coming forward with the proposal to advance the sixth tranche of aid in early November," he said.

"However, the mixture of economic policy which is currently being applied to the Greek economy is completely in the wrong direction. It will lead to a further, and even deeper, recession in 2012"

Ukraine ex-PM Yulia Tymoshenko jailed over gas deal

Former Ukraine leader Yulia Tymoshenko has been jailed for seven years.

A judge ruled the ex-prime minister had criminally exceeded her powers when she signed a gas deal with Russia in 2009.

Mrs Tymoshenko said the charges were politically motivated. She vowed to appeal against her sentence and fight for Ukraine "till her last breath".

The EU said it was disappointed with the verdict, and that Kiev's handling of the case risked deep implications for its hopes of EU integration.

EU foreign policy chief Catherine Ashton said in a statement the verdict showed justice was being applied selectively in politically motivated prosecutions.

Russian Prime Minister Vladimir Putin, who signed the deal with Mrs Tymoshenko, said he did not understand why she had been jailed.

"It is dangerous and counterproductive to cast the entire package of agreements into doubt," Mr Putin was quoted as saying by Reuters news agency.

Russia's foreign ministry had earlier said the ruling had a "clear anti-Russian subtext".

'Shame, shame'
Riot police stood outside the court as thousands of supporters and opponents gathered. There have been minor clashes and some arrests.

In his ruling, Judge Rodion Kireyev said the former prime minister would also have to pay back 1.5bn hrivnas ($186m; £119m) lost by the state gas company as a result of the deal.
She has also been banned from political office for three years, with implications for her role in next year's parliamentary elections.

As the verdict was read out, Mrs Tymoshenko spoke over the judge, saying she would fight to defend her honest name.

She said Ukraine had returned to the repression of Stalin's 1937 Soviet Union, and accused her long-time rival President Viktor Yanukovych of orchestrating the trial.

She said she would take the case to the European Court of Human Rights.

"We will fight and defend my good name in the European court," she said. "We have to be strong and defend Ukraine from this authoritarianism."

After the judge finished the verdict, her supporters in the court shouted: "Shame, shame."

They believe Mr Yanukovych used the trial to get rid of her before the next presidential election.

Western officials had urged the president to reclassify the charges against her as administrative, not criminal.

AFP news agency later quoted Mr Yanukovych as saying the sentence was not final, and that the appeal court would have to decide whether to uphold it.

"Today the court took its decision in the framework of the current criminal code. This is not the final decision," he said.

'Not very optimistic'
The former Orange Revolution leader was accused of exceeding her authority while negotiating the gas agreement with Russia in 2009, which critics say was to Ukraine's disadvantage.
"In January 2009, Tymoshenko... exercising the duties of prime minister... used her powers for criminal ends and, acting deliberately, carried out actions... which led to serious consequences," Judge Kireyev said.

As a result of ordering state gas company Naftohaz to sign an import contract with Russia in 2009 she inflicted damages of 1.5bn hrivnas on the company, he added.

Russia pipes gas to western Europe across Ukrainian territory and relations between the two ex-Soviet states have long been dogged by disputes over transit fees and unpaid bills.

As the verdict was read out over several hours, Mrs Tymoshenko stared at her iPad, apparently not listening to the judge, occasionally exchanging whispers with her daughter, Evgenia Carr.

She has been in custody for contempt of court since 5 August.

Mrs Tymoshenko was the heroine of the Western-leaning Orange Revolution - the sudden street protests that erupted after a fraudulent presidential election in 2004 - and was made prime minister shortly afterwards.

But the next few years saw Ukraine's revolution stagnate, and were marred by bickering between Mrs Tymoshenko and her Orange allies, which paralysed the country just as it was facing a deep economic crisis.

In 2010 the revolution was definitively reversed, when Mr Yanukovych was elected president and Mrs Tymoshenko forced into opposition.

Former president and one-time ally Viktor Yushchenko and others have testified against her in the court case.