Government moves to seize banks in Lithuania and Latvia have affected Latvia's borrowing plans and raised questions about the stability of the Baltic banking sector

Government moves to seize banks in Lithuania and Latvia have affected Latvia's borrowing plans and raised questions about the stability of the Baltic banking sector, but officials and analysts said that if the action is handled adroitly, the damage should be limited to the institutions directly involved.

The Lithuanian government last week took over that country's fifth-largest bank, Bankas Snoras, while neighboring Latvia followed by suspending the operations of Latvijas Krajbanka, a unit of the Lithuanian bank.

The Lithuanian authorities said the seizure of Bankas Snoras was due to it having assets that were smaller than its liabilitie

The shortfall of commodity customer funds at MF Global Holdings Ltd (MFGLQ.PK) may be around $1.2 billion

The shortfall of commodity customer funds at MF Global Holdings Ltd (MFGLQ.PK) may be around $1.2 billion, about double initial estimates from regulators, the trustee liquidating the company said on Monday.

The news was a blow to customers still hoping to get more of their cash out of frozen broker accounts and raised new questions about why the authorities managed to locate only about 60 percent of the segregated customer funds three weeks after the parent firm's October 31 bankruptcy.

"I'm flabbergasted," said Tom Ward, a retired Chicago Board of Trade member whose two sons cleared their futures trades through MF Global and have been blocked from accessing their money. "The bottom line is, there's going to be a haircut involved. It's devastating, what this has done to the industry."

Monday's announcement was trustee James Giddens' first public statement on the size of the shortfall, which regulators initially said was about $600 million.

Regulators are investigating what happened to the money and whether MF Global may have improperly mixed customer money with its own -- a major violation of industry rules. No charges have been filed.

Hours after the statement, the bankrupt MF Global parent filed court papers along with JPMorgan Chase & Co (JPM.N), one of its key lenders, seeking the rare appointment of a separate trustee to take over the company's assets in bankruptcy.

Such appointments are reserved for cases in which a company's executives are accused of wrongdoing or when it may otherwise be in the estate's best interest. JPMorgan, which pledged $8 million of its collateral to keep MF Global afloat during bankruptcy, agreed to increase that pledge to $26 million if a trustee were appointed, according to the filing.

The request is on the agenda for a hearing tomorrow afternoon in U.S. Bankruptcy Court in Manhattan.

An MFGlobal spokeswomen declined to comment on the case.

QUESTIONS RAISED

In Monday's statement, Giddens said he currently controls about $1.6 billion of the brokerage's funds that he can use to pay back customers. His plans to pay back 60 percent of customer funds by early December would nearly exhaust that amount.

The sharply higher estimate of the shortfall raises questions about the investigation, said Tim Butler, an attorney for a group of customers demanding a fuller payback.

"What did the CFTC know three weeks ago and what do they know now?" Butler said. "If the amount has changed that much over three weeks, where did the money go? What were (regulators) looking at before?"

Leaders on Capitol Hill have entered the fray with calls for hearings and accountability.

Sen. Chuck Grassley, R-Iowa, said the CFTC should "do everything possible" to get more information to customers on the status of their funds. The call comes as angry farmers and ranchers across the country begin to reconsider a livelihood in the market and how they hedge future crops and livestocks.

"Unlike the big banks, the average farmer who lost money in this fiasco can't afford to hire an attorney and attend proceedings in a Manhattan courtroom," Grassley said in a statement.

MF Global was run by former Goldman Sachs & Co Inc (GS.N) chief and New Jersey governor Jon Corzine before its bankruptcy. The Chapter 11 filing came after the New York-based company revealed it made a $6.3 billion bet on European sovereign debt. Corzine resigned on November 4.

On Sunday, Reuters reported that, based on initial reports of what was supposed to be segregated for customers, the trustee appeared to be keeping about $3 billion on hand to cover the shortfall.

Customers had been clamoring for more specifics, saying that was too large of a cushion -- a notion Giddens rejected.

"Restoring 60 percent of what is in segregated customer accounts ... would require approximately $1.3 to $1.6 billion to implement," or nearly all the money at the trustee's disposal, he said.

Giddens previously transferred more than $2 billion to other brokers, giving most customers access to a portion of their funds.

Sen. Pat Roberts, R-Kan., said legislators should call on Corzine to testify about his former company's actions. Roberts said in a statement on Monday that the Senate Committee on Agriculture, Nutrition and Forestry should hold a special hearing on the matter.

If the trustee does exhaust the funds he now controls, his focus would shift to going after monies that may belong to the brokerage, but may be tied up in foreign depositories, or may be part of the shortfall, Giddens spokesman Kent Jarrell said.

"We can't distribute money we don't have, but we do have legal means for going after other assets," Jarrell said.

INVESTIGATION CONTINUES

The Commodity Futures Trading Commission and other regulators are investigating MF Global.

CFTC Commissioner Jill Sommers refused to speculate on how the $1.2 billion figure might compare with earlier estimates.

"From the very beginning we have tried as much as possible to never use a figure, out of fear that it's not right," said Sommers, who has been leading the agency's investigation into MF Global after Chairman Gary Gensler recused himself from the probe because of his ties to Corzine.

"Until the final reconciliation (of accounts) is done, you don't know what the shortfall is."

CME Group Inc (CME.O), operator of the clearinghouse for most of MF Global's customers, declined to comment.

Commodity customers say they have more questions than answers about MF Global's collapse and the safety of their money.

Sean McGillivray, vice president of Great Pacific Wealth Management, still has about $5 million tied up in MF Global for his customers. He was aware of the latest estimates of the shortfall, but wants exact figures.

"It would be in the best interest of all clients, brokers and anyone else caught in this mess to know just how much has been transferred ... and how much is supposed to be there," he said. "You could do this with an abacus and it would take less (time)."

A spokesman for the Commodity Customer Coalition in Chicago, which represents more than 7,000 former MF Global customers, said it was unclear how much of the trustee's estimate related to possible co-mingling of customer money.

Some of the missing money could be tied up overseas, said spokesman John L. Roe.

"We're hopeful given what was accounted for initially that more of the money will be found and that the trustee will work with us on an expedited claims process for customers," he said.

INVESTORS REACT

In a sign that even distressed investors are losing faith in a decent return, MF Global's bonds fell to an all-time low below 30 cents on the dollar, according to Tradeweb, down more than 5 cents on the day. The $325 million in 6.25 percent notes were issued at par in August.

Some investors have targeted other financial institutions. Two pension funds have sued seven banks, including Bank of America Corp (BAC.N), JPMorgan and Goldman Sachs, over prospectuses that allegedly concealed the problems that led to MF's collapse.

The trustee's case is In re MF Global Inc, U.S. Bankruptcy Court, Southern District of New York, No. 11-2790.

The MF Global bankruptcy is In Re MF Global Holdings Ltd, in the same court, No. 11-15059.

Police were in dark over foreign axe killer living in UK

 

COPS did not know an East European axe murderer was living in the UK until he caused a killer car crash, a court heard yesterday. Intars Pless, 34, hacked through a friend's throat in his native Latvia, then moved to Britain after he got out of jail. But Lincoln Crown Court heard police can only check a foreign national's record if they break the law here. So Pless's horrific crime came to light only after he drove into moped rider Valentina Planciunene, 37, while over twice the limit. Stuart Lody, prosecuting, told the court: "On the night of Valentine's Day he decided it would be a perfectly good idea to drink a very large quantity of whisky. Surprised "He and a friend spent a considerable period of time drinking whisky and driving around. "During the driving he was possibly drinking whisky as well. An empty whisky bottle was found in the boot of the car. "At the time of the collision he was heavily under the influence of alcohol. His ability to drive would have been severely impaired." Pless was convicted of causing death by dangerous driving after the jury heard he left her dead in the road in Wyberton Fen, Lincs. He was told he faces a long jail term. The judge also called for his deportation.

UK economy forecast: Eurozone crisis dampens Bank’s growth estimate

 

THE Bank of England warned today that the eurozone debt crisis is the “single biggest risk” to the UK recovery as it forecast a dramatically increased threat of a double-dip recession next year. Its quarterly inflation report revealed a greater chance of the economy contracting in the first three quarters of 2012, compared with its August forecasts, as eurozone and banking concerns and squeezed household budgets continue to weigh on growth. The Bank slashed its central - or most likely - growth estimate to no more than 1 per cent in both 2011 and 2012 from previous forecasts of around 1.5 per cent and 2.2 per cent respectively. The worsened prospects for the UK economy mean inflation is likely to fall far quicker than previously estimated, hitting the Government’s 2 per cent target in the second half of next year before falling to as low as around 1.3 per cent in 2013. Bank governor Sir Mervyn King warned the “journey to a more balanced world economy will be long and arduous”. He said UK economic activity will be broadly flat until the middle of next year and added that the country faces a “difficult economic environment”. Today’s report backs the City’s view that the Bank will keep interest rates on hold for the foreseeable future and add another £75 billion to its quantitative easing programme by February. Vicky Redwood, chief UK economist at Capital Economics, said: “Even the Bank’s downgraded growth forecasts still look optimistic to us - we expect zero growth next year.”

Man arrested over alleged police payments named as Sun journalist

 

A Sun journalist has been arrested as part of Scotland Yard's investigation into alleged payments to police officers by newspapers. The reporter is believed to be Jamie Pyatt, district editor of the paper. The arrested journalist was taken to a South West London police station at 10.30am on Friday. Pyatt, 48, has been working at the Sun since 1987. He is the sixth person arrested by detectives working in Operation Elveden, which was set up in July following allegations that police officers had received up to £130,000 over several years from the News of the World for information, including contact details of the royal family. News International refused to comment on the arrest and saying it had "a very clear duty of care to employees and would not be making any comment on individuals". Scotland Yard also refused to confirm the identity of the person it arrested, but said in a statement earlier that it had arrested a 48-year-old man in connection with Operation Elveden. Its statement said: "He was arrested outside London on suspicion of corruption allegations in contravention of section 1 of the Prevention of Corruption Act 1906, and is being brought to a south-west London police station." Operation Elveden is one of three Met investigations relating to alleged illegal activities by newspapers. The others are Operation Weeting and Operation Tuleta, set up to examine phone hacking and computer hacking, respectively. On Thursday, Scotland Yard confirmed to the Guardian that the number of people whose phones may have been hacked had reached 5,800 – 2,000 more than previously stated. So far 16 people have been arrested and bailed on allegations of phone hacking.

Italy government hangs by thread as coalition crumbles

 

Italian Prime Minister Silvio Berlusconi's fate hung by a thread Friday and desertions from his crumbling centre-right coalition may have already robbed him of the parliamentary numbers he needs to survive. Berlusconi, caught in the crossfire from European powers and a party revolt at home, agreed at a G20 summit in France to IMF monitoring of economic reforms which he has long promised but failed to implement. But this may soon be irrelevant for the Italian leader, who will return to Rome later Friday to face what looks increasingly like a deadly rebellion by his own supporters. With financial markets in turmoil over the situation in Greece and Italy viewed as the next domino to fall in the euro zone crisis, calls are mounting for a new government to carry through reforms convincing enough to regain international confidence. Berlusconi has consistently rejected calls to resign and says the only alternative to him is an early election next spring, rather than the technocrat or national unity government urged by many politicians and commentators. Yields on 10-year Italian bonds reached 6.36 percent by early afternoon, creeping closer to 7 percent, a level which could trigger a so-called "buyers' strike" where investors take fright and refuse to buy the paper. Two deputies from Berlusconi's PDL party this week defected to the centrist UDC, taking his support in the 630-seat lower house of parliament to 314 compared with the 316 he needed to win a confidence vote last month. But at least seven other former loyalists have called for a new government and could vote against the 75-year-old media magnate. "The (ruling) majority seems to be dissolving like a snowman in spring," said respected commentator Stefano Folli in the financial daily Il Sole 24 Ore. Other commentators spoke of an "inexorable" revolt against Berlusconi. Even Defence Ministry undersecretary Guido Crosetto, a Berlusconi loyalist, said on television: "I don't know how many days or weeks the government has left. Certainly a majority relying on a few votes cannot continue for long." PATRONAGE Berlusconi, one of Italy's richest men, still has significant powers of patronage and he and his closest aides are expected to spend the weekend trying to win back support for a parliamentary showdown Tuesday. Some rebels have already threatened to vote against Berlusconi in the vote to sign off on the 2010 budget. Berlusconi faced concerted calls to resign when he lost a previous vote on this routine measure, which was almost unprecedented. Although it is not a confidence motion, he would come under huge pressure if he suffered a second defeat. "Unpopular prescriptions are necessary and this challenge cannot be faced with a 51 percent government," said UDC leader Pier Ferdinando Casini, in a reference to Berlusconi's weakness and a widespread feeling that the reforms can only be passed with a broad consensus. The premier has promised European leaders that he will call a formal confidence motion within 15 days to pass amendments to a budget bill incorporating new measures to stimulate growth and cut Italy's huge debt. That will be in the Senate where he has a more solid majority but it could still bring him down. Berlusconi, beset by a string of sex scandals and court cases, has consistently resisted pressure from groups ranging from a powerful business lobby to the Catholic Church to stand down.

Chris and Mary Gorman were arrested by police in Orlando, Florida, after a member of staff at the city's Roxy venue found two men and a woman in the men's toilets.

Accused ... Mary Gorman.

A multimillionaire British couple have vowed to fight charges against them after they were arrested in a US nightclub following an alleged sex act.

Entrepreneurs Chris and Mary Gorman were arrested by police in Orlando, Florida, after a member of staff at the city's Roxy venue found two men and a woman in the men's toilets.

The couple, who live in Renfrewshire and are thought to be worth more than £40 million ($62 million), do not face indecency charges.

TV celebrity Peter Andre visited the new Aventura Amazonia

 

TV celebrity Peter Andre visited the new Aventura Amazonia adventure park in Marbella with his children.

 

The visit was part of a recording for ITV2’s ‘My Life’.

 

Hugh Grant is the delighted father of a baby girl. He and the mother had a fleeting affair and while this was not planned, Hugh could not be happier or more supportive

British actor Hugh Grant has become a father for the first time at the age of 51. Photograph: Leon Neal/AFP

Film star turned anti-hacking activist Hugh Grant has become a parent for the first time at the age of 51.

The actor – best known for roles in Four Weddings and a Funeral and Bridget Jones's Diary – became father to a baby girl earlier this month.

The identity of the mother has not been revealed but a spokeswoman for the actor said they were on good terms.

She added: "I can confirm that Hugh Grant is the delighted father of a baby girl. He and the mother had a fleeting affair and while this was not planned, Hugh could not be happier or more supportive. He and the mother have discussed everything and are on very friendly terms."

Grant has had several high-profile previous relationships, including with Elizabeth Hurley and socialite Jemima Khan, from whom he split in 2007.

The actor has kept a low profile on the big screen in recent years. His last role was alongside Sarah Jessica Parker in 2009's Did You Hear About the Morgans? and his next project is to voice the role of a captain in animated film The Pirates!, due for release in spring.

Grant, who suspected that his own phone had been hacked, recently emerged as the unofficial spokesman for victims of phone hacking at the News of the World after railing against politicians for failing to curb the power of Rupert Murdoch. He wrote a New Statesman article after secretly recording a conversation with a former News of the World reporter, Paul McMullan, in which he alleged that ex-editor Rebekah Brooks knew about hacking at the paper.

Taking a shot … Roger Moore, shown here in 1984 Bond film A View to a Kill, was less than impressed by Quantum of Solace

. Photograph: Allstar/Cinetext Collection

Former James Bond actor Sir Roger Moore has described the franchise's most recent outing, Quantum of Solace, as "a long, disjointed commercial".

 

The 84-year-old actor, who played 007 for 12 years between 1973 and 1985, was speaking to a reporter from Cambridge University's Varsity newspaper when he criticised the film, which was released in 2008 and starred Daniel Craig. Moore, who praised Craig's interpretation of Ian Fleming's secret agent despite disliking the film, also passed comment on another Bond - his own predecessor, Sean Connery. "Sean is a good actor," said Moore. "It's a pity I can't understand what he's saying."

 

Moore, known for his wry sense of humour, rounded off the interview by revealing that his favourite contemporary actor is Johnny Depp. "I wish he would change his name to something I can remember," he quipped.

 

The actor also identified his favourite Bond girl – his wife, Danish-Swedish multi-millionaire Kristina Tholstrup. He was visiting the university to give a speech at the student union, where he introduced himself as "Moore, Roger Moore".

 

Meanwhile, Daniel Craig will return as 007 in a new James Bond film, rumoured to be titled Skyfall, which will arrive in cinemas next year. Javier Bardem, Ralph Fiennes and Naomie Harris have all been linked with the film, which will be helmed by American Beauty director Sam Mendes. Official confirmation of the film's details will be announced at a press conference in London tomorrow

Fresh appeal launched to find man living abroad accused of murdering Nantwich man

 

NEW appeal has been launched to capture a man wanted in connection with the murder of a Stapeley market trader. Christopher Guest More, 33, of Lymm, near Warrington, is one of 10 individuals wanted in the latest campaign being run by Crimestoppers and the Serious Organised Crime Agency (SOCA). He is suspected to have been part of a gang involved in the torture and murder of market trader and cannabis farmer Brian Waters, who was killed in a barn in Tabley, near Knutsford, in June 2003. Three of his alleged accomplices, Otis Lee Matthews, James Stuart Raven and John Godfrey Wilson, received life sentences for their part in the brutal attack. More is also sought in connection with the attempted murder of Suleman Razak and for the alleged false imprisonment and assault of other victims present during the incident. It is believed he fled to Spain just 24 hours after the incident. The appeal is part of crime charity Crimestoppers’ ‘Operation Captura’ campaign, which is trying to locate wanted criminals abroad. Crimestoppers’ regional manager Gary Murray, said: “This extremely heinous crime saw an individual lose their life and the person responsible needs to be tried for their actions. “I’d urge anyone with information to contact Crimestoppers on our 0800 555 111 number or use our online form on our website – we guarantee your anonymity.” Detective Chief Inspector Andrew Smith said: “Eight years on, we still remain determined and committed to finding and arresting Christopher More for his alleged involvement in the brutal murder of Brian Waters. “Cheshire Police will not close this case until the family of Brian Waters sees justice done.”

TOP Gear presenter Jeremy Clarkson tried to stop his ex-wife from claiming they had sex after he remarried.

Jeremy Clarkson took out the gagging order against his ex-wife last year. It's not known why he applied to lift it. Picture: Cameron Richardson Source: Supplied

Clarkson, who has made a name for himself as a man refuses to be silenced, denies the allegation but took out a gagging order against Alexandra Hall last year.

The claim can now be revealed because he asked for the order to be lifted.

It is unclear why he decided to withdraw the order, which banned any reporting of "sexual or other intimate acts or dealings" between Clarkson and Ms Hall.

Ms Hall married Clarkson in 1989 but their marriage lasted only a year.

She claims she had relationship with him after they split and Clarkson was married to his current wife, Frances.

Clarkson's marriage came under fire from the tabloids earlier this year over claims he had cheated on his wife with a member of the Top Gear production team while in Australia.

He denied the reports and said his 18-year marriage was strong.

The couple have three children.

Cowell: Tweet for X Factor faves

 

US X Factor judge Simon Cowell says he wants fans to use Twitter to vote for their favourite contestants. The Fox show has announced that from November 2, fans can cast a ballot by sending a direct message over Twitter to the official X Factor account. Viewers can also cast a ballot on the show's Facebook page and its official website. "It's a sign of the times," said Cowell, who believes more votes will come in as a result of expanding the process. "Sites like Twitter and Facebook give (the audience) a much bigger voice." Aside from social media, votes can be sent the old fashioned way, by making a phone call or sending a text message and by using a special App created for Verizon Android devices. Cowell uses the internet to gauge what people think of the series so far. He goes online during and after the show to see what people are saying and plans to join Twitter once he learns "how to type quicker". The US show is averaging about 12.5 million viewers an episode, but one thing that has hindered it in recent weeks is the Major League Baseball World Series. Games on Fox have pre-empted the show leading to confusion among viewers and causing some DVR devices to not record X Factor. Cowell says the conflict has been frustrating but they "knew in advance this was going to happen". He believes the ratings have been consistent so far and word of mouth will get people to tune in. On Tuesday's first live show, five acts were cut leaving 12 remaining contestants. With the competition heating up, so has the tension among its judges, who are each mentoring a class of contestants. Cowell has the girls, LA Reid is mentoring the boys, Paula Abdul is helping the groups and Nicole Scherzinger has the solo acts over 30. Cowell says Abdul claims to have the hardest category to mentor, but disagrees with her. He mentored the groups in the UK version of the show and "loved doing it".

Netflix, the American media giant that streams blockbuster movies and TV series over the internet, is to launch on this side of the Atlantic.

Netflix will offer tens of thousands of films in the UK - including exclusive early access to new films. The move comes after a series of hiccups for the company in the U.S., including price hikes and a disastrous attempt to split off its DVD rental business into a new company called Qwikster. 

Neftlix lost 800,000 U.S. subscribers in the last quarter. In the UK, it will offer video streamed to PCs, TVs and consoles, rather than DVD rentals. 

Coming over to the UK. Netflix has signed a number of deals with leading film studios to have the first rights to offer blockbuster movies once they have finished their cinema run

Robert Downey Junior in Iron Man. In the USA, the company¿s 'watch Instantly' service holds first-run rights to films from Paramount Pictures, MGM, Lions Gate Entertainment. Paramount titles include Iron Man, Star Trek and Captain America.

Netflix has 25 million users worldwide. It is said to be the biggest single source of North American web traffic, accounting for 24.71 per cent of use.

North American customers typically pay around $7.99-$9.99 a month to stream Netflix films to electronics such as connected TVs, PCs and games consoles.

In the UK, though, it's up against serious competition in the form of it Lovefilm, a UK on-demand service owned by Amazon which is integrated into electronics such as connected TVs and Sony's PlayStation 3.

Netflix is pulling out the stops to try and ensure it offers a unique service. 

 

 

 

It has signed a number of deals with leading film studios to have the first rights to offer blockbuster movies once they have finished their cinema run.

The company said the price details will be announced closer to the date of the launch of the service, which will go live in Britain and Ireland early next year.

Rapid expansion: Reed Hastings, chief executive of Netflix, already has 25million subscribers worldwide

The TechRadar website said: ‘This is pretty exciting news for fans of streaming content.’

Netflix was founded in California in 1997 initially as a DVD rental business where discs were posted to customers across the USA.

It subsequently developed into the world’s largest supplier of web downloads of films and TV with 24.6million users in the US alone.

The company has now embarked on a major international expansion. It began operating in Canada last year and recently added  43 countries in Latin America and the Caribbean.

A spokesman said: ‘Netflix has revolutionised entertainment across the Americas by giving its members a huge selection of films and TV shows to enjoy when and where they want.’

‘Upon launch, Netflix members from the UK and Ireland will be able to instantly watch a wide array of TV shows and films right on their TVs via a range of consumer electronics devices capable of streaming from Netflix, as well as on PCs, Macs and mobile tablets and phones.’

In the USA, the company’s ‘watch Instantly’ service holds first-run rights to films from Paramount Pictures, MGM, Lions Gate Entertainment.

Paramount titles include Iron Man, Star Trek and Captain America.

There are also deals with Sony Pictures, Walt Disney Motion Pictures Group, and Anchor Bay Entertainment, together with US TV shows offered by NBC Universal and 20th Century Fox.

Netflix is locked into complex negotiations with these companies to have the right to show all its output in the UK and Ireland.

In Britain, the business will face competition from LoveFilm, which is owned by Amazon and offers packages that combine DVD postal rentals with access to streaming.

Lovefilm deals start at £5.99 a month, which includes three DVD rentals a month and two hours of streaming. A £19.95 a month package allows unlimited streaming of films.

Sam, 20, said: "There is no way we will be going anywhere near where it happened. It's left us terrified of further repercussions. We're discussing security."

 

Screen beauty ... Sam Faiers

 

Billie added: "It's the only thing we can do to feel safe."

A spokesman said: "It is being arranged. Whenever the girls feel it appropriate they will have security around them."

 

Gesture ... Peri Sinclair takes flowers to sisters' house

LOUIS WOOD / THE SUN

 

Replacement locks were fitted at their home yesterday after the thugs stole Billie's keys along with her £1,500 handbag, mobile, jewellery and shoes. She said: "We've been too scared to go out. I lost everything."

The sisters — who run a boutique in Brentwood and are regulars on the Essex party circuit — are considering a trip out today. They will also be visited by police to take statements.

 

Thoughtful ... pal Mark Wright buys gifts for the girls

 

Yesterday The Only Way Is Essex newcomer Peri Sinclair and Sam's ex Joey Essex, 21, took flowers to their home.

The sisters have decided to continue filming the programme and references will be made to their ordeal in tonight's show.

 

Precaution ... locks being changed at pair's home

 

Co-star Mark Wright was due to visit last night for dinner. Earlier he was seen buying cuddly toy gifts for the girls.

Viewers will see tonight's ITV2 show fade to black at the end, before Sam talks to him about the attacks.

McLaren driver Lewis, 26, says the X Factor supremo is one of the key reasons that his four-year romance with Nicole Scherzinger hit the skids.

Lewis Hamilton and Nicole Scherzinger (Pic:PA)

IT’S just as well Simon Cowell likes fast cars – he might need to speed off sharpish if F1 race ace Lewis Hamilton claps eyes on him...

McLaren driver Lewis, 26, says the X Factor supremo is one of the key reasons that his four-year romance with Nicole Scherzinger hit the skids.

He reckons 52-year-old Cowell’s decision to offer Nicole, 33, a judging job on X Factor USA – replacing Cheryl Cole – put “immeasurable strain” on the couple’s relationship.

Lewis has been tied up on the Grand Prix circuit while former Pussycat Doll singer Nicole’s own hectic schedule has prevented her from spending time with him on race days.

It means they have barely seen one another in person since May.

Concerned by both their hectic lifestyles, Lewis is understood to have decided they needed a break – as I revealed on Monday.

Last night, a source close to the couple confirmed: “Lewis and Nicole have been having problems for the past six weeks.

“Increasingly hectic schedules this year have meant limited face-to-face time.

“They’ve probably spent more time on the phone or on Skype than they have in person.

“Sadly, Nicole’s job on X Factor USA – which, professionally, has been an unmitigated success – appears to have come at the cost of her relationship.

“Nicole was under enormous pressure to succeed and was desperate to please Simon, her boss.

“But Lewis found their intense working relationship hard to contend with.

“This, plus Lewis’s crazy international jet-set lifestyle, put immeasurable strain on the pair.

“She was crushed and did everything she could to make it work. They are still good friends though and the break-up is all very amicable.”

Multi-millionaire Lewis, who was said to be in a “vile mood” after last weekend’s Korean Grand Prix, recently said he was a long way off wanting to start a family.

Meanwhile, Nicole has become friends with host Steve Jones, who is said to have a crush on her.

Last night, a spokesman for the couple declined to comment.

Libya: Col Gaddafi buried at dawn

 

Officials said earlier that the ousted Libyan leader would be buried in a secret desert grave, ending a wrangle over his rotting corpse that led many to fear for the country's governability. Transitional government forces had put the body on show in a cold store in Misurata while they argued over what to do with it, until its decay forced them on Monday to end the display. His son Mutassim is thought to have been buried in the same ceremony. A few relatives and officials were in attendance, according to a Misurata military council official. Yesterday, the government bowed to international pressure and announced a commission to determine how Gaddafi died after he was cornered in a drain while trying to flee Sirte, his besieged home town. Mustafa Abdul Jalil, the chairman of the NTC, and other officials have said Gaddafi was killed in crossfire. Mr Jalil said: "In response to international calls, we have started to put in place a commission tasked with investigating the circumstances of Muammar Gaddafi's death in the clash with his circle as he was being captured."

Knight Frank partners share £73m bonus pool

 

PARTNERS in the upmarket estate agent Knight Frank have landed a £73m payout after profits rose by 10 per cent in the last financial year, buoyed by foreign investors flocking to London’s luxury property market. The firm, which advises on both residential and commercial property deals, saw pre-tax profits rise to £101.9m in the year to March – its highest level since the credit crisis – while turnover increased seven per cent to £308.4m. “Equity rich buyers” seeking property in London helped boost the firm’s residential arm, which has instructed on deals including the sale of St John’s Wood Barracks in northwest London. The bonus pool is more than double the amount awarded in 2009, although it is now shared by more people as Knight Frank has extended its partnership. Nick Thomlinson, senior partner and chairman of Knight Frank, conceded he remained cautious about the outlook for the year ahead but said the group had strengthened its balance sheet and was focusing on growth in key markets like Asia. The firm also opened new offices in Dubai, South Africa, Austria and Switzerland.

Failure to solve Europe's debt crisis will cost UK taxpayers billions

 

Britain has already injected £1.88bn into the European Investment Bank (EIB) and pledged another £35.7bn, equivalent to close to 2pc of UK GDP, to be drawn down as required. Although the EIB, which is the world's largest non-government borrower, ranks above other unsecured creditors, thanks to its "privileged relationship" status under the EU treaty, it could face huge losses in the event of a euro break-up. If the UK's stake in the European Bank for Reconstruction and Development (EBRD) is included then the total capital commitment for the taxpayer could rise by a further several billion pounds. On top of this the country could also be called on to stump up some of the cost of the EU's emergency funding facility the European Financial Stability Mechanism. "What the public doesn't realise is the quite simply staggering amounts of taxpayer money that has already been committed if things get significantly worse. This may be a doomsday scenario, but recent history has proven that many events thought extremely unlikely have a funny habit of coming to pass," said one London-based credit analyst. The EIB's most recent accounts reveal huge sovereign credit risk exposures to the endangered periphery states. Some €14.2bn of loans were made to, or guaranteed by, the Greek government. Another €7.7bn is backed by the Portuguese sovereign.

full brutality of former Libyan tyrant Muammar Gaddafi's regime has been revealed in chilling video footage of prison torture sessions.

The full brutality of former Libyan tyrant Muammar Gaddafi's regime has been revealed in chilling video footage of prison torture sessions.

And the fallen dictatorship's former foreign minister, Musa Kusa - who was released by the British authorities six months ago after he defected to the UK in March - is facing fresh allegations that he was directly involved in the beating of political prisoners.

The footage - obtained by the BBC's Panorama programme - was reportedly shot at the notorious Abu Salim prison in Tripoli. It shows crouching inmates, blindfolded and wearing blue uniforms, being repeatedly whipped and kicked by interrogators. 

Brutal: A still from footage of a prisoner being whipped inside the Abu Salim prison during Gaddafi's rule

Last month the remains of more than 1,200 prisoners were found in a mass grave outside the prison's walls.  

 

 

More...

• Now the hunt for justice begins: Libya's secret files on Yvonne Fletcher, Lockerbie bombing and IRA weapons to be made public 'within months'
• Finally free: Libya officially declares its liberation after 42 years of brutal rule

     

 

The Panorama team tracked down Kusa to a luxury resort in Qatar during its investigation into his role in alleged war crimes. He declined to be interviewed for the programme.

Kusa was head of Gaddafi's intelligence agency from 1994 and a senior intelligence agent when PanAm flight 103 was blown up over Lockerbie.

Inhumane: An inmate is kicked in the head by one official as a prison guard looks on

 

Back in the spotlight: Torture suspect Musa Kusa defected to Britain in April but moved to Qatar just weeks later

The Boeing 747 jumbo jet was en route from London to New York when it exploded over the Dumfriesshire town, killing 243 passengers, 16 crew and 11 residents.

There have also been calls for Kusa to be quizzed in relation to the murder of PC Yvonne Fletcher, who was shot during a protest outside London's Libyan Embassy in 1984.

Kusa made a high-profile defection to Britain in March and was interviewed by police and Scottish prosecutors investigating the Lockerbie attack.

But within weeks he was allowed to leave the UK following an EU decision to lift sanctions against him, meaning he no longer faces travel restrictions or an asset freeze.

No comment: Panorama reporter Paul Kenyon is blocked by a bodyguard while attempting to question Kusa

The Foreign Office said Kusa was a 'private individual' who had been interviewed voluntarily.

But the ruling was condemned by one Tory MP who said Britain had become 'a transit lounge for alleged war criminals'.

And Britain is now under fresh pressure to interview Kusa in relation to the allegations.

Dr Jim Swire, whose 23-year-old daughter Flora died in the Lockerbie bombing, said that if anyone could offer any insight into the 'huge questions still unanswered' on Libya's role in Lockerbie, it would be Mr Kusa.

High profile: Kusa was less reluctant about speaking to the press following his defection to London earlier this year

He said: 'When I met Musa Kusa in Libya in 1991 it was clear to me he was the guy who was central to the Gaddafi administration.

'He could tell us just as much as Gaddafi about Lockerbie as he was at the core of the regime.

'He was a very, very key figure and we need answers as to why he was allowed to fly back. Any probing over his crimes should be done by the International Criminal Court.'

Pamela Dix, who lost her 35-year-old brother Peter in the atrocity, said she was 'incensed' after Mr Kusa was allowed to leave Britain in the first place.

She said: 'We cannot turn a politically pragmatic blind eye.

'I do not know what Musa Kusa knows or does not know about Lockerbie but he needs to come back to answer those questions.

'I condemn the attitude of the UK Government in the strongest possible terms. A political hands-off attitude is inappropriate.'

CHANNEL 4 LOOKS AT BRITISH CONSULS

 

Channel 4 has gained unprecedented behind-the-scenes access to some of the world's busiest British consulates for brand new series Our Man In, made by Screenchannel TV. The observational documentary series will follow the busy working lives of British Consuls and their staff in Spain in some of the busiest offices in the world - Alicante, Ibiza, Mallorca, Barcelona and Tenerife - as they cope with everything British holidaymakers and expats throw at them. Spain receives more than 13 million British visitors every year, has more than 800,000 British residents and the British consular staff dealt with nearly 12,000 cases last year alone. Everyone's story is different - some have simply been unlucky, others careless, some criminal and some just plain silly - and consular staff are left to pick up the pieces of wrecked holidays, car crashes, crime incidents, drunken binges, deaths and the hundred and one things that can go wrong when Brits go abroad. They are the people who will help when holiday makers and expats have no one else to turn to, can't speak the language and are generally at their wits end. Our Man In will be with them on the frontline as they deal with the huge number of cases they are confronted with during the height of the summer holiday season, and the cameras will accompany them whether they are visiting police cells, prisons, hospitals or hotels, 24 hours a day. The 3x60 series was commissioned by Channel 4 Deputy Head of Features, Andrew Jackson and will air in 2012. It will be executive produced by Emma Barker and Peter Lowe, and series produced by Alicia Kerr. Andrew Jackson said: "With never before seen access it's great to be able to shine a light on this hidden world of our men and women on the consular front line tackling major and minor problems. With millions of Brits holidaying and living in Spain, the series is bound to be funny, moving, inspiring and surprising." Emma Barker said: "The Foreign Office has given us amazing access and been incredibly open with us and the series will show the wide range of issues that staff face and how they cope with some really demanding situations. In any one day the consular officers have to deal with the very best and worst of humanity, whether they're visiting murderers in prison, dealing with unexpected deaths, or keeping a smile on their faces as they issue the twentieth lost passport of the day."