Vic house prices soar to record highs

Melbourne house prices have hit record levels after a successful three month period on the market. Source: AAP

MELBOURNE house prices have reached record levels after a successful three month period on the property market.

The city's median house price jumped nearly nine per cent to $595,000 in the September quarter, figures from Real Estate Institute of Victoria (REIV) suggest.

The median house price was $35,000 higher than the previous peak of $559,000, recorded in December 2010.

REIV chief executive officer Enzo Raimondo said buyers are taking advantage of low interest rates resulting in the increased demand.

"Sustained growth in previous quarters has also instilled further confidence in the property market in Melbourne," Mr Raimondo said.

He warns that this level of growth may not be sustained over an extended period of time.

Melbourne's units and apartments reported steady growth of 4.8 per cent, to $481,500. Homes in Balwyn recorded the biggest price hike, with a 26.8 per cent rise to $369,600 in three months.

Suburbs with the strongest growth in median prices this quarter were Balwyn, Brighton East, Ascot Vale, Balwyn North, and Footscray.

The median house price in regional Victoria saw a 0.8 per cent increase to $308,000 with Geelong, Ballarat and Bendigo the key regional centres for buyers.

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Hinch denies fan plea to pay contempt fine

BROADCASTER Derryn Hinch has denied he's asked his fans to pay off a giant contempt of court fine, but he won't turn down any offers to cover his legal bills.

Hinch has to pay $100,000 within three months or will be jailed for contempt of court.

The court heard the veteran journalist has a net value of $1.18 million and an annual income of $212,000.

But Hinch pointed out on Twitter on Saturday that he's getting offers to cover his court costs and legal fees.

He then provided an email address for an assistant as a contact for such inquiries.

Within hours, he was clarifying that his tweet didn't mean he was asking for donations to pay off the contempt fine.

"Claims I've made Twitter plea to help pay contempt fine. Not true," he tweeted.

"I've not asked for help to pay fine. Would not accept $$. People offered to help with court costs. I thank them."

He wrote that if the donations he receives are bigger than his legal fees he'll give the money to charity.

Victorian Supreme Court Justice Stephen Kaye criticised Hinch on Friday as a grossly irresponsible journalist while sentencing him for his sixth conviction for contempt of court and related offences.

Hinch had breached a court suppression order when he published details on his blog about Adrian Ernest Bayley, including that he was on bail and parole when he murdered Melbourne woman Jill Meagher.

Hinch admits the huge fine will "hurt like hell" and he apologised for offending the court.

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Sparkie burnt in NSW supermarket fire

A YOUNG electrician has suffered second-degree burns to his face and hands during a fire which destroyed a supermarket in northwest NSW.

The 20-year-old sparkie, who is due to be airlifted to Sydney for treatment, was on Saturday afternoon working in the closed supermarket at Walgett when the blaze started.

The fire has been brought under control.

Police will investigate the cause of the fire, but it's not being treated as suspicious.

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No charges for driving on US jet survivor

A firefighter who ran over and killed a survivor of the Asiana Airlines crash will not be charged. Source: AAP

THE US firefighter who ran over and killed a survivor of the Asiana Airlines crash in San Francisco was unaware she was responsible for the girl's death at the time of the incident.

San Mateo County District Attorney Steve Wagstaffe said on Friday that the firefighter was responding to the burning Boeing 777 when the truck she was driving unknowingly rolled over Ye Mengyuan.

Investigators believe Ye was laying prone on the tarmac and covered in firefighting foam.

Wagstaffe said Duckett would not be charged criminally.

The San Francisco Fire Department chief declined to discuss the 16-year-old's death, but said in a prepared statement that firefighters likely saved the lives of many critically wounded passengers.

In all, 304 of the 307 people aboard the Boeing 777 survived the July 6 crash.

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Abbott looks towards hot, dry summer

PM Tony Abbott has urged NSW employers to be patient with workers who are volunteer fire fighters. Source: AAP

PRIME Minister Tony Abbott has urged NSW employers to be patient with workers who are volunteer fire fighters during the coming long, hot, dry summer.

"This is an important way in which the families and businesses can serve our community, by supporting those of their members who are out with the rural fire brigades," he told reporters at Winmalee Fire Station in the Blue Mountains.

The most serious of the fires currently burning across NSW is in the region near Winmalee.

Mr Abbott, a Rural Fire Service volunteer, thanked those working on the NSW emergency.

"I just want to say how sorry we are on behalf of the people and the parliament of Australia for the heartache which so many hundreds of people in NSW are currently dealing with, but how proud we are of the thousands of volunteers and full-time professionals (fire fighters)," he said.

It was too early to tell how many properties had been destroyed or how much the recovery bill might be.

It's believed hundreds of homes have been destroyed and one person has been confirmed dead.

People affected by the fires will be able to get disaster relief payments of $1000 per adult and $400 per child.

The payments will be available in the severely affected areas of the Blue Mountains, Lithgow, Muswellbrook, Port Macquarie-Hastings, Port Stephens, Wyong and Wingecarribee.

"It's quite a long time since we've had property losses in the order of hundreds here in NSW, so this was a very, very big fire," Mr Abbott said.

The prime minister noted Australia had a long experience of managing bushfires and had the infrastructure and personnel in place to deal with such emergencies.

"It could be a long, hot, dry summer," he said.

"We're also lucky to have supportive employers, and supportive families who allow their loved ones to go out and do this kind of work when it's needed."

Mr Abbott is unlikely to join his Davidson brigade for fire fighting duties over the weekend, his office says.

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Archbishop urges new refugee debate

THE Anglican Church has called for a sane conversation on asylum seekers after Australia's major parties descended to the political basement on the issue during the election campaign.

Anglican Archbishop of Adelaide Jeffrey Driver said Labor and the coalition essentially tried to outbid each other with measures that set aside the facts and disregarded elements of basic humanity.

"The recent federal election saw the debate about asylum seekers descend to the political basement."

He said Labor's no benefit scheme, to send all those arriving by boat to another country, was inhumane and used vulnerable people to discourage people smugglers.

While he said the coalition's answer was to turn back the boats, although no-one could explain how the voyage back to places like Indonesia would be less risky than continuing.

"We have had the election and it is time to resume a sane conversation on this difficult subject," Archbishop Driver told the Anglican Adelaide synod on Friday.

The archbishop said it would be helpful if everyone put aside language that so often pervaded the debate including the nonsense that asylum seekers were queue jumpers or that they were illegal arrivals.

He said there must be appropriate border controls and he knew of no-one who suggested Australia have an open-door policy to take a limitless number of refugees.

"But this problem is not going to go away and even if they are reduced somewhat, the boats will keep coming," Archbishop Driver said.

"This is because they are part of a global phenomenon.

"For all that we might do here in Australia, this phenomenon needs to be addressed with the help of global partners and as close as possible to the place of first refuge.

"Despite the political rhetoric, the human problem has not gone away."

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One dead and 80 homes destroyed in fires

THEY have been described as apocalyptic, devastating and some of the worst we have ever seen.

The fires in NSW have left one man dead and hundreds of homes feared destroyed, while emergency services warn there may be worse news to come.

More than 1500 firefighters were on the ground across the state on Friday as more than 90 fires scorched through 91,000 hectares and destroyed at least 80 homes.

A 63-year-old man collapsed from a heart attack while defending his house at Lake Munmorah on the NSW central coast on Thursday - marking the first fatality in the crisis.

Walter Linder collapsed in his yard and despite attempts to revive him, died at Wyong Hospital.

As residents and emergency services began returning to affected areas, Rural Fire Service Commissioner Shane Fitzsimmons warned more casualties may be discovered.

"There is a possibility that we might find people who haven't been able to get out of harm's way," he told reporters.

The fires, he said, were some of the most damaging and destructive the state has ever seen.

Mr Fitzsimmons became visibly emotional as he addressed the media, stopping to compose himself as he praised the work of his colleagues.

"We have the best firefighters in the world," he said.

But for some people's homes, the ferocity of the fires were too great.

Eighty-one properties are confirmed to have been destroyed and 37 damaged by blazes in the Blue Mountains communities of Springwood and Winmalee.

But with only 30 per cent of the area so far being inspected, the RFS expects the numbers to rise.

One local, Helen Walton, who has lived through three major bushfires since moving to the mountains said the fire - which scorched almost 2000 hectares - was by far the worst she had seen.

But her house remains, and she vows to as well.

"We'll stay. Of course we'll stay. We might have to re-landscape, though," she told AAP.

Springwood resident Catherine Hubbard made a terrifying escape from the bushfire that destroyed her home, seeking refuge with strangers.

"The sun was totally blocked out and houses were burning down to the ground all around us," she said.

Without running water, the neighbours used buckets and wet towels - "whatever we could get our hands on" - to douse embers, knowing the house was their only refuge.

Then came a change in the wind which cleared a path through the smoke.

"It was a miracle, actually," Ms Hubbard said.

While the Blue Mountains was the worst hit region, residents of Lithgow, the Southern Highlands and the central coast also faced another tough day as blazes flared up across the state, with the fire in Balmoral running rapidly.

In the quaint Catherine Hill Bay village near Lake Macquarie, resident Wayne Demarco surveyed the destruction caused by Thursday's fire.

"It looks very apocalyptic ... It looks horrible with telephone poles burned to the ground and things just destroyed."

Two firefighters are in hospital with burns and a Winmalee man is being treated for smoke inhalation.

But there was some good news on Friday night, with all blazes downgraded to a watch and act alert or below as humidity rises and winds drop.

Firefighters were strengthening containment lines and getting out of control blazes in check before worsening weather conditions on Sunday and Monday.

But Mr Fitzsimmons warned the situation remained "very active, dynamic and dangerous."

"The fight will continue night and day for days and, on some fire grounds, for weeks," he said.

Prime Minister Tony Abbott, an RFS volunteer himself, thanked those working on the NSW emergency.

"I just want to say how sorry we are on behalf of the people and the parliament of Australia for the heartache which so many hundreds of people in NSW are currently dealing with, but how proud we are of the thousands of volunteers and full-time professionals (fire fighters)," he said at Winmalee fire station.

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Man dies defending home in Central Coast

The mayor of Lake Macquarie says she's confident locals will band together in the face of bushfires. Source: AAP

FIREFIGHTERS are still labouring to protect homes in NSW's Central Coast, after one man died and historic properties are feared lost in the bushfires.

In the first casualty of a fire disaster, a 63-year-old man at Lake Munmorah suffered a heart attack while he was fighting a fire at his home on Thursday afternoon.

Attempts were made to resuscitate him at the scene but he died at Wyong hospital.

On Friday night the fire at Ruttleys Road had been downgraded from an emergency warning to a watch and act and is now being controlled, the Rural Fire Service (RFS) said.

Over the past 24 hours the fire ran through Tall Timbers Road, Carters Road and Kanangra Drive, spreading into the Munmorah State Conservation Area and then burning into Catherine Hill Bay.

But firefighters reported on Friday evening that the threat had reduced to properties in the Chain Valley Bay North, Gwandalan and Summerland Point communities, following successful back burning.

As residents at the heritage seaside town of Catherine Hill Bay returned to the area on Friday, they said up to five historical buildings were feared lost, including the 19th century Wallarah House at Catherine Hill Bay.

Wayne Demarco described the landscape as "apocalyptic".

"It looks horrible with telephone poles burned to the ground and things just destroyed," he told AAP.

But Lake Macquarie Mayor Jodie Harrison says she is confident locals will band together.

"To see people from ... really tight-knit villages... at a time of such uncertainty is very sad," she told AAP.

Speaking from outside the Swansea RSL, which has been turned into an evacuation centre, Ms Harrison described the agonising wait for up to 60 evacuees waiting to return home.

"The uncertainty is the most unsettling and disturbing thing for people."

Evacuation centres remain open at Swansea RSL and Doyalson RSL.

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Search for bodies at Laos plane crash site

Six Australians were among those killed when a Lao Airlines plane crashed into the Mekong River. Source: AAP

IT will be a slow process recovering the bodies from the Lao Airlines plane that crashed into the Mekong River, killing all 49 people on board, including six Australians.

The Lao Airlines ATR 7620 twin turboprop aircraft, purchased from France in March this year, was making an approach to the airport in "severe weather" and strong winds on Wednesday evening when it plunged into the Mekong River near Pakse Airport in southern Laos.

A formal investigation has been launched but Australia's ambassador to Laos, Lynda Worthaisong, said it would be a slow process because the area was difficult to access and the plane is underwater.

A team of Lao aviation investigators was dispatched early on Thursday, as recovery of bodies from the brown waters of the Mekong River pressed ahead at the crash site near Pakse in Champasak province, the final destination of flight QV301.

Lao Airline officials at a press conference in Vientiane on Thursday confirmed there were six Australians among the 49 passengers and crew on board the ATR 7620 twin turboprop aircraft.

The passenger list also included 17 Laotians, seven French, five Thais, three South Koreans, two Vietnamese, a Chinese, a Canadian, a Myanmarese, a Taiwanese and an American.

Among the Australians killed was Sydney tax agent Gavin Rhodes, his wife Phoumalaysy (Lea), their daughter and baby son. The other Australian victims was Michael Creighton, 42, an aid worker, and his father Gordon Creighton, 71, who was visiting his son in Laos.

Ms Worthaisong told AAP the crash site, while close to Pakse town, was difficult to access, "so that's obviously hampering recovery efforts and the plane is in the river presumably with most of the passengers on board."

However, as of late Thursday, contacts close to the investigation said none of the bodies of the six Australians had yet been recovered.

"We're in contact with the families and providing consular support," Ms Worthaisong said.

She said hopes held by airline officials of rapid progress in any investigation were optimistic.

"To be honest the plane is still under the water. It may take some time, given the challenges associated with the recovery effort. I think it may take some time," she said.

Debris could be seen floating in the river at the scene of the disaster, while suitcases were wedged in mud on the riverbank.

Backpacks, an aeroplane propeller and passports were among the debris scattered on the riverbank.

A team of 50 divers from the Thai navy as well as a charity foundation from the northern Thai town of Ubon Ratchathani are assisting in the recovery efforts.

"So far eight bodies have been found. We don't yet know their nationalities," said Yakao Lopangkao, director-general of Lao's Department of Civil Aviation, who was at the crash site in Pakse, in southern Laos.

"We haven't found the plane yet. It is underwater. We're trying to use divers to locate it," he told AP.

He ruled out any chance of finding survivors.

"There is no hope. The plane appears to have crashed very hard before entering the water."

Some bodies were found as far as 20 kilometres from the crash site, he said.

"We have asked villagers and people who live along the river to look for bodies and alert authorities when they see anything," he told AP.

Some of the bodies were taken to a mortuary at a Chinese temple in Pakse.

Three bodies draped in blue plastic sheets were seen in the building, which was guarded by about 10 policemen, some armed, who turned away onlookers.

"They are foreigners from the crash," staff at the centre told AFP, adding that their nationalities were unknown.

Mr Lopangkao told the Vientiane Times the accident was probably caused by the bad weather associated with tropical storm Nari.

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Rescued soldiers to leave hospital in Tas

TWO soldiers rescued while walking in Tasmania's wilderness as part of their recovery from combat injuries are expected to soon be released from hospital.

The two were picked up from different locations on the Overland Track near Cradle Mountain by rescue helicopter and airlifted to hospital.

One sustained shoulder and back injuries, while the other also hurt a shoulder.

"Both members' injuries have been categorised as satisfactory and they are expected to be discharged from hospital later today," Defence said in a statement to AAP.

The pair were part of a group of 11 taking part in an Australian Defence Force rehabilitation program.

The Overland Track was being used for the first time for the program.

"All members of the group are Queensland-based soldiers who attend Army's Soldier Recovery Centre in Townsville and who have a range of physical or mental injuries sustained in combat or in training," Defence said.

The centres, also located in Brisbane and Darwin, aim to help sick or injured soldiers return to work or transition out of the defence force.

The Townsville centre has also conducted rowing, sailing, leadership and cold weather survival activities this year.

The other nine soldiers were continuing the trek on the 65km Overland Track in a World Heritage area in Tasmania's northwest.

Defence said emergency planning was completed before the trek.

"Defence is looking into the circumstances surrounding this matter and will not speculate on any changes that might be incorporated into future activities," Defence said.

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NSW braced for loss of homes, if not life

HUNDREDS of homes were feared destroyed and the premier believes it will be a miracle if no lives are lost in the most grave bushfire crisis NSW has seen in a decade.

While the extent of the devastation was unclear on Thursday night, one of the worst-hit areas was Springwood, in the Blue Mountains, where up to 30 homes were known to be lost.

Elsewhere, thousands of firefighters were struggling against around 100 blazes across the state - on the central coast and further north, the Southern Highlands and the south coast.

Premier Barry O'Farrell and Rural Fire Service Commissioner Shane Fitzsimmons told reporters the public should brace for widespread destruction.

"It will take some days until we see the end of these fires," Mr O'Farrell warned.

"I suspect that if we get through that without the loss of life we should thank God for miracles."

Mr Fitzsimmons said firefighters faced the worst of conditions.

"This is as bad as it gets," he said.

It was too soon to estimate how many properties had been lost, but he predicted: "we'll be counting properties in the dozens, if not the hundreds."

RFS Deputy Commissioner Rob Rogers said it was one of the worst days he'd seen.

"It's probably the most serious fire risk we've faced since the early 2000s," he said.

For most of the day there were six fires at "emergency warning" level, meaning homes were at risk and residents were being asked to consider fleeing.

Before 6pm, a cool change brought temperatures down from the mid-30s to the mid-teens.

But it also created new chaos, swinging fire fronts around and pushing blazes into new areas.

There were unconfirmed reports of properties being lost at North Doyalson, on the Central Coast; at Lithgow; at Yanderra and Balmoral, in the Southern Highlands; and in Port Stephens, where a fire is burning near Newcastle Airport, which has been closed.

Scores of Blue Mountains residents were seeking refuge at evacuation centres on Thursday night, including the Springwood Sports Club and Springwood Country Club.

Among them was Joe Moore, who was on the phone to his son, a Rural Fire Service volunteer, as he was trying to protect their family home at Springwood.

"All the neighbours were trying (to protect it) and then they got evacuated and my son got to stay back and tried to fight it but it got too much," he told AAP.

It was Mr Moore's "dream home" - and also home to his wife, three sons and four Aboriginal boys in their foster care.

Other Springwood parents were anxious to be reunited with their children, with two schools at Springwood drawn into the drama.

While St Columba's students were kept in their school, St Thomas Aquinas School was evacuated.

Buses were standing-by to take the kids to a safe location to meet their parents when the fire conditions allowed.

At least two firefighters were injured, with one man sent to Sydney's Concord Hospital with burns to his face.

The fires created traffic chaos around Sydney, with a 20km-queue on the Hume Highway for city-bound traffic.

On Thursday night the other most serious fires were burning at Wyong, on the Central Coast, Wandandian in the Shoalhaven, and Muswellbrook in the Hunter Valley.

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Six Australians killed in Laos plane crash

A father and his aid worker son (pic) are among six Australians who died in a plane crash in Laos. Source: AAP

THE world has lost one of its best men after an aid worker and his father were among six Australians killed in a plane crash in Laos.

An entire Sydney family of four was also among the 44 passengers and five crew killed when Lao Airlines flight QV301 crashed into the Mekong River trying to land at Pakse airport in what the airline called extreme weather on Wednesday afternoon.

Bomb disposal expert Michael Creighton had been working in Laos for almost a year for Norwegian People's Aid's mine action program, and his father Gordon was visiting him to experience his son's humanitarian work.

Sydney tax agent Gavin Rhodes, 39, his wife Phoumalaysy (Lea) Rhodes, 35, their 17-month-old son Manfred and three-year-old daughter Jadesuda also perished in the crash early in their three week holiday to Mrs Rhodes' homeland.

Australia's ambassador to Laos, Lynda Worthaisong, said the crash site was difficult to access and it will be a slow process to recover bodies.

As of late Thursday, contacts close to the investigation said none of the bodies of the six Australians had been recovered.

A Rhodes family representative issued a statement asking the media to "respect their privacy at this difficult time".

The Creighton family said it had "lost a father, a husband, a son, a brother, a fiance and a best mate in one tragic circumstance".

"We're trying to come to terms with our loss. We request privacy to grieve at this devastating time," the family said in a statement.

Mr Creighton's fiancee Melanie Fuller said her loss will last forever.

"I have lost the love of my life, my heart, my soul, my future, my children, my world and myself..... For everyone wondering that is the loss I will live with forever. xxxx xxxx," she wrote on her Facebook page.

His ex-wife, former Tasmanian MP Kathryn Hay, was also devastated.

"The world's lost one of the best men ever to be born," she told the ABC.

"He travelled the world, assisting people in so many ways. He was so intelligent and dedicated to work."

The 42-year-old grew up in Glen Innes in northern NSW before joining the Australian army and then the United Nations.

He spent the past 20 years working on aid projects around the world, including in Afghanistan, Iraq, Switzerland, Cambodia and Africa, mostly in landmine clearance, and had been living in the Laotian capital Vientiane with Ms Fuller.

His father, retired schoolteacher Gordon Creighton, 71, was a prominent member of the Glen Innes community and served as president of the Glen Innes Magpies Rugby League Club.

Howard Whan, the club's current president, said the town was shattered on hearing the news.

"He was one of those bloke when anything was need in the community he was there," Mr Whan told AAP.

"He's been teaching football skills for about 30 years and there's a huge respect in the town for him.

"It's going to take a lot of replacing someone like that ... the mood's very sombre, everyone is just shattered."

Witnesses reported horrendous scenes at an emergency centre set up in a temple in Pakse.

"I saw lifeless bodies laying about and other lifeless bodies being brought in, some connected to IV drips," a foreign resident told the Bangkok Post.

"It's absolute horror."

Identification and recovery may take some time, DFAT says.

Lao Airlines flies an ATR-72 twin-engine turboprop plane on the 467km route from Vientiane to Pakse, and is understood not to have taken part in an International Air Transport Association (IATA) safety audit.

The Lao Aviation Authority said strong winds hit the small aircraft as it approached Pakse airport.

French-Italian aircraft manufacturer ATR said the plane was new and had been delivered in March.

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Row grows over Qld sex offender jail terms

Queensland Attorney-General Jarrod Bleijie announced plans to amend legislation over sex offenders. Source: AAP

QUEENSLAND Attorney-General Jarrod Bleijie is on a collision course with civil libertarians and lawyers after announcing plans to strip courts of the power to set indefinite jail terms for some sex offenders.

He wants to rush through parliament, as early as Thursday, changes that would give him the power to say which sex offenders should be locked up until they die.

Mr Bleijie has the backing of child protection advocate Hetty Johnston, who says judges worry too much about offenders' civil rights.

"Unfortunately it is the civil rights of sex offenders that take precedence over the rights of the community and children to be safe," the Bravehearts founder said.

But Australian Council for Civil Liberties president Terry O'Gorman said the move was "legislative lunacy" and urged a judicial rebellion.

Queensland Law Society (QLS) president Annette Bradfield also questioned the move and other legislation recently rushed through parliament in the dead of night.

Mr Bleijie insists it is legislation of last resort that would only be used to keep the worst of the worst in jail.

"Some of these people just can't be rehabilitated. They should never be released from prison," he said on Wednesday.

Mr Gorman accused the attorney-general of dictating to judges and called on the judiciary to stand up to him.

"This is the latest piece of legislative lunacy from an attorney-general who refuses to consult with anyone other than those who agree with his views," he told AAP.

Mr O'Gorman said it was the second time in two days that Mr Bleijie had ridden roughshod over Queensland's judicial system.

Laws passed by parliament on Wednesday morning mean judges now have to sentence bikies convicted of serious crimes to years of additional jail time, simply because they are gang members.

Ms Bradfield said the QLS was concerned at the lack of consultation over proposed legislation and at the executive wielding powers to give criminals added jail time.

"Judges are trained to make those determinations and politicians simply don't have the qualifications or the experience in those regards," she said.

Opposition Leader Annastacia Palaszczuk has accused Mr Bleijie of wanting to be "judge and jury" and called for him to quit.

"Yet again we are seeing the arrogance of this government, which wants to do anything and everything with its massive majority," she told parliament.

"Democracy is under direct attack."

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Italy may send Nazi's body to Germany

Clashes have broken out in Italy outside a Nazi war criminal's funeral which had to be suspended. Source: AAP

ITALY appears set to send the body of Nazi war criminal Erich Priebke to Germany as it commemorated the 70th anniversary of a round-up of Jews from the historic Jewish quarter of Rome.

Clashes erupted in a town near Rome on Tuesday as a Catholic ultra-conservative sect tried to stage a funeral for the unrepentant former SS officer who was convicted over a massacre of 335 civilians.

The funeral was cancelled by a police order after some neo-Nazi sympathisers broke into the seminary in Albano Laziale and tried to stage a rally as hundreds of protesters outside shouted "Assassin!"

The coffin was then driven to a military airport outside Rome during the night, after Priebke's lawyer and friend, Paolo Giachini, gave up his power of attorney for the funeral arrangements.

"We are planning to resolve the situation today. We are in contact with Germany," Rome prefect Giuseppe Pecoraro told reporters on Wednesday.

"We had to cancel the funeral yesterday because there was a risk that it could have become a neo-Nazi demonstration," he said.

At least two people were detained by police at the scene of the clashes, where some of the protesters were seen fighting with bottles and chains.

A rock was later thrown at the windscreen of the van driving Priebke's coffin to the airport.

Protesters had earlier kicked and spat on the hearse as it arrived for the start of the funeral.

The Holocaust denier died on Friday at the age of 100 and has provoked outrage even in death with the Vatican issuing an unprecedented order forbidding any Catholic church in Rome from holding his funeral.

He had been living under house arrest in the Italian capital after being extradited in 1998 from Argentina, where he had fled with a Vatican travel document soon after World War II.

Priebke had wanted to be buried in Argentina next to his wife but the government there earlier said it would not accept his body.

Jewish groups and relatives of the people he executed said he should be cremated and his ashes scattered to erase every trace.

There is concern that a burial could create a pilgrimage point for neo-Nazi sympathisers.

The furore comes at a particularly sensitive time in Italy, on the anniversary of the round-up of the Jews from the Rome Ghetto on October 16, 1943.

More than 1000 Jews were taken away to concentration camps and only 16 returned.

Speaking ahead of a ceremony in the Ghetto synagogue, Rome mayor Ignazio Marino said the city could not tolerate holding Priebke's funeral.

"Rome could not accept the funeral of a man who actively took part in the massacre of 335 people, shooting them in the back of the neck," he said.

The Gestapo ordered the mass killing in the Ardeatine caves near Rome as retaliation for a partisan attack which killed 33 German soldiers.

They shot 10 Italians for every dead German, and five more who had been brought to the caves by mistake.

Italian President Giorgio Napolitano and other top officials were expected at the synagogue ceremony with Holocaust survivors later on Wednesday.

"Today is the day to remember what happened 70 years ago, to remember the wound, the tragic moment in the history of our city," he said.

"The seed of pain and violence still exists and we have to root it out through memory," said the mayor, who will travel to Auschwitz this weekend with a group of Rome high-schoolers.

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HSU to chase Williamson settlement

THE Health Services Union says it's determined to wring a $5 million settlement from its disgraced former boss Michael Williamson, who has apparently declared himself bankrupt.

The former HSU secretary and Labor Party president on Tuesday pleaded guilty to various charges including defrauding the union of almost $1 million.

It's reported he declared himself bankrupt on the same day.

With hopes of putting an end to "the Williamson era", the HSU also revealed it had secured a $5 million judgment in a Supreme Court civil claim.

The HSU's Gerard Hayes says the union will do what it can to claw back the money from Williamson, bankrupt or not.

For starters, it hopes to recoup what it can from Williamson's six-bedroom home at Maroubra, which went to auction on Wednesday night. But according to Macquarie Radio, the property failed to sell, with no one putting up a bid.

The three-level rendered brick home on Meagher Ave - with parquet floors, in-ground pool, wine cellar and ocean views - was expected to fetch $1.5 million.

Mr Hayes said union members could still take some comfort from Williamson's guilty plea, the civil settlement and an apology that came with it.

"He's in survival mode and manoeuvring however he can," he told AAP.

"At least the apology is an acknowledgment that he's done what he's done."

In addition, under the civil settlement, the union will not have to pay Williamson's $1.1 million superannuation and $600,000 of claimed leave entitlements.

"This is 1.7 million that is not flowing out of the union," Mr Hayes said.

The agreement was brokered through mediation by former federal attorney-general Robert McClelland, the HSU says.

In the apology, Williamson said he wished to "place on record my sincere apology to all of you".

"You placed your trust in me when I was the General Secretary and I abused that trust," he said.

"I apologise unreservedly to all of you for my actions, which were not in keeping with the position I formerly held."

He says he will "have to live with this matter until the day I die" and urged members "not to desert the union".

Williamson faces up to 30 years in jail.

A date for his sentencing will be set on October 25.

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US pins hopes on Senate leaders

The White House has rejected the latest effort by Republicans to resolve an impasse over the budget. Source: AAP

THE US is hours from a fateful fiscal deadline, with a chaotic political stand-off threatening to trigger a debt default and rock the global economy.

Hopes that congress would agree to raise the government's borrowing authority as required by midnight on Wednesday (1500 AEDT Thursday) rested with last-gasp talks in the Senate - with America's top-notch credit rating on the line.

Any deal though would have to make it through the Republican-led House of Representatives, where conservative Tea Party lawmakers have thwarted previous compromise efforts in a bid to undermine Democratic President Barack Obama.

If congress fails to raise the $US16.7 trillion ($A17.56 trillion) debt ceiling in time, the US Treasury would begin to run out of money to meet all US obligations and slip towards a historic default.

Such a scenario could badly damage the US recovery, saddle American consumers with higher interest payments and send economic shock waves into fragile global economies.

In Asia, stocks fell early on Wednesday as investors kept an eye on the American impasse.

Hopes for an exit strategy rest with talks between Senate majority leader Harry Reid and Republican minority leader Mitch McConnell.

The two old foes saddled up after manoeuvring by the House on Tuesday dissolved in chaos. Republican Speaker John Boehner proved unable to win support from his caucus and unwilling to use minority Democratic votes to raise the debt ceiling and reopen the US government after a two week shutdown.

In the face of the deadline, the US political system, divided between Obama's Democrats and Republicans who run the House, has virtually ground to a halt.

Major world powers have been left looking on in dismay at the brinkmanship in Washington, unable to do anything to protect their own economic interests, with many deeply invested in US Treasuries - hitherto seen as one of the safest global safe havens.

Amid rising anxiety on the markets, the financial rating agency Fitch put the US on warning for a downgrade from its top-grade AAA spot.

Despite the deepening impasse, Obama said he still expected the issue would be resolved in the end.

"My expectation is that this gets solved, but we don't have a lot of time," he told an ABC television affiliate in New York.

"What I'm suggesting to the congressional caucus is to avoid any posturing ... do what's right, open the government and make sure we pay our bills."

What was essentially a wasted day, with precious few hours to spare on Tuesday, unfolded as House Republicans tried to extend US borrowing authority until February 7 and reopen the government until December 15.

Several draft bills would have constrained aspects of Obama's signature healthcare law - and in effect stood no chance to pass the Democratic-led Senate.

But Boehner used the measures to try to corral the Tea Party faction and to pressure the Senate - but in the end was unable to amass sufficient Republican votes to even put the measures on the floor.

Senate talks, which had been on hold all day pending developments in the House, were quickly resumed on Tuesday evening.

Leadership aides on both sides said they were "optimistic" that an agreement was within reach.

"We're making very, very good progress, we're not there yet, but we're getting real close," said Democratic senator Chuck Schumer.

"I think the markets should feel pretty good about what's going on here tonight."

Republican congressman Charlie Dent of Pennsylvania told CNN: "I believe that John Boehner will likely be in a position where he will have to essentially pass the bill that is negotiated between senators McConnell and Reid, and I believe that the House will first pass it and send it to the Senate."

The likely Senate deal would require Democrats to make a minor concession on Obamacare. But the provision would fall well short of the drive to delay or defund the historic law which prompted Republicans to launch the government shutdown strategy and to use the debt ceiling hike as leverage.

Earlier, Reid furiously accused Boehner of seeking to save his own political skin at the expense of the US.

"Let's be clear: The House legislation will not pass the Senate," Reid said. "I am very disappointed with John Boehner, who would once again try to preserve his role at the expense of the country."

Boehner may once again on Wednesday be left with the unenviable choice that has come to define his speakership in Washington's divided government.

Does he stick with the Tea Party faction of his party, and possibly save his job but risk culpability in sending the US economy into a first default of modern times?

Or does he try to pass a compromise plan acceptable to Senate Democrats and Obama, with the help of minority Democratic votes - a scenario that could fritter away his party power-base and possibly cost him his job?

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Plibersek gets Burke's disappointment

Former Labor speaker Anna Burke has criticised the way the opposition front bench has been selected. Source: AAP

NEW federal Labor deputy Leader Tanya Plibersek understands that some senior MPs are disappointed they didn't make it to the new opposition frontbench.

But she doesn't accept claims the shadow ministry was being decided by a "couple of blokes", pointing to the inclusion of 11 women.

With Labor getting ready for the return of parliament in the second week of November, Opposition Leader Bill Shorten will reveal on Friday who gets which portfolios before Monday's shadow cabinet meeting.

Victorian MP Anna Burke lashed out at factional power plays within caucus, saying she was "bitter and disappointed" at losing out on the position of chief opposition whip because of "a couple of blokes sitting round a room carving up the spoils".

"I think Anna's very focused on the half empty at the moment," Ms Plibersek said on Tuesday.

"She's speaking from a place of disappointment ... she feels like she's been overlooked."

Ms Burke retains her position of Speaker until her Liberal successor Bronwyn Bishop is formally installed.

Her comments were followed by reports another senior Labor MP, Senator Jacinta Collins, was also disappointed at being overlooked, particularly by her own Victorian Right faction.

Although Ms Plibersek said she would meet Ms Burke to discuss her concerns, new Labor MP Alannah MacTiernan said factions were a reality in all political parties.

"I think there was a broad cross section of people that were selected, and it's probably a pretty reasonable line-up," she said.

However, the former West Australian government minister said there could be improvements.

"It has been accepted that we must continually strive to do things better and in a more inclusive way," she told reporters in Canberra.

Another Victorian Labor MP, Brendan O'Connor, said the opposition frontbench was far more representative compared to the coalition's under Tony Abbott.

"We have almost four times the number of women in our ministry," he said.

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Snitching bikies can avoid long jail terms

A Queensland government plan to lock up criminal bikies in a super jail could lead to more crime. Source: AAP

BIKIE gang members can avoid the extraordinary jail terms threatened by new laws in Queensland if they turn informer.

The laws being rushed through state parliament will hand bikies engaging in serious criminal activity such as murder or dangerous drug possession an extra 15 years of mandatory jail time.

The penalties for bikie gang office bearers are even harsher: an extra 25 years on top of their initial sentence.

And those sentences could be served in a special maximum security jail which the government has proposed to specifically house the state's worst bikie criminals.

But in what Premier Campbell Newman says will be an effective way to gather intelligence, jail time will be waived if an offender gives authorities information about bikie gangs and their criminal activities.

"The only way they can get off those additional mandatory penalties is essentially to provide information that's of use to the police to help bring down the gang," Mr Newman said.

The government was also seeking royal assent to list all bikie gangs as criminal organisations, including the Finks, the Rebels, the Bandidos and the Hells Angels.

If a new gang is created, the government can add them to the list based on police evidence.

Mandatory prison sentences, laws banning bikies from owning, operating and working in tattoo parlours and hefty jail terms for assaulting police are the first anti-bikie laws the Newman government are expected to pass in parliament on Tuesday night.

Attorney-General Jarrod Bleijie said it would be up to jurors to determine whether an offender was a member of a criminal gang, or a "vicious lawless associate."

"Where you may currently under law face a five-year sentence (for grievous bodily harm), it can potentially be a 25 to 30-year sentence (for gang members)," he told reporters.

"This is where the deterrent kicks in."

Mr Newman said severe penalties would also apply to three or more gang members caught gathering together.

"We are going to make every effort to completely destroy these gangs. We are not joking," Mr Newman said.

The premier admitted gangs were well-resourced and he expected legal challenges in the High Court, but said the government had been very careful and the Solicitor General heavily involved in drafting the laws.

Criminologists and critics fear the government's taking it too far.

Former Gold Coast detective Terry Goldsworthy says the proposed laws are unfair, and set a dangerous new precedent for double standards in Queensland.

He says there's now one set of rules to deal with bikies who commit crimes, and another set for others who commit exactly the same offences.

Australian Council for Civil Liberties president Terry O'Gorman says the bikie jail wouldn't work as there's no evidence to back the government's claim bikies are using their jail time to recruit members, peddle drugs and intimidate prison staff.

"If there is a problem, concentrating them in one area is bound to magnify the problem if there is indeed a problem," Mr O'Gorman told AAP.

The state opposition said the laws should have been reviewed by a parliamentary committee before being put to parliament.

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Former HSU boss pleads guilty to fraud

Disgraced former HSU boss Michael Williamson admitted he defrauded the union out of almost $1m. Source: AAP

DISGRACED former Health Services Union boss Michael Williamson faces 30 years in jail and civil action by his former union for fraudulently pocketing almost $1 million.

Williamson pleaded guilty on Tuesday to four fraud-related charges arising from his conduct while he was president of the HSU.

The former ALP national president initially faced 50 charges but, in light of his guilty plea, the remainder were withdrawn.

Some will still be taken into account in sentencing and Williamson faces as long as 30 years behind bars.

He also faces paying back some, if not all, of his ill-gotten gains.

The HSU will launch civil proceedings against him in an attempt to claw back some of the $1 million he got away with.

"Now that he has pleaded guilty, what it does is open the possibility of recovering some of the funds on behalf of the union," HSU president Chris Brown told AAP.

Williamson pleaded guilty in the Downing Centre Court to creating false invoices for work performed by CANME, a company registered in his wife's name.

The work was never done but court documents showed the HSU still made 22 payments each worth $15,385 to a CANME bank account.

According to the statement of agreed facts, Williamson used the funds deposited in the CANME account to maintain his family's lifestyle, including paying private school fees, mortgage payments and clothing.

He pleaded guilty to defrauding HSU out of $338,470 - the total amount paid to CANME between July 2006 and June 2009.

He also pleaded guilty to defrauding printing firm Access Focus out of $600,000 in cash between December 2006 and February 2010.

The charge relates to Williamson proposing Access Focus inflate its invoices to the HSU and provide him with secret payments in the process.

A guilty plea was also entered with regard to recruiting Carron Gilleland to hinder the police investigation by destroying American Express statements.

Court documents revealed Mrs Gilleland, the director of a business with her husband that printed a HSU magazine, provided credit cards to Williamson at his request, and later to former MP Craig Thomson and HSU staffer Cheryl McMillan.

Williamson told the Gillelands in 2012 how to destroy Amex statements.

Chief Magistrate Graeme Henson committed Williamson's case to the Sydney District Court on October 25, where a sentence date is expected to be set.

Whistleblower and former HSU national secretary Kathy Jackson said a judicial inquiry was still needed.

"(I felt) relief to say the least but more important I think there is a case for a judicial inquiry to be heard," she told AAP.

Ms Jackson said there were many things outside the scope of a police investigation that an official inquiry could deal with, including the influence of factions.

HSU NSW secretary Gerard Hayes said the most difficult period in the HSU's history was now over.

"Our members deserve a union they can be proud of," he said.

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Qld compo changes to be rushed through

The Queensland government says changes to the workers compensation scheme will protect employers. Source: AAP

SOME Queenslanders injured at work will no longer be able to sue their employers under reforms to be rushed through state parliament.

Bosses will also be able to access job applicants' workers compensation history.

Unions, the opposition and lawyers say parts of the shake-up are unjustified and unfair, especially when the state's workers compensation scheme, WorkCover, made half a billion dollars profit last financial year.

Attorney-General Jarrod Bleijie unveiled the changes on Tuesday and declared the legislation "urgent" so it bypasses scrutiny by a parliamentary committee and is passed this week.

The most controversial changes would give employers access to the claims history of job applicants.

Critics say the move could lead to discrimination, but the government says it will red flag those who've rorted the system.

Penalties for those who make fraudulent compensation claims will increase.

And a worker would no longer be able to sue their employer if their injury causes just five per cent or less impairment.

A bipartisan parliamentary committee recommended against a threshold, but the former WorkCover chairman wanted a 10-15 per cent cap.

In defending the changes, Mr Bleijie said Queensland would have the lowest threshold to access common law damages in Australia, with the exception of the ACT.

"The changes aim to strike a better balance between providing appropriate benefits for injured workers and ensuring the costs incurred by employers are reasonable," he said.

"Having a competitive premium will encourage more investment into our great state."

Lower-end common law claims accounted for around half the payouts in the scheme.

Queensland Council of Unions president John Battams says half of all injured workers will now be denied the right to sue an negligent employer.

"Even a small degree of permanent impairment can have a devastating effect on a worker's future employment prospects," he said.

"Without an appropriate, independently adjudicated payout many of these workers and their families face a life of poverty."

The Australian Lawyers Alliance (ALA) said WorkCover's annual report, released late on Monday, proved the changes were unjustified.

"WorkCover profits are up, common law claims are down and Queensland has the second lowest premiums in Australia," the ALA's Queensland president Michelle James said in a statement.

"The total cost of common law claims was also down more than $50 million compared with the previous year.

"That's not a scheme rife with unworthy claims."

Shadow treasurer Curtis Pitt said the changes were yet another rush job by a government intent on avoiding the usual scrutiny.

"No wonder they are getting to be known as the know-it-all Newman government," Mr Pitt said.

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String of Wheatbelt quakes not a cluster

A SERIES of earthquakes in Western Australia's Wheatbelt is a coincidence and not a cluster, Geoscience Australia says.

On Tuesday, a 2.2 magnitude earthquake struck northeast of Koorda, where two further quakes - magnitude 2.6 and 2.2 - hit the following day.

Geoscience Australia senior seismologist Johnathan Bathgate says there is an active fault in the Wheatbelt, where more than 200 earthquakes have been recorded this year.

That isn't unusual, he says.

While last week's string was notable, it wasn't a cluster or "swarm" of earthquakes, which was defined as dozens of them in a radius of about 10km, he said.

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Average wet season forecast for northwest

RESIDENTS in Western Australia's north are being urged to prepare for the cyclone and flood season, which starts in a fortnight.

The Bureau of Meteorology (BoM) says there is a 55 per cent chance of a near-average wet season, with five tropical cyclones expected in waters off the northwest coast between November 1 and April 30.

Two cyclones are forecast to hit the coast, one of which could be severe, the BoM says.

BoM spokesman Greg Browning urged residents in the northwest, especially between Broome and Exmouth, to begin preparations.

"Although we are forecasting the number of cyclones to be close to average, no one can say if this is going to be the season when your community cops a big hit," he said.

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Elderly man missing on Bribie Island

AN elderly man has been missing on an island north of Brisbane for six days.

Police say 73-year-old Michael Newbon was last seen walking along the Heathland Street fire break heading towards Banksia Beach on Wednesday morning.

Mr Newbon, who suffers from a medical condition, has not been seen since.

Emergency services have conducted land and air searches, but failed to find any trace of him.

Residents are being asked to continue to check their yards, garages and sheds in the case Mr Newbon is sheltering there.

He's described being 180cm with a slim build and short grey hair.

Mr Newbon was wearing a navy polo shirt, long navy trousers and black dress shoes when he disappeared.

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No deal yet as US debt deadline looms

THE US is still facing a potentially devastating sovereign debt default after senators failed to agree on terms to reopen the federal government and raise the country's borrowing limit.

Republicans and Democrats - at war over the country's finances for more than two weeks - tried to shed a positive light on Sunday on a weekend of talks that despite the threat of global economic censure produced no solution.

The Senate convened a rare Sunday session to try and break the budgetary impasse that prompted the government to shut down on October 1, a move that has since damaged domestic confidence and undermined America's reputation as the world's leading economic superpower.

If the US debt ceiling is not raised by October 17, the Treasury would run out of money and could begin defaulting on its obligations for the first time in history.

Seeking to avert that scenario, Democratic Senate leader Harry Reid spoke with the top Senate Republican, Mitch McConnell, though nothing concrete was disclosed.

"I'm optimistic about the prospect for a positive conclusion," Reid said.

Bank of France Governor Christian Noyer on Monday warned of dire consequences if there was no solution.

A default would be "a thunderbolt on the financial markets" that would set off "extremely violent and profound turbulence worldwide", he told the daily Le Figaro.

In Asia, markets were down in part over the deadlocked talks.

Oil prices also edged lower in Asian trade, with West Texas Intermediate for delivery in November, down 29 US cents at $US101.73 in afternoon trade, and Brent North Sea crude for November down 17 US cents to $US111.11.

And the US dollar slipped in Singapore afternoon trade to Y98.27 from Y98.59 in New York late on Friday. Japanese markets are closed for a public holiday.

"So far, markets have not panicked because both parties have come out to reassure that they are working towards a compromise after every failed vote, keeping alive hopes for a last-minute deal," Singapore-based DBS Bank said in a note.

US Treasury Secretary Jacob Lew earlier told the International Monetary Fund's policy steering committee that Washington understood its reputation as a safe harbour was at risk.

Stock markets are already factoring in a possible default if no deal is reached between President Barack Obama, his Democratic Party and rival Republicans by Thursday night.

Polls released since the shutdown show congress's approval rating at record lows, with Republicans taking most of the blame.

Both parties in recent days indicated a deal must be reached at all cost despite the bitter rancour.

"This is something that's wreaking havoc around the world and will affect economic growth, and I do hope that over the next week we'll reach a conclusion and I think we will," Republican Senator Bob Corker told Fox News Sunday.

Obama earlier rejected an offer by Republicans in the House of Representatives to lift the debt ceiling for six weeks while negotiations would continue on reopening the government, insisting on a longer-term solution.

Following talks with the top House Democrat, Nancy Pelosi, the president said they were not budging from their position.

Obama and Pelosi "reinforced that there must be a clean debt limit increase that allows us to pay the bills we have incurred and avoid default", the White House said in a statement.

"The House needs to pass the clean continuing resolution to open up the government and end the shutdown that is hurting middle class families and businesses across the country."

Senate leader Reid had on Saturday turned down a second compromise proposal, offered by moderate Republican Senator Susan Collins.

It called for lifting the US debt limit for up to a year, reopening the government and repealing a tax on medical devices under Obama's signature healthcare law.

But Collins said her proposal could still become the basis of a deal, telling CNN's State of the Union she had support from a growing, bipartisan group of senators.

Senator Charles Schumer, a key Democratic power broker, said Reid and McConnell "were not that far apart" on Saturday, when they held their first talks of the crisis.

Democrats, meanwhile, have added a demand of their own - that any deal also involve undoing the across-the-board spending cuts known as the sequester that went into effect earlier this year.

Schumer acknowledged it was a "sticking point".

Global pressure for a deal in Washington is mounting.

"The standing of the US economy would, again, be at risk," International Monetary Fund chief Christine Lagarde said on NBC's Meet the Press, comparing the effects of failing to raise the debt ceiling and reopening the government to the 2008 global financial meltdown.

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Let the Labor renewal begin: Shorten

The Labor Party will announce the result of the caucus and leadership ballot on Sunday. Source: AAP

NEW federal Labor leader Bill Shorten is prepared to force a parliamentary showdown with the coalition government over the carbon tax.

Junior minister Jamie Briggs said opposition to Prime Minister Tony Abbott's planned repeal of the carbon tax would show Labor had learnt nothing from defeat in last month's federal election.

But Mr Shorten, who took the ALP's top job on Sunday despite a rebuff from the party's rank and file, is undeterred.

"It is important to maintain a price on carbon pollution," Mr Shorten said.

In a pointed reference to Mr Abbott's tactics as opposition leader, Mr Shorten vowed not to wage a campaign of relentless negativity.

Labor's grassroots members were given a say in electing a party leader for the first time and 60 per cent voted for Anthony Albanese in the historic ballot.

But caucus backed Mr Shorten 55 votes to 31 and, when the two tallies were weighted against each other, Mr Shorten had 52 per cent of the vote.

Despite the conflict, the new leader is confident he has whole-hearted party support and vows to be a consultative leader.

"This ballot shows that there are still things for me to learn," he said.

Mr Shorten's election almost forced his mother-in-law, Governor-General Quentin Bryce into earlier-than-expected retirement.

Mr Abbott revealed Ms Bryce offered to resign to avoid any perception of bias.

"I have thanked her for her magnanimity but declined to accept her resignation," the prime minister said.

The Labor caucus meets again on Monday to elect a deputy leader, likely to be Mr Shorten's pick Tanya Plibersek, and members of the shadow ministry.

Mr Shorten will allocate portfolios on Friday.

Mr Albanese won't be a contender, however.

In an emotional media conference, Mr Shorten's beaten rival told his son Nathan he will instead spend time as deputy coach of the under-14 Rebels Canterbury division six-a-side soccer team.

In a sign of goodwill, former prime minister Julia Gillard, whose dumping by caucus in June was precipitated by Mr Shorten turning against her, tweeted best wishes.

"Congratulations to Bill Shorten on becoming Labor leader. A great honour! I wish Bill all the best. JG"

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Vic boy killed crossing train tracks

A TEENAGE boy has been killed by a train in Victoria as he attempted to change platforms by crossing the tracks.

The boy was at Riddells Creek train station, about 50km north of Melbourne, when he was hit by a train bound for Bendigo about 2pm (AEDT), police say.

He died at the scene.

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Mongols patch over the Finks in WA

The notorious US-based Mongols bikie gang has patched over the Finks in Western Australia. Source: AAP

A POLICE operation has confirmed the notorious Mongols outlaw motorcycle gang has patched over the Finks in Western Australia.

Police Commissioner Karl O'Callaghan flagged concerns last week about the US-based bikie gang taking over the Finks and said police had been monitoring the situation.

There were previously only three Mongols in WA and all are in prison.

There are about 12 Finks members in WA and about half are in prison, while their club house has been frozen.

Deputy Commissioner Chris Dawson told reporters on Sunday that police were monitoring all gangs and played down the threat of the Mongols, who have a violent rivalry with the Hells Angels in the US.

"Irrespective of what they call themselves, police regard them (all) as criminal gangs and will continue to treat them as such," Mr Dawson said.

Laws allowing WA police and the state's corruption watchdog to declare bikie gangs illegal were passed by parliament late last year, but have not yet been proclaimed.

The intelligence was gathered as part of a national day of action against outlaw motorcycle gangs.

Police executed search warrants throughout Perth's metropolitan area on Saturday targeting two club houses and residences in Woodvale, Aveley, Balga, Henley Brooke, Butler, Ocean Reef, Landsdale, Quinns Rock and Wilson.

Seized items included a baton, a tracking device believed to be used for vehicles, 28g of white powder that is yet to be identified, and $56,000 in cash.

Further operations were carried out at licensed premises in Fremantle, Burswood and regional areas.

Charges included disorderly behaviour, five counts of possessing a prohibited drug and possessing a smoking implement.

In a joint operation with the Department of Corrective Services, 71 prison cells occupied by gang members were also searched and prison contraband was seized.

Nationally, 53 people were charged, 79 search warrants were executed and 362 licensed premises were patrolled.

Mr Dawson said the operation was successful despite a small haul in WA.

"The outcome of the operation is not necessarily the volume of what is seized, but it's the effective policing and the gathering of any evidence," he said.

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Property damage reported in NSW fire

Properties have reportedly been damaged as an out of control bushfire continues to blaze in NSW. Source: AAP

PROPERTIES have reportedly been damaged and there are fears some may have been lost as an out of control bushfire continues to blaze in the NSW Hunter region.

The NSW Rural Fire Service says it has received unconfirmed reports that properties have been burned in Port Stephens.

A scrub fire is burning the Tilligerry State Conservation area between Salt Ash and Tanilba Bay and in the Fingal Bay area, also in Port Stephens.

Authorities have set up an evacuation centre at a community hall in Williamtown.

An emergency warning has also been issued for Singleton, where residents are being advised to shelter as the fire-front approaches.

It was 32C in Sydney at 5.45pm (AEDT) on Sunday and the temperature was rising toward the forecast of 36C.

A change sweeping through the state is expected to drop temperatures by as much as 10 degrees when it reaches Wollongong by 6pm and Sydney by 9pm.

The Bureau of Meteorology says the strong cold front will bring damaging winds of around 50 km/h with peak gusts of 90km/h.

The NSW Rural Fire Service has banned the lighting of fires for Sunday in large parts of NSW, including greater Sydney.

Meanwhile, a grass fire near Sydney Olympic Park has been extinguished.

The fire in Homebush in Sydney's west destroyed over 40 cars, Fire and Rescue NSW Superintendent Ian Krimmer told AAP.

Three people have been treated for smoke inhalation and 1500 were evacuated from a nearby aquatic centre.

Superintendent Krimmer says there are "hundreds and hundreds" of cars parked in the carpark.

Authorities will allow people to access their cars once the area has been declared safe.

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