The group, which owns stakes in Hamleys, Whistles, Iceland (the UK food chain), House of Fraser, Debenhams, French Connection and Karen Millen among others, has an initial three weeks to find a solution to its problems.

But experts have warned that the group's current woes could mean a fire-sale of its UK retail assets, including many major retailers and department stores. The company's investments are exposed to a weakening UK high street and its problems were compounded by the crisis which saw the nationalisation of Iceland's major banks last October.

Baugur has majority stakes in fashion chain Whistles and toy store Hamleys as well as minority shares in a host of others. It owns 34 per cent of House of Fraser, 14 per cent of Iceland (the UK food chain) and 36 per cent of fashion label All Saints. The firm's interests also include other names including Coast, Karen Millen, Oasis, Principles, Warehouse and Shoe Studio, as well as equity stakes in other listed retailers such as French Connection and department store chain Debenhams.

A European Commission spokesman said it was the "worst possible signal". However, German Chancellor Angela Merkel said President Obama had assured her the US would not follow protectionist policies. The continuing wrangles over the Buy American clause come as hundreds of workers at UK power stations continue wildcat strike action in protest at the employment of Italian and Portuguese workers at a Total oil refinery. Union leaders have denied accusations that the strikers are guilty of xenophobia.

Instead they say the UK workers are unfairly being denied the right to carry out work, because contracts are being awarded to foreign firms who bring in their own staff. Despite this argument, the Italian and Portuguese governments have called for an end to the protests. "We want to underline the responsibility of government to avoid this protectionist, xenophobic, nationalistic trend," said Portugal's Foreign Minister Luis Amado.

The couple became the public face of the debate in the state and married the first day same-sex marriages became legal. The divorce case was filed last week in Suffolk Probate and Family Court and was not unexpected. The couple announced they were separating in 2006.

Last week, North Korea said it was scrapping all agreements with South Korea in a move analysts said was aimed at pressuring Seoul and grabbing the attention of new US President Barack Obama. Unnamed government sources in South Korea said the North had been moving equipment used in the launch of its Taepodong-2 missile, which Pyongyang last test-fired in July 2006.

Much of the preparation needed to get it ready can be seen by spy satellites and aerial reconnaissance. North Korea has more than 800 ballistic missiles with ranges that can hit all of South Korea and most of Japan.

The article further notes, "Concerns about protectionism were stoked by the European Union's decision to reintroduce subsidies for its dairy industry, a move that would be banned under a Doha pact. On Saturday, the EU put an 85 per cent import duty on screws, nails and bolts from China, a step expected to provoke retaliatory action from Beijing."

Meanwhile, a leader in the Mail notes that "Every family in Britain pays £375 a year extra for their food because of the protectionist Common Agricultural Policy. Scrapping FORTRESS EUROPE would go some way towards easing the impact of the credit crunch. Now why didn't anyone say that in Davos?"

In the report, Open Europe argues that because of the high proportion of regulations being made in Brussels. THE GOVERNMENT EFFECTIVELY HAS CONTROL OF LESS THAN 30 PERCENT OF THE ANNUAL COST OF REGULATION. The report concludes that initiatives to cut red tape, as well as the system of scrutiny in the UK are misdirected as they fail to take this in to account.

Moreover, the study finds that the cost of regulation is going up all the time. Since the UK Government launched its 'Regulatory Reform Agenda' in 2005, the annual cost of regulation in Britain has gone from £16.5 billion in 2005 to £28.7 billion in 2008 - an increase of 74%.

In a press release, Shadow Minister for Europe, Conservative MP Mark Francois, also welcomed the study, saying "This valuable research is further proof that THE COST OF EU REGULATION ON BUSINESS IS TOO HIGH. These are difficult times and our businesses need to compete in a global market. The burden of regulation needs to come down instead of going up."

Officials suggested the floods have swept the animals out of rivers and into urban areas. About two-thirds of the state has been declared a disaster zone, 17 rivers are in flood and scores of homes inundated and there is havoc on many roads. Severe weather warnings remain in place for north Queensland. Deputy Premier Paul Lucas said "it's like pouring water over a wet towel" adding the state cannot take much more heavy weather.

Local media said huge crocodiles in the centre of some towns around the Gulf of Carpentaria have hampered rescue efforts and large numbers have reportedly been seen swimming towards the 60 km-wide (37-mile) mouth of the flooded Norman River.

Some towns are virtually underwater and others will be isolated for weeks by floodwaters, officials said. "Unrelenting rain and flooding has battered North Queensland over recent weeks and the Queensland government is working hard to ensure residents are receiving the financial assistance and support they need," Communities Minister Lindy Nelson-Carr said in a statement on Wednesday. The flooding started last December, at one point closing major inland mines, and has continued, fed by a series of rain depressions and a cyclone.

State television, which carried footage of the launch, reported the satellite was designed for research and telecommunications. 'In another achievement for Iranian scientists under sanctions, Iran launched its first home-made Hope satellite into orbit,' the report said. President Mahmoud Ahmadinejad was quoted by the television as saying in a message: 'Iran's presence in space with the aim of expanding monotheism, peace and justice has now been officially recorded in history.'

The Home Office definition of a 'hate crime' is: 'Any incident… which is perceived BY THE VICTIM OR ANY OTHER PERSON as being motivated by prejudice or hate.' On that basis, Prince Charles could have his collar felt for referring to his polo partner as 'Sooty' - even though the gentleman in question has no problem with his nickname. The fact that no offence was either intended or taken would not be enough to stop him being charged, provided someone - anyone - made a complaint. This puts the power of prosecution in the hands of any self-righteous, malevolent mischief-maker, of which we have no shortage.

One phone call to the Old Bill from the Margate branch of Stonewall and it would be: 'Izzy-wizzy, let's get busy!' Think I'm kidding? Log on to the Kent Police website and click 'diversity'. The only difficulty would be knowing which branch to complain to. You're spoiled for choice.

There's the LESBIAN, GAY, BISEXUAL AND TRANSGENDER ACTION GROUP, which gives lesbians, gays and bisexuals an 'influential voice that will be listened to' and guarantees 'a dynamic forum for positive action'. This isn't to be confused with either the GAY AND TRANSGENDER ACTION GROUP or the KENT POLICE GAY AND LESBIAN SUPPORT GROUP. If they don't take your complaint seriously, you could ring the KENT HOMOPHOBIC AND TRANSPHOBIC REPORTING LINE on Freefone 0800 328 9162. Be assured: 'We know in Kent that homophobic crime is still going unreported. This needs to change!'

Then there's THE HATE CRIME ACTION GROUP, THE MINORITY ETHNIC ACTION GROUP AND THE FAIRNESS ACTION GROUP, all of which come under the umbrella of THE DIVERSITY AND FAIRNESS STRATEGY BOARD, part of the new Citizen Focus Performance Gold Group, chaired by a Deputy Chief Constable. They all have to justify their existence - somehow. Which is why they are urging you to report any potential 'hate crime', however trivial.

I dread to think what all this is costing, both in terms of hard cash and the monumental waste of police time, sitting around in committee meetings, talking bollo and ticking boxes. And this madness isn't confined to Kent, it's replicated in every police force across the country, in triplicate. REMEMBER THIS THE NEXT TIME SOME CHIEF CONSTABLE COMPLAINS ABOUT 'LACK OF RESOURCES' AND SAYS HE CAN'T AFFORD TO PUT BOBBIES ON THE BEAT OR INVESTIGATE BURGLARIES.

Opening a Synod of Bishops in the Vatican the Pope referred to a passage from St Matthew's Gospel on false prophets, saying "He who builds only on visible and tangible things like success, career and money builds the house of his life on sand".

He added: "We are now seeing, in the collapse of major banks, that money vanishes, it is nothing. All these things that appear to be real are in fact secondary. ONLY GOD'S WORDS ARE A SOLID REALITY". He was referring to Jesus' words in Matthew Chapter 7, beginning "Beware of false prophets, which come to you in sheep's clothing, but inwardly they are ravening wolves".

Jesus adds: "Whosoever heareth these sayings of mine, and doeth them, I will liken him unto a wise man, which built his house upon a rock: And the rain descended, and the floods came, and the winds blew, and beat upon that house, and it fell not: for it was founded upon a rock. But everyone that heareth these sayings of mine, and doeth them not, shall be likened unto a foolish man, which built his house upon the sand: And the rain descended, and the floods came, and the winds blew, and beat upon that house, and it fell: and great was the fall of it."

Wilton Daniel Gregory, 60, the Archbishop of Atlanta, said that in the past Pope Benedict XVI had himself suggested that the election of a black pontiff would "send a splendid signal to the world" about the universal Church. Archbishop Gregory, who in 2001 became the first African American to head the US Bishops Conference, serving for three years, said the election of Mr Obama was "a great step forward for humanity and a sign that in the United States the problem of racial discrimination has been overcome".

He said that in a papal conclave, the cardinal-electors were "guided by the Holy Spirit to choose the person who best responds to the exigences of the moment". At the last conclave in 2005, following the death of John Paul II, it was widely thought that the cardinals would choose a Third World pontiff, perhaps from Africa or Latin America.

The choice of Cardinal Ratzinger, who had been at John Paul II's side for over twenty years as head of the Congregation for the Doctrine of the Faith, was seen by many as a vote for a man who embodied continuity and had stressed the need to shore up the faith in the West itself in an age of secularism and materialism. This week Pope Benedict XVI congratulated Mr Obama on his "historic" victory, offering his prayers for the President-elect "and for all the people of the United States."

"I have written a letter to the three bank managers of the central bank where I have requested that we would come to an agreement about their retirement as soon as possible," Ms Sigurdardottir said on Icelandic television.

"We will present a bill to the government tomorrow regarding changing laws about the central bank. Those changes include that there will be only one bank manager in the central bank and that his position will be advertised for applications."

Speculation has been rampant in Iceland that the top governor, David Oddsson, would be asked to leave as leaders of the new government had publicly said they wanted changes. There are two other governors on the central bank's top policymaking board.

In a stroke, the governor of Zimbabwe's Reserve Bank slashed the street value of the Zimbabwean dollar from $250 trillion to one US dollar to 250, because the computers, calculators and people could no longer cope with all the zeros. To counter an inflation rate that economists now estimate to be 5,000,000,000,000,000,000,000 (five sextillion) per cent, Mr Gono has now struck 25 zeros from the plunging national currency since August 2006. One American dollar would now buy Z$2,500,000,000,000,000,000,000,000,000 (2.5 octillion) had he not done so.

Mr Gono's announcement came just weeks after the introduction of a Z$100 trillion note, the latest and biggest of 35 denominations that he has brought in since January last year but only enough yesterday to buy half a loaf. "THE ZEROS ARE TOO MANY FOR OUR MACHINES TO HANDLE," said Obert Sibanda, the chairman of the Zimbabwe National Chamber of Commerce.

In effect, Zimbabwe now has two parallel economies, one using foreign exchange and the other using the increasingly irrelevant national currency. This is exacerbating the problems facing Mr Mugabe's faltering regime because his security forces and the civil service are paid in Zimbabwean dollars. Soldiers have rioted on the streets of Harare, and most of the public sector – teachers, doctors, nurses, municipal workers – are on strike, demanding to be paid in foreign currency.

Criticism following the Pope's January 24 announcement has been particularly cutting in Germany, where denying the Holocaust is a crime punishable with a jail sentence. "IF THE POPE WANTS TO DO SOME GOOD FOR THE CHURCH, HE SHOULD LEAVE HIS JOB," eminent liberal Catholic theologian Hermann Haering told the German daily Tageszeitung.

"That would not be a scandal, a bishop has to relinquish his position at 75 years, a cardinal loses his rights at 80 years," he said. Pope Benedict is 81. Meanwhile, a senior Vatican official acknowledged the Vatican administration may have made "management errors" with the decision to lift excommunication against four bishops, including Richard Williamson, whose comments sparked the controversy.

Belgian daily La Libre Belgique slammed the Vatican's "blindness" and "deafness," drawing links between Williamson and Iranian President Mahmoud Ahmadinejad. "Apparently no one can make the Iranian president and his henchman see reason" when they deny the "truth" of the Holocaust, and it is the same with the "bishop recently anointed by the highest authority of the Catholic Church," it said. For the Pope, the "blunder is extraordinary, especially given that his willingness for a dialogue with Judaism is indisputable," said French daily Liberation.

By all accounts, Holder is among the most credentialed lawyers ever to become attorney general. He began his career as a public corruption prosecutor before serving as U.S. attorney in the District and as a Superior Court judge. Holder later operated as second in command at the Justice Department during the later years of the Clinton administration.

But his service in the Clinton years invited criticism from GOP lawmakers, who also questioned his approach to hot-button terrorism policies. At a grueling seven-hour hearing last month, flanked by his wife and three young children, Holder labeled as "torture" the simulated drowning technique called waterboarding and vowed to make national security his top priority.

Holder vowed to revitalize the department's civil rights division, which is supposed to enforce voting and employment laws for minorities. The Justice Department inspector general in January issued a report detailing hiring abuses and racial epithets that proliferated among some former officials there.