Rental market for private homes may soften: analyst






SINGAPORE: Landlords of private homes may see the rental market softening when higher property taxes kick in next year, as these investors grapple with higher holding costs.

Owning luxury or investment homes will incur higher property taxes starting January 2014.

For private homes not occupied by owners, new marginal property tax rates of 12 to 20 per cent will be levied in addition to the current 10 per cent.

Coupled with the growing number of vacant apartments, industry players say Singapore's rental market is likely to soften.

Colin Tan, research head at Chesterton Suntec International said: "With the taxes especially, on vacant properties, which means you cannot seek relief from the taxman, investors now have to be a bit more cautious in trusting what the agents or sellers are telling them. What the tax does is to increase holding costs for investors.

"Going forward, I see rentals could soften because even at today's statistics - end of last year - there have been 12,000 vacant apartments. Can you imagine under the new tax regime, the landlord will have to start to look for tenants. And that makes a big difference."

The top one per cent of owner-occupied homes, about 12,000 units, will pay more taxes. This is on top of the various stamp duties imposed from the seven rounds of cooling measures.

But experts say Singapore properties remain attractive long-term investments for foreign buyers.

Kelvin Tay, regional chief investment officer at Southern APAC, UBS, said: "The number of foreign buyers as a proportion of total buyers, has actually dropped to 7 percent. If you are talking about the very high-end properties, you are talking about competition from other top global cities like London, San Francisco, New York, and not just Singapore. So you have to compare the real returns from the perspective of all these jurisdictions. Then you got to think about the regulatory regimes, the taxes that are in place."

Edmund Leow, head of tax and wealth management at Baker & McKenzie.Wong & Leow said: "We have to look at income tax, property, capital gain tax, estate duty and all kinds of other taxes. On an overall basis, Singapore is still fairly attractive to other foreigners, most other countries are also introducing similar measures."

- CNA/xq



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Afzal Guru 'justified' Parliament attack in letter written four years ago

SRINAGAR: Parliament attack convict Mohammad Afzal Guru had in a letter, purportedly written by him over four years ago, said that there was no need to be ashamed of the December 13 attack on Parliament, but had stopped short of owning any responsibility for it.

In the letter written to editor of a local Urdu weekly, Guru, who was hanged in Delhi's Tihar jail on February 9, asked Hizbul Mujahideen chief Syed Salahuddin not to be "ashamed of December 13" and stop terming the attack as a "conspiracy".

Editor of the Urdu weekly Shabnum Qayoom said that he had been receiving Guru's letters and articles and is sure that this letter was written by him.

"I used to receive his (Guru's) letters and articles, so this was nothing new. The handwriting is the same as the previous letters and articles. I do not care if people believe it to be authentic or not," he said.

Asked why he did not publish the letter for four years, he said he did not deem it appropriate.

"I believe he was swept by emotions. He was not involved but he thought that as there was no way for escape, why not accept and achieve martyrdom. I did not think it was appropriate to publish the letter that time as it would have been taken as an evidence against him, but now that he is no more, I went ahead with it," he said.

Guru had said in the letter, "I request Salahuddin to not call the attack of December 13 as a conspiracy. It pains my heart. The attacks are related to Kashmir issue. If the attack was a conspiracy, then the whole struggle is a conspiracy. We should not be ashamed of December 13".

He said as long as the Kashmir issue is kept unresolved, India and its rulers will have "temporary peace".

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Koop, who transformed surgeon general post, dies


With his striking beard and starched uniform, former Surgeon General Dr. C. Everett Koop became one of the most recognizable figures of the Reagan era — and one of the most unexpectedly enduring.


His nomination in 1981 met a wall of opposition from women's groups and liberal politicians, who complained President Ronald Reagan selected Koop, a pediatric surgeon and evangelical Christian from Philadelphia, only because of his conservative views, especially his staunch opposition to abortion.


Soon, though, he was a hero to AIDS activists, who chanted "Koop, Koop" at his appearances but booed other officials. And when he left his post in 1989, he left behind a landscape where AIDS was a top research and educational priority, smoking was considered a public health hazard, and access to abortion remained largely intact.


Koop, who turned his once-obscure post into a bully pulpit for seven years during the Reagan and George H.W. Bush administrations and who surprised both ends of the political spectrum by setting aside his conservative personal views on issues such as homosexuality and abortion to keep his focus sharply medical, died Monday at his home in Hanover, N.H. He was 96.


An assistant at Koop's Dartmouth College institute, Susan Wills, confirmed his death but didn't disclose its cause.


Dr. Richard Carmona, who served as surgeon general a decade ago under President George W. Bush, said Koop was a mentor to him and preached the importance of staying true to the science even if it made politicians uncomfortable.


"He set the bar high for all who followed in his footsteps," Carmona said.


Although the surgeon general has no real authority to set government policy, Koop described himself as "the health conscience of the country" and said modestly just before leaving his post that "my only influence was through moral suasion."


A former pipe smoker, Koop carried out a crusade to end smoking in the United States; his goal had been to do so by 2000. He said cigarettes were as addictive as heroin and cocaine. And he shocked his conservative supporters when he endorsed condoms and sex education to stop the spread of AIDS.


Chris Collins, a vice president of amFAR, the Foundation for AIDS Research, said many people don't realize what an important role Koop played in the beginning of the AIDS epidemic.


"At the time, he really changed the national conversation, and he showed real courage in pursuing the duties of his job," Collins said.


Even after leaving office, Koop continued to promote public health causes, from preventing childhood accidents to better training for doctors.


"I will use the written word, the spoken word and whatever I can in the electronic media to deliver health messages to this country as long as people will listen," he promised.


In 1996, he rapped Republican presidential hopeful Bob Dole for suggesting that tobacco was not invariably addictive, saying Dole's comments "either exposed his abysmal lack of knowledge of nicotine addiction or his blind support of the tobacco industry."


Although Koop eventually won wide respect with his blend of old-fashioned values, pragmatism and empathy, his nomination met staunch opposition.


Foes noted that Koop traveled the country in 1979 and 1980 giving speeches that predicted a progression "from liberalized abortion to infanticide to passive euthanasia to active euthanasia, indeed to the very beginnings of the political climate that led to Auschwitz, Dachau and Belsen."


But Koop, a devout Presbyterian, was confirmed after he told a Senate panel he would not use the surgeon general's post to promote his religious ideology. He kept his word.


In 1986, he issued a frank report on AIDS, urging the use of condoms for "safe sex" and advocating sex education as early as third grade.


He also maneuvered around uncooperative Reagan administration officials in 1988 to send an educational AIDS pamphlet to more than 100 million U.S. households, the largest public health mailing ever.


Koop personally opposed homosexuality and believed sex should be saved for marriage. But he insisted that Americans, especially young people, must not die because they were deprived of explicit information about how HIV was transmitted.


Koop further angered conservatives by refusing to issue a report requested by the Reagan White House, saying he could not find enough scientific evidence to determine whether abortion has harmful psychological effects on women.


Koop maintained his personal opposition to abortion, however. After he left office, he told medical students it violated their Hippocratic oath. In 2009, he wrote to Senate Majority Leader Harry Reid, urging that health care legislation include a provision to ensure doctors and medical students would not be forced to perform abortions. The letter briefly set off a security scare because it was hand delivered.


Koop served as chairman of the National Safe Kids Campaign and as an adviser to President Bill Clinton's health care reform plan.


At a congressional hearing in 2007, Koop spoke about political pressure on the surgeon general post. He said Reagan was pressed to fire him every day, but Reagan would not interfere.


Koop, worried that medicine had lost old-fashioned caring and personal relationships between doctors and patients, opened his institute at Dartmouth to teach medical students basic values and ethics. He also was a part-owner of a short-lived venture, drkoop.com, to provide consumer health care information via the Internet.


Koop was born in the New York City borough of Brooklyn, the only son of a Manhattan banker and the nephew of a doctor. He said by age 5 he knew he wanted to be a surgeon and at age 13 he practiced his skills on neighborhood cats.


He attended Dartmouth, where he received the nickname Chick, short for "chicken Koop." It stuck for life.


Koop received his medical degree at Cornell Medical College, choosing pediatric surgery because so few surgeons practiced it.


In 1938, he married Elizabeth Flanagan, the daughter of a Connecticut doctor. They had four children, one of whom died in a mountain climbing accident when he was 20.


Koop was appointed surgeon-in-chief at Children's Hospital in Philadelphia and served as a professor at the University of Pennsylvania School of Medicine.


He pioneered surgery on newborns and successfully separated three sets of conjoined twins. He won national acclaim by reconstructing the chest of a baby born with the heart outside the body.


Although raised as a Baptist, he was drawn to a Presbyterian church near the hospital, where he developed an abiding faith. He began praying at the bedside of his young patients — ignoring the snickers of some of his colleagues.


Koop's wife died in 2007, and he married Cora Hogue in 2010.


He was by far the best-known surgeon general and for decades afterward was still a recognized personality.


"I was walking down the street with him one time" about five years ago, recalled Dr. George Wohlreich, director of the College of Physicians of Philadelphia, a medical society with which Koop had longstanding ties. "People were yelling out, 'There goes Dr. Koop!' You'd have thought he was a rock star."


___


Ring reported from Montpelier, Vt. Cass reported from Washington. AP Medical Writers Lauran Neergaard in Washington and Mike Stobbe in New York contributed to this report.


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'93 WTC Bombing Crushed Lives, Not Memories












Edward Smith remembers vividly the call from the morgue 20 years ago today, that his pregnant wife had died in the World Trade Center bombing hours before she was supposed to start her maternity leave.


"It seems like kind of yesterday sometimes," he told ABC News, "but it seems like a long time ago, too."


Today marks the 20th anniversary of the 1993 WTC bombing, which was overshadowed eight years later by the 9/11 attacks. Six people died and about 1,000 were injured after terrorists detonated a truck bomb in the parking garage of the World Trade Center's North Tower Feb. 26, 1993.


Four of the six killed -- Robert Kirkpatrick, 61, Stephen A. Knapp, 47, William Macko, 57, and Monica Rodriguez Smith, 35 -- were employees of the Port Authority of New York and New Jersey, which owned the buildings. John DiGiovanni, 45, a dental-supply salesman visiting the World Trade Center, and Wilfredo Mercado, 37, a purchasing agent for Windows on the World restaurant, also died.


To commemorate the event, ABC News spoke with several people affected by the bombing -- a widower, a former Port Authority executive director, a plaintiff's attorney and a jury foreman -- to illustrate how the bombing resonates 20 years later.


EDWARD SMITH: Husband of pregnant Monica Rodriguez Smith, who died in the bombing.



Edward and Monica Rodriguez Smith on their wedding day, Aug. 31, 1990.










September 11: World Trade Center Time Lapse Watch Video







Edward Smith, 50, remembers where he was Feb. 26, 1993, when he heard the news.


"I was up in Boston, and I had heard there was a fire at the [World] Trade Center," Smith told ABCNews.com last week. "I turned the TV on, and eventually heard there was an actual bombing, and drove down as quickly as I could."


Smith said he couldn't reach his wife, Monica Rodriguez Smith, a secretary for a mechanical supervisor for the Port Authority of New York and New Jersey who worked in the World Trade Center, for "hours and hours."


He said he didn't hear from her or anything about her until he contacted the New York City morgue at 11:30 p.m. that evening.


"Obviously, I was informed that I should come there," Smith said.


He and his wife had been married for a little more than three years, he said, and Feb. 26 was to be Monica's last day of work before she went on maternity leave. They were expecting their first child, a boy, to be named Eddie.


"She had worked at the Port Authority for at least 12 years," Smith said. "And she had just gotten an award for never having a sick day. That was a little thing you remember."


Smith said the World Trade Center was where he met his wife the first time.


"I was a sales guy, selling to the Port Authority, and she was the admin [secretary] for one of the guys," he said. "For the first two years, she wouldn't go out with me.


"She said, 'Do you know how many knuckleheads come in here and ask me out? What makes you different?'" Smith recalled Monica's saying.


It took her two years to go out on a date with him, Smith said.


The couple tied the knot Aug. 31, 1990. Smith said he even bought the house in which he grew up on Long Island to raise their family.


But after the events of Feb. 26, 1993, Smith said, it was hard to stay in New York. Shortly after the bombing, he moved to Arizona and later to California.


"There were too many reminders, it was too much," he said.


Smith now resides in Phoenix, but makes a trip to New York every year for the memorial in February.
This year is no exception.


"It's kind of an interesting feeling," he said of the 20-year anniversary. "It seems like kind of yesterday sometimes, but it seems like a long time ago, too."






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Football: Cahill bemoans Chelsea fixture pile-up






LONDON: Chelsea centre-back Gary Cahill thinks the club's hopes of qualifying for the Champions League are being hindered by what he describes as "ridiculous" fixture congestion.

The European champions lost 2-0 at Manchester City on Sunday to give hope to the teams bidding to pip them to a top-four berth.

Tottenham Hotspur could climb above Chelsea into third place with victory at West Ham United later on Monday, while beleaguered Arsenal are just two points behind Rafael Benitez's side in fifth place.

Sunday's game was Chelsea's 46th this season -- more than Arsenal (41), Tottenham and Manchester City (both 38), and sixth-placed Everton (32).

The Blues' calendar has been swelled by December's trip to Japan for the Club World Cup, while they also remain in contention in both the FA Cup and the Europa League.

It may mean more matches for Chelsea's fans to take in, but Cahill said it is having a harmful impact on the squad.

"Unfortunately, it does take its toll," he told Chelsea TV.

"I think if you look back at the start of the season with the spark and the zip we had -- I think sometimes a little bit of fatigue plays its part.

"We haven't had a clear week for about 29 weeks and you're expecting to go into games feeling 100 percent fresh, trying to push on further in all competitions.

"I think at this stage of the season, it's not an excuse, but fatigue has to play a part. They (Manchester City) had a clear week and we've had a ridiculous amount of games."

There is little respite on Chelsea's horizon, with Wednesday's FA Cup tie at Middlesbrough followed by a league game with West Bromwich Albion and the away leg of their Europa League last-16 tie with Romanians Steaua Bucharest.

"It's something that we have got to deal with," Cahill said.

"We've got the two cups and obviously trying to get the Champions League spot. That's our aim from now until the end of the season. That's our focus. We have to go again. We are still in that position.

"All three are in our own hands so we need to keep going and plug away and make sure we achieve the goals we want to achieve."

Cahill believes the fatigue in the squad was evident in their porous defensive performance at City.

"I had way too much (to do)," he said.

"Normally at a big club, in a game you probably get asked to do three or four important things in a game. (Against City) we probably had 20 or 25.

"Unfortunately, if you keep getting asked the question, ultimately there's going to be a goal."

- AFP/fa



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Chopper scam: CBI names ex-IAF chief SP Tyagi as suspect

NEW DELHI: Armed with documents from Italy, CBI today named former Air Force Chief S P Tyagi in its preliminary enquiry (PE) into allegations of kickbacks in the Rs 3,600 crore VVIP chopper deal, the second former defence services chief to figure in a scam probe.

Besides the former IAF chief, 10 others including his cousins — Julie, Docsa and Sandeep Tyagi have also been named along with four companies in the PE, CBI sources said here.

CBI has registered the PE to probe allegations that some "middlemen have influenced the deal in favour" of the Italian company AgustaWestland for the supply of 12 AW-101 VVIP/VIP helicopters.

It is also learnt that parent company Finmeccanica paid a commission of seven million Euros (about Rs 50 crore) to the middlemen out of which huge sums were transferred to seven Indian nationals through Tunisia and Mauritius, the PE said.

The money was sent in the garb of engineering contracts with two Indian companies — IDS Infotech and Aeromatrix, it said.

This is the second instance when a former services chief figures in a CBI inquiry. Former Admiral Sushil Kumar was named in a CBI case to probe alleged kickbacks in the purchase of Barak missiles in early 2000.

The sources said suspected European middlemen Carlo Gerosa, Christian Michel and Guido Haschkhe, advocate Gautam Khaitan formerly associated with Aeromatrix and its CEO Praveen Bakshi, former Finmeccanica chairman Giuseppe Orsi, former AgustaWestland CEO Bruno Spagnolini have also been named.

Besides Finmeccanica and AgustaWestland, IDS Infotech and Aeromatrix also figure in the PE, they said.

The team of CBI officials, which returned from Italy with some documents from Finmeccanica and public prosecutor, found enough material in them to start its probe in the alleged payoffs of Rs 362 crore in the helicopter deal, they said.

All the suspects named by the CBI in its PE have denied allegations of receiving or giving kickbacks in the deal.

The sources said the they are likely to be called for questioning in connection with the case.

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FDA approves new targeted breast cancer drug


WASHINGTON (AP) — The Food and Drug Administration has approved a first-of-a-kind breast cancer medication that targets tumor cells while sparing healthy ones.


The drug Kadcyla from Roche combines the established drug Herceptin with a powerful chemotherapy drug and a third chemical linking the medicines together. The chemical keeps the cocktail intact until it binds to a cancer cell, delivering a potent dose of anti-tumor poison.


Cancer researchers say the drug is an important step forward because it delivers more medication while reducing the unpleasant side effects of chemotherapy.


"This antibody goes seeking out the tumor cells, gets internalized and then explodes them from within. So it's very kind and gentle on the patients — there's no hair loss, no nausea, no vomiting," said Dr. Melody Cobleigh of Rush University Medical Center. "It's a revolutionary way of treating cancer."


Cobleigh helped conduct the key studies of the drug at the Chicago facility.


The FDA approved the new treatment for about 20 percent of breast cancer patients with a form of the disease that is typically more aggressive and less responsive to hormone therapy. These patients have tumors that overproduce a protein known as HER-2. Breast cancer is the second most deadly form of cancer in U.S. women, and is expected to kill more than 39,000 Americans this year, according to the National Cancer Institute.


The approval will help Roche's Genentech unit build on the blockbuster success of Herceptin, which has long dominated the breast cancer marketplace. The drug had sales of roughly $6 billion last year.


Genentech said Friday that Kadcyla will cost $9,800 per month, compared to $4,500 per month for regular Herceptin. The company estimates a full course of Kadcyla, about nine months of medicine, will cost $94,000.


FDA scientists said they approved the drug based on company studies showing Kadcyla delayed the progression of breast cancer by several months. Researchers reported last year that patients treated with the drug lived 9.6 months before death or the spread of their disease, compared with a little more than six months for patients treated with two other standard drugs, Tykerb and Xeloda.


Overall, patients taking Kadcyla lived about 2.6 years, compared with 2 years for patients taking the other drugs.


FDA specifically approved the drug for patients with advanced breast cancer who have already been treated with Herceptin and taxane, a widely used chemotherapy drug. Doctors are not required to follow FDA prescribing guidelines, and cancer researchers say the drug could have great potential in patients with earlier forms of breast cancer


Kadcyla will carry a boxed warning, the most severe type, alerting doctors and patients that the drug can cause liver toxicity, heart problems and potentially death. The drug can also cause severe birth defects and should not be used by pregnant women.


Kadcyla was developed by South San Francisco-based Genentech using drug-binding technology licensed from Waltham, Mass.-based ImmunoGen. The company developed the chemical that keeps the drug cocktail together and is scheduled to receive a $10.5 million payment from Genentech on the FDA decision. The company will also receive additional royalties on the drug's sales.


Shares of ImmunoGen Inc. rose 2 cents to $14.32 in afternoon trading. The stock has ttraded in a 52-wek range of $10.85 to $18.10.


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Best Moments From the Academy Awards






Host Seth MacFarlane took the stage at the 2013 Oscars with an opening monologue revealing he was ready to poke fun at the star-studded audience.


"The quest to make Tommy Lee Jones laugh begins now," he said.


But it wasn't too long before MacFarlane was interrupted. William Shatner, dressed as his iconic character Captain Kirk from "Star Trek," descended on the stage to warn MacFarlane that he was about to ruin the Oscars and be branded the worst host ever.


"The show is a disaster. I've come back in time … to stop you from ruining the Academy Awards," Shatner said.

Seth MacFarlane's Boobs Tribute


Shatner tried to steer MacFarlane away from singing an "incredibly offensive song that upsets a lot of women in the audience."


Cue MacFarlane's medley "We Saw Your Boobs," a laundry list set to music of acclaimed actresses in Hollywood who all bared their breasts in film.


MacFarlane was joined by the Gay Men's Chorus of Los Angeles to call out Meryl Streep, Anne Hathaway, Naomi Watts, Jodie Foster, Hilary Swank and countless others who we've seen nude in film.



Not every joke funnyman Seth MacFarlane made landed with the A-list crowd at the 85th annual Academy Awards.


The host elicited gasps from the crowd when he introduced "Django Unchained" as "the story of a man fighting to get back his woman, who's been subjected to unthinkable violence. Or, as Chris Brown and Rihanna call it, a date movie."


Another joke that somehow earned a too-soon nod? A throw to President Abraham Lincoln's assassination.


"I'd argue that the actor who really got inside Lincoln's head was John Wilkes Booth," MacFarlane said.


MacFarlane's jab at Mel Gibson didn't land too smoothly either. MacFarlane said the N-word laden "Django Unchained" screenplay was "loosely based on Mel Gibson's voicemails."

Oscars' Movie Musical Tribute


The theme of the 85 annual Academy Awards was celebrating music in film, and the tributes to movie musicals didn't disappoint.


Featured performers included Catherine Zeta-Jones belting "All That Jazz" from 2002's Best Picture winner "Chicago," Jennifer Hudson's show-stopping "And I'm Telling You I'm Not Going" from 2006's "Dreamgirls," and the cast of this year's Best Picture nominee "Les Miserables" reuniting on stage for "One Day More."

Introducing the Von Trapp Family


To introduce Christopher Plummer to the stage to present the award for Best Supporting Actress, MacFarlane couldn't help but make a joke out of the actor's infamous role as Captain Von Trapp in "The Sound of Music."


MacFarlane came out to announce the Von Trapp family singers, but no one came out. Instead, a man dressed in a Nazi uniform ran in to tell him that they were gone.

Kristen Stewart Hobbles on Stage to Present


When Daniel Radcliffe took the stage to present the award for Achievement in Production Design, he was joined by his hobbling co-presenter Kristen Stewart, who was seen crutching along the red carpet during the pre-show.


The "Twilight" star's makeup artist told People magazine that the actress "cut the ball of her foot, quite severely, on glass two days ago."


The Associated Press reported that backstage, Best Supporting Actress winner Anne Hathaway told Stewart to "break a leg."

Jennifer Lawrence's Unstable Victory


Jennifer Lawrence was so shocked to take home the Oscar for Best Actress that she lost her footing on her way up to the stage to accept her award.


"You guys are just standing up because I fell and that's really embarrassing," she said to the audience.


Lawrence regained her composure to give her acceptance speech, extending a special thank you to "the women this year," who she called "so magnificent and so inspiring."

Daniel Day-Lewis a Three-Peat Best Actor Winner


It was a highly anticipated win for Daniel Day-Lewis, who took home the award for Best Actor for his portrayal of Abe Lincoln in Steven Spielberg's "Lincoln."


Lewis cracked a joke in his acceptance speech, saying he was supposed to be cast as Margaret Thatcher and presenter Meryl Streep was the first choice for Lincoln.


"Meryl Streep was Steven's first choice to play Lincoln… I'd like to see that version," Lewis said.

Michelle Obama Announces Best Picture Winner


In one of the biggest surprises of the night, the Academy brought out First Lady Michelle Obama to help Jack Nicholson introduce the nominees for Best Picture.


Rocking her new bangs and a silver gown, the first lady, live from the White House, announced "Argo" as this year's Best Picture.


"It was a thrill to announce the #Oscars2013 best picture winner from the @WhiteHouse! Congratulations Argo!" FLOTUS tweeted afterwards.

Ben Affleck Triumphs at Oscars


Ben Affleck was flabbergasted by his win for Best Picture for "Argo." His frenzied, heartfelt acceptance speech resonated as he thanked his wife, Jennifer Garner, and ended on an inspirational high note.


"I want to thank my wife, who I don't normally associate with Iran. I want to thank you for working on our marriage. It is work, but it is the best kind of work," he said.


"I was here 15 years ago or something and you know I had no idea what I was doing. I stood out here in front of you all, really just a kid. I went out and I never thought I'd be back here and I am because of so many of you who are here tonight …. I want to thank them for what they taught me, which is that you have to work harder than you think you possibly can, you can't hold grudges. It's hard, but you can't hold grudges. And it doesn't matter how you get knocked down in life because that's going to happen. All that matters is that you got to get up."


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Frustrated Italians vote in crucial election for euro zone


ROME (Reuters) - Italians voted on Sunday in one of the most closely watched and unpredictable elections in years, with pent-up fury over a discredited elite adding to concern it may not produce a government strong enough to lead Italy out of an economic slump.


The election, which concludes on Monday afternoon, is being followed closely by investors; their memories are still fresh of the potentially catastrophic debt crisis that saw Mario Monti, an economics professor and former bureaucrat, summoned to serve as prime minister in place of Silvio Berlusconi 15 months ago.


A weak Italian government could, many fear, prompt a new dip in confidence in the European Union's single currency.


Opinion polls give the center-left a narrow lead but the result has been thrown completely open by the prospect of a huge protest vote against the painful austerity measures imposed by Monti's government and deep anger over a never-ending series of corruption scandals. Berlusconi's centre-right has also revived.


"I'm not confident that the government that emerges from the election will be able to solve any of our problems," said Attilio Bianchetti, a 55-year-old builder in Milan, who voted for the anti-establishment 5-Star Movement of comic and blogger Beppe Grillo.


The 64-year-old Grillo, heavily backed by a frustrated generation of young Italians hit by record unemployment, has been one of the biggest features of the last stage of the campaign, packing rallies in town squares up and down Italy.


"He's the only real new element in a political landscape where we've been seeing the same faces for too long," said Vincenzo Cannizzaro, 48, in the Sicialian capital Palermo.


Italians started voting at 8 a.m. (0700 GMT). Polling booths will remain open until 10 p.m. on Sunday and open again between 7 a.m. and 3 p.m. on Monday. Exit polls will come out soon after voting ends and official results are expected by early Tuesday.


Snow in northern regions is expected to last into Monday and could discourage some of the 47 million people eligible to vote in Italy to head out to polling stations, though the Interior Ministry has said it is fully prepared for bad weather.


Monti and his wife cast their votes at a polling booth in a Milan school on Sunday morning and centre-left leader Pier Luigi Bersani, the leader opinion polls suggest will have to form a new government, voted in his home town of Piacenza.


A small group of women's rights demonstrators greeted former prime minister Berlusconi when he voted in Milan. They bared their breasts in protest at the conservative leader, who is on trial at present for having sex with an underage prostitute.


Whichever government emerges from the election will have to tackle reforms needed to address problems that have given Italy one of the most sluggish economies in the developed world for the past two decades.


But the widespread despair over the state of the country, where a series of corruption scandals has highlighted the stark divide between a privileged political elite and millions of ordinary Italians, has left deep scars.


"It's our fault, Italian citizens. It's our closed mentality. We're just not Europeans," said Luciana Li Mandri, a 37-year-old public servant in Palermo.


"We're all about getting favors when we study, getting a protected job when we work. That's the way we are and we can only be represented by people like that as well," she said.


FRUSTRATION


Final polls published two weeks ago showed center-left leader Bersani with a 5-point lead, but analysts disagree about whether he will be able to form a stable majority that can make the economic reforms they believe Italy needs.


While the center left is still expected to gain control of the lower house, thanks to rules that guarantee a strong majority to whichever party wins the most votes nationally, a much closer battle will be fought for the Senate, which any government also needs to control to be able to pass laws.


The euro zone's third-largest economy is stuck in deep recession, struggling under a public debt burden second only to Greece in the 17-member currency bloc and with a public weary of more than a year of austerity policies.


Bersani is now thought to be just a few points ahead of media magnate Berlusconi, the four-times prime minister who has promised tax refunds and staged a media blitz in an attempt to win back voters.


Think-tank consultant Mario, 60, who was on his way to vote in Bologna, said Bersani's Democratic Party was the only serious grouping that could help solve the country's economic woes.


"They're not perfect," he said. "But they've got the organization and the union backing that will help them push through the structural reforms."


A strong fightback by Berlusconi, who has promised to repay a widely hated housing tax, the IMU, imposed by Monti last year, saw his support climb during a campaign that relentlessly attacked the "German-centric" austerity policies of the former European Union commissioner.


"I won't vote for Monti, and I don't think a lot of people will. He made a huge blunder with IMU," said 35-year-old hairdresser Marco Morando, preparing to vote in Milan.


But the populist frustration Berlusconi's campaign tapped into has also benefitted Grillo and many pollsters said his 5-Star Movement, made up of political novices, was challenging the center-right for the position as second political force.


"I'm very worried. There seems to be no way out from a political point of view, or from being able to govern," said Calogero Giallanza, a 45-year-old musician in Rome, who voted for Bersani's Democrats.


"There's bound to be a mess in the Senate because, as far as I can see, the 5-Star Movement is unstoppable."


(Additional reporting by Cristiano Corvino, Lisa Jucca, Jennifer Clark, Matthias Baehr and Sara Rossi in Milan, Stephen Jewkes in Bologna, Wladimir Pantaleone in Palermo, Stefano Bernabei and Massimiliano Di Giorgio in Rome; Editing by Robin Pomeroy and Alastair Macdonald)



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Football: Man City leave Chelsea trailing, Newcastle edge Saints






LONDON: Manchester City galvanised their grip on second place in the Premier League and trimmed Manchester United's lead back to 12 points with a 2-0 victory at home to nearest rivals Chelsea on Sunday.

After Chelsea's Frank Lampard had seen a penalty saved by England colleague Joe Hart, City prevailed through a pair of fine second-half goals from man-of-the-match Yaya Toure and substitute Carlos Tevez.

Although City's chances of retaining their league title remain decidedly slender, they now have a seven-point advantage over Chelsea, who could slip to fourth if Tottenham Hotspur overcome West Ham United on Monday.

Both City manager Roberto Mancini and his Chelsea counterpart Rafael Benitez flooded their sides with midfielders at the Etihad Stadium, while Benitez opted to leave John Terry and Fernando Torres on the bench.

City deployed Sergio Aguero as a lone striker and although he had to plough a lone furrow, it was the hosts who dominated the first half.

Visiting goalkeeper Petr Cech had to tip a header from Matija Nastasic over the bar, while Gary Cahill did well to block a goal-bound volley from Pablo Zabaleta.

City handed a rare start to Jack Rodwell and the midfielder threatened twice shortly before half-time, extending Cech with first a 25-yard drive and then a header from the resulting corner.

Chelsea were gifted an opportunity to open the scoring early in the second half when Hart was adjudged to have fouled Demba Ba, but the England goalkeeper redeemed himself with an excellent save from Lampard's spot-kick.

Aguero dinked a shot onto the roof of the net before City's enterprise finally told in the 63rd minute.

Toure collected a pass from David Silva and deftly evaded the attentions of four visiting defenders before shaping a shot around Cech that nestled in the bottom-right corner.

Tevez settled the encounter in style in the 85th minute, collecting the ball 22 yards from goal and arrowing a shot into the top-left corner.

In the day's other game, Newcastle edged relegation rivals Southampton 4-2 in a topsy-turvy game at St James' Park that took Alan Pardew's side six points clear of the bottom three.

In honour of their growing French contingent, Newcastle had dubbed the day 'French Day', handing out berets to their supporters and playing the French national anthem prior to kick-off.

However, it was a Frenchman in a red shirt who broke the deadlock, as midfielder Morgan Schneiderlin converted a Rickie Lambert knockdown to give Southampton a third-minute lead.

Newcastle's reaction was swift and in the 32nd minute they went ahead thanks to two French players of their own.

Yoan Gouffran forced a save from Artur Boruc after darting into the box from the left and when the ball ran across goal, Moussa Sissoko sped in to touch it over the line.

The hosts' momentum did not abate and in the 42nd minute they went ahead with a stunning goal, as Papiss Cisse cracked home a looping half-volley from 25 yards.

Newcastle lost captain Fabricio Coloccini to injury just before half-time and saw Southampton equalise five minutes into the second half when Lambert swept home a low cross from Adam Lallana.

However, Newcastle hit back once again and took the lead for the second time in the game when Yohan Cabaye converted a 67th-minute penalty awarded for a handball by Danny Fox.

The suspense in a stretched game finally dissipated in the 79th minute, when an own goal by Jos Hooiveld put Newcastle 4-2 ahead and confirmed the hosts' success.

- AFP/fa



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