US village honours Aust army captain

A New York village has honoured Australian soldier Captain Paul McKay, who died on a mountain. Source: AAP

THE small upstate New York village of Saranac Lake has honoured Australian soldier Captain Paul McKay, who died in sub-zero conditions on a mountain in January.

A group of eight, including Saranac Lake Mayor Clyde Rabideau and the Australian Army's Major Cameron Satrapa, scaled Scarface Mountain on Friday morning to the site where Capt McKay's body was found.

They gathered some rocks together to create a cairn memorial and placed a blue ribbon and a poppy on it.

"We said some prayers and toasted Capt McKay with some Australian beer," Mr Rabideau told AAP.

"It was a nice, simple, solemn service."

An Anzac Day service, attended by 150 people, was then held at Saranac Lake's World War I memorial where the Australian anthem was sung and the Ode of Remembrance read.

The residents of Saranac Lake, located near the Canadian border, were heartbroken when Capt McKay's body was found on the mountain after an intense two-week search.

Capt McKay, 31, from Adelaide, was diagnosed with post-traumatic stress after a tour of Afghanistan and from a hotel room in the area emailed his father in Australia to say he was leaving all of his possessions to him.

Capt McKay, without the appropriate gear, then scaled Scarface Mountain in minus 28C and blizzard conditions.

Essex County Coroner Francis Whitelaw ruled the death a suicide.

An autopsy found he died from arrhythmia due to hypothermia.

Capt McKay's parents, John and Angela, plan to visit the village in June and will dedicate a bench at the base of the mountain to their son.

Saranac Lake declared Friday Anzac Day for PTS Awareness.

* Readers seeking support and information about suicide prevention can contact Lifeline on 13 11 14 or Suicide Call Back Service 1300 659 467

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Man stabbed in abdomen in Tasmania

A man has been stabbed in the abdomen at a home in Tasmania's northeast, police say. Source: AAP

A MAN has been stabbed and another man arrested at a home in Tasmania's northeast.

Police were called to a residence in St Helens at about 10.40pm on Friday to find a man with a stab wound to the abdomen.

A second man, aged 52, was arrested at the scene and charged with wounding, police said.

He was bailed to appear at a later date.

The stabbed man is being treated at Launceston General Hospital and is expected to make a full recovery.

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NSW man accused of stabbing murder

A 20-year-old man has been stabbed to death in the NSW Hunter region, police say. Source: AAP

A MAN is facing a murder charge after a 20-year-old was fatally stabbed in the NSW Hunter region.

The alleged victim succumbed to his injuries shortly after arriving at Cessnock District Hospital on Friday night.

Police say they broke up a brawl in the hospital car park, where they found another 20-year-old man suffering a minor stab wound to the arm.

A third man, also 20, was arrested in Cessnock and questioned overnight, and has now been charged with murder.

The accused man was refused bail during an appearance before Maitland Local Court on Saturday and is due to reappear before Cessnock Local Court on Wednesday.

He has also been charged with carrying a cutting weapon and reckless wounding.

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Paddleboat sells then sinks in Vic

ONE of Australia's oldest paddleboats has sunk into the Murray River's murky waters at a time when its ownership is a legal grey area.

The 1877-built Avoca was found mostly submerged, and tilted to one side, at its mooring at Mildura in Victoria early on Friday.

It was two weeks to the day after the historic vessel was sold at auction, only to then sink during the settlement period.

The Avoca is changing hands from celebrity chef Stefano de Pieri to fellow Mildura restaurateur Simon Harrington, who submitted the winning auction bid of $55,000.

"We're all very sad about it and we'll have to see what we can do," Mr de Pieri told AAP on Friday.

"We don't know what has happened. We suspect it was a power failure and the bilge pump stopped working and that was that.

"This is what happens to boats, particularly old ones ... (but) it's not lost yet."

Mr de Pieri said the vessel would be inspected with a view to raising it, and that Murray River towns had the know-how and resources to do this, although he'd not had time to consider cost or sale implications.

The vessel has been used in recent times as a floating restaurant and Mr Harrington had planned to substantially restore the Avoca for use as a cafe by day, bar by night.

On Friday Mr Harrington said this plan was not sunk.

"I don't believe it is ... we have some pretty amazing plans that involved its restoration and we're hoping that's something that will still prevail," Mr Harrington told Fairfax Radio.

"It's not the first time this boat has sunk since 1877, so I'm hoping that this is just another story that we can tell about the old girl in a couple of years."

Mr Harrington also noted the sale process had not been finalised.

"We're in a settlement period at the moment," he said.

"I haven't got the key and had only paid a deposit - so it is an interesting grey area."

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Xzibit hurls chair at Aust promoter: video

A VIDEO allegedly showing US rapper Xzibit throwing a chair at his Australian promoter after a gig in Adelaide has been posted on YouTube.

The performer has been on tour Down Under since April 12 and will finish in Brisbane on Friday night.

In the video, after arguing between several people backstage, a man with an Australian accent is heard saying, "I didn't f***ing do that", before a man with an American accent is seen lifting a metal chair.

The man with the chair, who is tagged in the video as Xzibit, says, "Get the f*** out of here, man, before I f*** you up."

When the Australian responds, "What is your problem?" the man tagged as Xzibit throws the chair at him while shouting something about "the sound check".

The argument continues with threats of a fight before security steps in and someone says, "This needs to be resolved."

The three-minute and 38-second video was posted on YouTube on Wednesday and the Australian who Xzibit appears to be fighting with is tagged as Patrick "Mastercraft" Whyntie.

Mr Whyntie was the promoter for Xzibit's show in the Adelaide UniBar on Wednesday night.

Various news outlets and online sites are reporting the altercation was about Xzibit's transport.

On fasterlouder.com.au, reports say the argument came about because the rapper was picked up from Adelaide airport in an old Subaru with broken windows, and was forced to catch a taxi to the sound check.

The report also says the rapper found nothing was set up when he arrived.

The site also reports that Mr Whyntie says Xzibit was picked up in a $50,000 BMW.

Mr Whyntie posted a response on his Facebook page on Thursday that seems to address the argument.

"People forget Xzibit was one of my idols I spent my life savings to bring him down to Heatwave 1, had best friends invest and we treated him like royalty. Stretch Limos, fat pay cheque, unlimited booze you name it. What do you think we did this time?" he posted.

"Moments before he flipped out I had just had my guys running around to make sure every last need was taken care of! ... We damn near sold a show out on a Wednesday night in Adelaide. SO WHY on earth would any of the team Xpect you or deserve you to talk to us like s***, throw a tantrum and piss on everything we did for you!" the post said.

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Woman assaulted by five men in Lismore

A 30-YEAR-OLD woman has been sexually assaulted at an oval by a group of five men on the NSW north coast.

The woman had left a hotel on Woodlark Street in Lismore in the early hours of Friday and was heading home when she passed Gloria Mortimer Oval near Dawson Street to be confronted by the men.

Police say the woman was detained against her will and was sexually assaulted by the group near the the amenities block at the oval.

She managed to return home to inform relatives about the incident before being taken to Lismore Base Hospital, where she continues to receive medical treatment.

A crime scene has been established and examined by forensic officers.

Detectives are appealing for anyone with information to come forward.

They are looking for five males who have only been described as being of Aboriginal/Torres Strait Islander appearance.

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NT man tried to extort woman over job

A NORTHERN Territory woman was allegedly told "it's your money or your job" by a man she had already paid for preparing her resume and organising an interview.

But she refused to hand over more cash and went to police who charged him with blackmail and extortion.

The man, 28, had drafted resumes and organised job interviews for the woman and another man, both 24, for $800.

Police allege he crossed the line by telling the woman she would lose her job unless she handed over more money.

He's expected to face the Darwin Magistrates Court on May 27.

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Car production races ahead by 12%

CAR production is accelerating ahead, driven by demand from Europe, according to the latest figures.

A total of 142,158 cars were manufactured in the UK in March - a 12 per cent rise on the March 2013 figure, the Society of Motor Manufacturers (SMMT) said.

Last month's figure bought the year-so-far production total to nearly 405,000 - a 2.9 per cent increase on the January-March 2013 total.

SMMT chief executive Mike Hawes said: "The 12 per cent growth in UK car production in March 2014 is a significant step forward after a period of product changes at the start to the year.

"After several years in the doldrums, European demand for new cars is now picking up, with growth in the last seven months.

"This is a welcome boost for the UK's volume manufacturers for whom Europe is the key market. As new models are launched and investments realised, the sector remains on course for all-time record levels of output by 2017."

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Teen dies after heartbreaking rescue bid

The family of a boy who drowned while fishing in the Blue Mountains is being offered counselling. Source: AAP

A POPULAR teenager has died in a NSW Blue Mountains lake after his younger brother and a fisherman failed in a desperate and heartbreaking rescue attempt.

Michael Ryall, 16, was angling at Wentworth Falls Lake with his 15-year-old brother on Wednesday afternoon when he caught a fish but let it slip back into the shallows.

Michael, a fit sportsman from nearby Lawson, entered the cold water to try and retrieve the fish but got into difficulty about 5pm (AEST).

His brother and another fisherman plunged in after him.

"They actually got to Michael and were able to take hold of him but unfortunately he could not be saved and he disappeared under the water," Detective Superintendent Darryl Jobson told AAP.

Michael's brother and the fisherman scrambled back to safety.

Police and other emergency services searched the lake, a popular recreational spot northeast of Katoomba. They found Michael's body about 10.30pm.

It remains unclear precisely how he died or why he got into difficulty so quickly.

He was said to be semi-clothed when he entered the

water.

Michael was doing his HSC at school and his death has thrown both his family and the Blue Mountains community into mourning.

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NSW new-look cabinet sworn in

NSW Premier Mike Baird has urged his new-look cabinet to do more to sell themselves to the state. Source: AAP

NSW Premier Mike Baird has urged his newly sworn-in cabinet to do more to sell themselves to the state.

With family and friends watching on, the new cabinet - comprising five women and 17 men - was officially sworn in by NSW governor Marie Bashir on Wednesday morning.

But Barry O'Farrell's successor used the formal morning to rally his new-look team ahead of the state election next March.

"I don't think there is a full appreciation across the community on the number of things we have got done," he told reporters after the ceremony.

He said members of the previous cabinet, himself included, hadn't done enough to publicise their achievements to the state.

"We have a very short period of time until the election.

"We need to show NSW the work we have done."

The new cabinet is a good mix of experience, enthusiasm and energy, deputy premier Andrew Stoner said.

"We've also brought in that injection of new blood into our team," he said.

As well as his position as Deputy Premier, Mr Stoner also picks up tourism, major events and small business.

Others that benefited from the reshuffle are new Deputy Liberal Leader Gladys Berejiklian, new Planning Minister Pru Goward and new Attorney-General Brad Hazzard.

But for the youngest minister in the fresh team, the new finance minister Dominic Perrottet, a thumbs-up and a hushed "good job" from his young daughter seemed a good omen for the 31-year-old's new position.

Mr Baird said the new cabinet would meet Wednesday afternoon to begin discussions on infrastructure policy and lobbyist regulations.

He also rebuffed the suggestion his friendship with Prime Minister Tony Abbott would affect his judgment, saying it could only be a "very positive thing" for NSW.

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Tourists to follow Royals' adventure

THE Duke and Duchess of Cambridge are expected to leave more than a royal glow at Uluru, with tourism operators tipping a boost to business from their visit.

Prince William and Kate flew out of Yulara airport in Australia's red centre on Wednesday after a stay of less than 24 hours.

In that time, however, they put the jewels of desert Australia on display to the world.

Scores of media cameras captured the royals at iconic Uluru, a destination already high on the to-do list of UK holiday-makers.

British tourists are the biggest group of international visitors to the Northern Territory, with about 35,000 coming each year.

The Northern Territory government has already boosted its international marketing budget by $8 million in an effort to capitalise on the exposure from William and Kate's visit.

The government is hoping for a 10 per cent improvement in visitor numbers as a result of the royal tour.

Ray Stone, executive general manager of sales and marketing for Uluru resort operator Voyages, said the royal tour should increase international visitor numbers, adding momentum to a change already evident in the market.

When you look at the coverage (the royal tour) is getting in the UK, it will have a significant effect on our business, Mr Stone said.

I can't put a number on it but obviously we are at a point now where consumer confidence in the UK is growing, Mr Stone said.

We have been seeing increases (in inbound tourist numbers) out of the UK market for the first time in five or six years.

Mr Stone visited the UK in March and said tour operators had told him then that business was picking up.

It remains to be seen how many tourists will want to copy William and Kate's night of """""glamping""""" under the desert stars in the luxury tents of Longitude 131 resort near Uluru.

Baillie Lodges, the company that owns Longitude 131, has a strict privacy policy and would not detail the royals' visit beyond a brief statement saying it was delighted to have hosted the couple.

"It was an absolute honour to host the Royal couple at Longitude 131 and we're very glad they were able to experience the spiritual heart of Australia during their tour," Baillie Lodges Managing Director James Baillie said.

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We won't abandon search for MH370: PM

PRIME Minister Tony Abbott has reaffirmed Australia's pledge to do everything possible to find the missing Malaysia Airlines jet, as authorities prepare for the next phase of the search.

An underwater drone has combed more than three quarters of the search area where experts believe the black box recorder for MH370 could be located.

Mr Abbott on Wednesday said if nothing turned up they would "rethink" the search but would not give up while there was a reasonable hope of finding something.

"Australia will not rest until we have done everything we humanly can to get to the bottom of this mystery," he told reporters in Canberra.

He also dismissed new theories that the plane could have landed, saying there was no advice to suggest anything but the plane went down somewhere in the Indian Ocean.

Up to 10 military aircraft and 12 ships are assisting in the search on Wednesday, with the drone circling an underwater area with a 10km radius.

Defence Minister David Johnston said if the search turned up nothing the operation would move to the next phase, using more advanced sonar technology.

Australia was "working up" the assets required for this with its search partners, but wasn't waning in its commitment to the task.

Senator Johnston said the government was tracking the cost of the search but that Australia wanted to help its friends in this "most tragic circumstance".

"Yes there are costs incurred, we want to find this aircraft," he told reporters in Canberra.

"We want to say to our friends in Malaysia and China that this is not about cost."

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O'Farrell set to bag generous pension

Despite his recent resignation, Barry O'Farrell will still enjoy a generous pension for many years. Source: AAP

BARRY O'Farrell, despite having his NSW premiership unceremoniously cut short, will still enjoy a generous taxpayer-funded pension for many years.

Mr O'Farrell, who resigned after giving misleading evidence to a corruption hearing about a $3000 gift of a bottle of wine, will collect a taxpayer-funded pension of more than $164,000 a year if he retires at the next election, Greens MP John Kaye says.

Mr O'Farrell will also have the choice of receiving a $1.6 million lump sum payout instead of the yearly payment.

Dr Kaye says it's unfair Mr O'Farrell will enjoy the generous payout after cutting public sector salaries.

"As premier, Mr O'Farrell froze wages for nurses, teachers and paramedics behind inflation, slashed workers compensation benefits and retrenched 15,000 public sector workers," he said in a statement on Tuesday.

"He will have a much more comfortable post-work life than injured workers and most of the rest of the population."

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Royal couple en route to central Australia

AS the Duke and Duchess of Cambridge stepped off their Royal Australian Air Force jet and out into the dry heat of the central Australian desert, they looked straight out at Uluru.

About 150 people in the remote town pressed up against the airport's fence to get a look at the couple, who touched down just after 1pm local time.

Kate was the first to appear, wearing a taupe cap-sleeved dress by Roksanda Ilincic, with a pale grey belt and nude pumps.

It is her second outfit by the designer since she arrived in Australia.

William was similarly desert-ready, in cream pants, brown suede loafers and a casual khaki shirt.

They were greeted by the Administrator of the Northern Territory, Sally Thomas, her husband Duncan McNeill, NT Chief Minister Adam Giles and his wife Tamara, and traditional owners Daisy Walkabout and Vincent Nipper.

William lingered as he spoke to Ms Walkabout, who greeted his parents Prince Charles and Diana on their trip to Uluru in 1983.

"We're happy to meet them, like we were happy to meet (Charles and Diana) in the past," Ms Walkabout said.

"They've travelled a lot and now they will come to see this country, and it will be good to know they have seen Uluru, which is so hugely significant not just for a small group of people but a whole range of people that are related and connected to this place."

Avril Shear and Lindsay Gordon, Sydneysiders originally from South Africa, extended their outback holiday at Uluru so they could see the duke and duchess as their motorcade left the airport.

"I don't know if he answered me specifically, but I said 'welcome to Uluru' and he said thanks," Ms Shear said.

"I think it was the best glimpse of them we could have gotten."

She said the couple were very natural.

"I think the difference with them is that you know they're so in love; it brings people a new hope, less of a stiff upper lip," she said.

William and Kate headed to the National Indigenous Training Academy to present students with graduation certificates.

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Baird announces new-look NSW cabinet

NSW Premier Mike Baird says the decision to drop Greg Smith (pic) from his cabinet wasn't easy. Source: AAP

NSW Premier Mike Baird says his new-look cabinet balances experience and renewal.

The big winners are Andrew Constance, who replaces Mr Baird as treasurer, and Pru Goward, who becomes the new planning minister.

Brad Hazzard has been promoted from planning to Attorney-General, at the expense of Greg Smith.

Mr Baird said the new ministerial team balanced "experience, renewal and hunger".

The announcement came an hour after veteran north coast MP Don Page said he was retiring from politics.

Mr Baird confirmed the Nationals MP had been demoted from Local Government Minister and paid tribute to his service to the state.

Deputy Premier Andrew Stoner said he wouldn't be surprised if George Souris - another Nationals MP who has also been demoted - would also step away from parliament before the next election.

"It is a group that brings experience but just as importantly, it brings a hunger," Mr Baird told reporters of his new team.

"A hunger to make this great state even greater. A hunger to transform New South Wales."

He described Mr Smith as a "good man and a good friend", but stood by his decision to replace him as Attorney-General.

"I've had to weigh up what I think is the right team to take us forward, to provide a renewed focus on how we can turn this great state to an even greater state," he said.

"Part of that involves some difficult decisions ... but I strongly think that they were in the right long-term interests of this state."

The reshuffle also hands Gladys Berejiklian, who represents the Sydney electorate of Willoughby, the North Coast ministry, in addition to her transport portfolio.

Mr Baird, who is from the northern beaches electorate of Manly, replaces Mr O'Farrell as Minister for Western Sydney.

He said it was "entirely appropriate" he represented the west given the many infrastructure projects being built there.

"I'm going to be there a lot," the premier said.

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Wran could have been PM: Bob Carr

FORMER NSW premier Bob Carr says Neville Wran could have been prime minister if it wasn't for Bob Hawke.

Mr Wran died in Sydney on Sunday aged 87 after a long battle with dementia.

Mr Carr on Monday hailed his predecessor as one of Labor's greatest leaders, saying Mr Wran could have been prime minister but didn't want to contest Mr Hawke for the Labor leadership, preferring to remain premier.

"Neville might have beaten Bob Hawke for the federal Labor leadership, but I think he was very reluctant to give up running NSW," he told reporters in Sydney on Monday.

"He relished the use of power in good causes, and you don't surrender that easily for the prospect of being marooned in opposition in Canberra."

Mr Carr, who surpassed Mr Wran's record for the longest continuous service as NSW premier, said working under him as a Cabinet minister had shaped his own approach to politics.

"To sit at a cabinet meeting and watch him at work, to have him interrogate you as a minister, was an education in how a crafty, alert, earthy, political mind was roaming over the landscape."

As premier, Mr Wran's greatest achievements included saving the rainforest in northern NSW and putting conservation on the political agenda, said Mr Carr.

The lowest point, however, was a Royal Commission in 1983, which examined allegations he tried to influence a magistrate over a misappropriation hearing against rugby league boss Kevin Humphreys.

Even though he was cleared, it hung over the Wran government.

"He was stung by that. He was hurt by it. He was like a wounded lion in the parliament - but still magnificent," said Mr Carr.

He said Mr Wran was generally non-abrasive, but also someone who wasn't afraid to say what he thought.

"I remember his cheeky humour, and sometimes his foul mouth, especially when he was pulling a minister into line," recalled Mr Carr.

He described the former premier's battle with dementia as a blow to Mr Wran's renowned intellect.

"He was aware it was happening to him, which is very sad. He told a friend that he felt it close on him like a cloud."

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Man falls 15m as Melbourne crane topples

A CRANE has toppled over on the Melbourne docks injuring the operator.

The crane, used to pick up and transport shipping containers, fell in the West Melbourne yard on Monday morning.

An Ambulance Victoria spokesman said the man was inside the crane's cabin about 15 metres above the ground when it fell.

"He was initially trapped and MFB crews had to cut away part of the cabin so that paramedics could get to him," he said.

The man suffered extensive cuts to his head, serious arm injuries and possible spine injuries.

He was taken to the Royal Melbourne Hospital in a serious but stable condition.

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Direct Action is a waste of money: Palmer

FEDERAL MP Clive Palmer has strongly indicated his party won't support the Abbott government's climate change direct action plan, labelling it a "token gesture" and a waste of money.

The Palmer United Party leader and mining magnate said the money allocated for the policy should be used for pensions, which could be under review in the May budget.

Mr Palmer said the rights of pensioners were more important and had greater priority than "a token gesture to addressing carbon issues".

"On one hand the government makes broken promises, yet on the other hand they commit to campaigns that waste money like direct action," Mr Palmer said in a statement on Monday.

"It would take some convincing for us to support a bill such as this."

This throws up a major hurdle for the government, which will need the support of PUP in the new Senate come July to repeal the carbon tax and get its alternative policy across the line.

Two PUP senators - Queensland's Glenn Lazarus and Tasmania's Jacqui Lambie - will make their political debut in the next Senate, with Dio Wang also expected to take a seat once the vote count in West Australia's by-election is finalised.

The government will need the votes of at least six crossbench senators to get its legislation passed.

Mr Palmer is an outspoken critic of the carbon tax, and has been pushing for its repeal to be made retrospective so payments made under the scheme can be refunded.

He abstained from voting on the repeal legislation in the lower house, which if passed by the Senate will save his resource companies millions of dollars a year.

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Huge crowd at Sydney zoo for royals' visit

EXCITEMENT is building at Sydney's Taronga Zoo for the arrival of the Duke and Duchess of Cambridge - and possibly baby Prince George - on Sunday afternoon.

Hundreds of royal fans are filing into the zoo at Mosman, eager to catch a glimpse of the royals, who are due at the entrance about 2.20pm.

At 1.30pm, the zoo put up the full house sign.

"Taronga Zoo is currently full and there will be no more admissions. Please check the website for updates. Thank you for your understanding," the zoo tweeted.

The duke and duchess, who attended an Easter church service at St Andrew's cathedral on Sunday morning, are due to be met by dignitaries outside the zoo, before taking a short tour of the facility.

They are expected to stop at the zoo's bilby enclosure - named after Prince George as part of the nation's gift following his birth.

They are also scheduled to feed tree kangaroos, walk past giraffes, enjoy a bird show, and take in the rhino conservation display.

Tracee Harley, 42, and her eight-year-old daughter Charlotte were lining up to get into the zoo.

"I'm coming to see baby George and the bilbies - that's what we're here for," Ms Harley told AAP.

"I'm really excited. Actually Kate's gorgeous, we can't wait to get a glimpse.

"With baby George it's a new generation of royals, so it's really exciting."

Charlotte Harley was wearing a rainbow wrist band she planned to give Kate.

"I'm really excited to see the baby bilby and George, and I want to know what Kate wears," she said.

Kate, 37, said she'd turned up to the zoo because she thought the duchess was a good role model for girls.

"She's made an impression in such a positive way, much like Diana," she said.

She described it as "a once in a lifetime opportunity" to see the royal couple.

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Documents detail another delayed GM recall

New US government documents show another delay by General Motors in recalling unsafe vehicles. Source: AAP

GENERAL Motors waited years to recall nearly 335,000 Saturn Ions for power steering failures despite getting thousands of consumer complaints and more than 30,000 warranty repair claims, according to US government documents.

The National Highway Traffic Safety Administration, the government's auto safety watchdog, also didn't seek a recall of the compact car from the 2004 through 2007 model years even though it opened an investigation more than two years ago and found 12 crashes and two injuries caused by the problem.

The documents, posted on the agency's website on Saturday, show yet another delay by GM in recalling unsafe vehicles and point to another example of government safety regulators reacting slowly to a safety problem despite being alerted by consumers and through warranty data submitted by the company.

A recall can be initiated by an automaker or demanded by the government.

Both GM and NHTSA have been criticised by safety advocates and lawmakers for their slow responses to a deadly ignition switch problem in 2.6 million GM small cars. GM admitted knowing about the problem for more than a decade, yet didn't start recalling the cars until February. The company says it knows of 13 deaths in crashes linked to the ignition switches, but family members of crash victims say the number is much higher.

The Ion was one of a few GM cars included in a March 31 recall of 1.5 million vehicles worldwide to replace the power steering motors; the recall also covered some older Saturn Auras, Pontiac G6s and Chevrolet Malibus. If cars lose power steering, they can still be steered, but with much greater effort. Drivers can be surprised by the problem and lose control of the cars and crash.

In a statement issued on Saturday, GM admitted that it didn't do enough to take care of the power steering problem.

NHTSA closed its investigation into the Ion because GM had decided to recall the cars, according to the documents.

"This raises more troubling concerns about GM's and NHTSA's actions as well as questions about whether NHTSA has the capability to effectively do its job," said Democratic Rep Diana DeGette.

"I intend to aggressively pursue these issues as our congressional investigation into GM and NHTSA continues."

DeGette was a ranking member of a House subcommittee that grilled GM CEO Mary Barra earlier this month during a hearing on the ignition switch problems.

NHTSA said on Saturday it was "actively working to bring this investigation to a resolution" when GM issued the recall.

"Over the past ten years, NHTSA defect investigations resulted in 1,299 recalls involving more than 95 million vehicles and items of motor vehicle equipment, which has helped us reduce vehicle fatalities to historic, all-time lows," the agency said in an emailed statement.

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NSW premier flags hospital privatisation

NEW South Wales' new premier has flagged he will be looking to privatise the state's public hospitals as a way to "transform and improve health care".

Only days after taking the state's top job, Premier Mike Baird highlighted the role that the private sector already has in running NSW hospitals.

"These (services) extend anywhere from cleaning, to the public-private partnership to design, build, operate and maintain the new Northern Beaches Hospital," he said in a statement to AAP.

"My government will continue to look for ways to transform and improve health care."

The "key thing", he said, was that whatever the model the government pursued, public patients would be cared for as they are currently.

All they would notice was "enhanced services and facilities", he said.

But Opposition leader John Robertson said NSW families would lose out.

"Our hospitals are here to service the people of NSW, they are not here to be run as businesses," he told reporters.

Mr Robertson accused the new premier of being "out of touch", saying he was a "former merchant banker who lives on the northern beaches of Sydney".

"He just doesn't get what it is like to be a family that is struggling to make ends meet."

He said Mr Baird's "mode of operation" was to privatise the state's assets, including electricity poles and wires.

The Health Services Union (NSW) secretary Gerard Hayes said its members would campaign against the privatisation of hospitals.

"The private sector does not take this work on out of the goodness of its heart. It does so to make a dollar."

To turn a profit, he said they would either slash jobs and wages or offer inferior services.

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