The following are the top stories in the Maltese and overseas press:

The Times and other newspapers report how an Italian firm has been chosen as the preferred bidder in the privatization of the former Malta Drydocks ship repair facilities in Cospicua. It also says taxpayers will end up paying the bulk of €186,000 in compensation to former prison guard Anthony Mifsud.

The Malta Independent asks if Malta will ever have one national day.

In-Nazzjon says the frame-up of prison guard Anthony Mifsud at the time of the Labour government will mean €186,000 in compensation.

l-orizzont says the selection of BWSC for the power station extension came ‘from above'.

The Press in Britain...

The Daily Telegraph reiterates clams that British police have been secretly training Libyan officers in a deal that was an "insult to the memory of PC Yvonne Fletcher".

The Financial Times says there has been an unexpected surge in small investors trading on the stock market at levels last seen during the dotcom boom.

In an interview with The Guardian, Lib-Dem leader Nick Clegg says Britain will need "savage" spending cuts - and targets child benefit, public sector pay and pensions.

The Independent features a disability lawyer who claims she suffered a "witch hunt" by council leaders.

The Daily Express claims three cups of tea a day will halve the risk of diabetes.

The Daily Mail leads with a government crackdown on "cowboy" clamping firms.

The Daily Mirror has a reportedly seething Simon Cowell on its front page as the rival BBC dance hit is rescheduled to go head to head with his talent show.

The Daily Star leads with Jordan's promise to reveal all about former husband Pete's kinky bedroom secrets.

After its revelation yesterday that a 12-year-old boy had a sex-change operation during the summer holidays, The Sun says it can reveal another "sex swap" pupil, this time a nine-year-old boy.

And elsewhere...

The Irish Independent quotes Irish Prime Minister Brian Cowen telling the country's first ever Global Economic Forum in Dublin that approval of the Lisbon Treaty in the October referendum would secure future jobs.

Pravda reports Russian Prime Minister Vladimir Putin has hailed President Obama's decision to scrap plans for a missile defence system in Europe and urged it to cancel trade restrictions with Russia.

The International Herald Tribune says the US, Britain, France and Germany have issued statements slamming the latest outburst by Iranian President Mahmoud Ahmadinejad who said the Holocaust was a "myth" as he addressed the annual Quds Day rally in Tehran.

Al-Jazeera reports Iranian opposition leaders have reportedly been forced to flee violent rallies in Tehran as tens of thousands of reformists mounted their first protests since mid-July against the re-election of President Ahmadinejad. Defying warnings from top officials not to demonstrate during an annual rally in support of Palestinians, protesters chanted "Death to the dictator".

The Jerusalem Post quotes Isreal's Atomic Commission assistant director David Danieli rejecting an UN atomic agency resolution calling on the Israelis to respect the non-proliferation treaty and open its nuclear sites to inspection. He said the resolution, sponsored by Arab states and supported by Russia and China, aimed only at increasing political hostility against Israel.

Berliner Morgenpost says security at German airports and train stations has been stepped up after Al-Qaeda warned Germans to change their government in the September 27 election or face a "bad awakening".

Corriere della Sera says an Italian businessman has been arrested in a sex-for-favours case that has led to scrutiny of the private life of centre-right Premier Silvio Berlusconi. A prosecutor said Gianpaolo Tarantini, 35, was stopped at Bari airport on drugs charges and because police had discovered he was planning to escape. The businessman was under investigation for allegedly providing prostitutes and cocaine to Puglia centre-left officials to boost his healthcare business.

In Australia, the Herald-Sun reports that the alleged victim of 30 years of horrific sexual abuse took a restraining order out against her father in 2007, two years before he was eventually charged. In the same year state authorities pursued the woman to pay for damages to a house she fled to escape her alleged attacker. The shocking revelations come amid yet more claims that neighbours who alerted police years before the man was eventually charged felt intimidated by the man.

Gazeta Polska reports that a methane leak in a Polish coal mine set off an explosion that killed 12 miners and left dozens injured, 15 of them in critical condition. The explosion occurred 3,450 feet underground.

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