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Silvio Berlusconi has attempted to fend off allegations that preparations for the G8 summit have been so chaotic that Italy's membership of the group was being called into question.The Italian prime minister said a report in the Guardian, citing senior western officials as saying the US had taken the lead in managing the agenda for the summit, was "a colossal blunder by a small newspaper".

"I hope that the Guardian is expelled from the great newspapers of the world," said the foreign minister, Franco Frattini. "What the Guardian says is a joke – nonsense."The defence minister, Ignazio La Russa, suggested a boycott of the paper because of the report.

talian PM Silvio Berlusconi is being investigated for misuse of public funds after photos showed he had used state aircraft to fly friends to Sardinia.Mr Berlusconi confirmed on Thursday that he had been formally placed under investigation by prosecutors, but said the probe would be "swiftly shelved".

On Saturday, the 72-year-old succeeded in blocking the publication of 300 pictures taken at his Sardinian villa. They reportedly included scenes of parties on his estate attended by several young women, including the 18-year-old model Noemi Letizia.

One photograph also showed the former Czech Prime Minister, Mirek Topolanek, standing naked by the side of a pool, according to Mr Berlusconi's lawyer. Others showed topless women sunbathing.

Un incendio ha destruido esta noche el coche de Barbara Montereale, una de las jóvenes que acompañó a Patrizia D'Addario al Palacio Grazioli la noche del 4 de noviembre pasado, y testigo en la investigación judicial de Bari que analiza el reclutamiento de prostitutas y velinas para las fiestas de Silvio Berlusconi y otros personajes políticos.

Preparations for Wednesday's G8 summit in the Italian mountain town of L'Aquila have been so chaotic there is growing pressure from other member states to have Italy expelled from the group, according to senior western officials.

In the last few weeks before the summit, and in the absence of any substantive initiatives on the agenda, the US has taken control. Washington has organised "sherpa calls" (conference calls among senior officials) in a last-ditch bid to inject purpose into the meeting.

"For another country to organise the sherpa calls is just unprecedented. It's a nuclear option," said one senior G8 member state official. "The Italians have been just awful. There have been no processes and no planning."

Berlusconi has had more than a little trouble lately with embarrassing photos. So it must have been with a sinking ­feeling that he watched the Libyan leader descend the aircraft steps with another one pinned to his chest.The photograph Gaddafi wore to several of the ceremonies on the opening day of his visit did not show young women in underwear by Berlusconi's poolside, let alone a former Czech prime minister in the altogether. But it was discomforting for his hosts all the same: it showed the Libyan resistance leader, Omar Mukhtar, the "Lion of the Desert", on the day before he was hanged by ­Italian colonialists in 1931.

During his tour of Europe, Netanyahu has so far heard criticism on the issue of the settlements from leaders considered "friends" - starting with Italian Prime Minister Silvio Berlusconi, and yesterday from French President Nicolas Sarkozy. Advertisement "I am your friend and therefore I am speaking honestly," Sarkozy told Netanyahu during their meeting at the Elysee Palace. "You must conduct confidence building measures and the first must be the absolute freeze on construction in the settlements."

During his tour of Europe, Netanyahu has so far heard criticism on the issue of the settlements from leaders considered "friends" - starting with Italian Prime Minister Silvio Berlusconi, and yesterday from French President Nicolas Sarkozy. Advertisement "I am your friend and therefore I am speaking honestly," Sarkozy told Netanyahu during their meeting at the Elysee Palace. "You must conduct confidence building measures and the first must be the absolute freeze on construction in the settlements."

The proposal that the prime minister is now considering, which Ariel Sharon had previously put forward, is to carry out a "territorial freeze" to settlement activity. In other words, the settlements will not expand onto more territory in an effort to meet the growing needs of settler population without leading to new "facts on the ground," which would stand as an obstacle to the creation of a future Palestinian state. Under this proposal, the only new structures in settlements would be for public functions, like kindergartens or schools.

Europe is run by a sort of permanent Congress of Vienna.

The heads of state and government want to appoint the president swiftly, before the Parliament acquires more power. On the other hand, they want to appoint the other commissioners in accordance with the new version of the Lisbon Treaty, under which each country will continue to have its own commissioner. Under the old version of the treaty, some countries would have had to do without a commissioner. The governments are currently playing fast and loose with the rules, so to speak.

SPIEGEL: The European Parliament doesn't seem to be all that powerful. What does it lack? Schulz: Essentially, a proper government that answers to the Parliament. The separation of powers we are familiar with from the nation state doesn't exist yet. If we had a European head of government who had to assemble a parliamentary majority, there would now be two candidates running for the office. I admit that if that were the case, it would be easier to motivate citizens to vote.

THE EU has invited six former Soviet republics to join an eastern partnership initiative promising closer ties amid growing fears of serious economic and political upheaval in the region.

At a summit yesterday, the union offered the prospect of free trade, additional economic aid, a gradual relaxation in visa restrictions and integration into the European single market. But the initiative stops short of offering the prospect of future EU membership to any of the participants and commits them to respect human rights and democracy.

“If we don’t export stability to this region, we will import instability,” said Swedish prime minister Fredrik Reinfeldt who, along with Polish prime minister Donald Tusk, co-developed the eastern partnership plan in an attempt to stabilise eastern Europe.

European Union nations gathered for landmark talks Thursday with six former Soviet states, aiming to foster stability without angering Moscow or offering anyone the hope of eventual EU membership.     The main goal of the new Eastern Partnership is to "accelerate political association and further economic integration" between the 27 EU nations and Armenia, Azerbaijan, Belarus, Georgia, Moldova and Ukraine, according to a draft summit statement.

Russian Foreign Minister Sergei Lavrov on Wednesday warned against the creation of "new dividing lines" in Europe.     However EU foreign policy chief Javier Solana assured in Prague that the Eastern partnership "is not against Russia with whom we also have a partnership".

Brussels says the new scheme is designed to foster stability in the region and is not handing out the carrot of eventual EU partnership.     "This is not about building spheres of influence, this is not about building competition, this is a language that belongs to the past," EU commission spokesman Amadeu Altafaj Tardio said.

Europe's mainstream centre-left parties suffered humiliation last night when four days of voting in the EU's biggest-ever election concluded with disastrous results for social democrats.

In Germany, France, Italy, Spain, Poland, Austria, Bulgaria, Hungary and the Czech Republic, the centre right won the elections, with stunning defeats for the left in certain cases.

In the EU's biggest country, Germany, returning 99 of the parliament's 736 seats, the Social Democrats (SPD), the junior partner in Chancellor Angela Merkel's grand coalition, sunk to an all-time low, with 21% of the vote.

After a successful summit, Merkel, Sarkozy, (British Prime Minister Gordon) Brown or (Spanish Prime Minister José Luis Rodríguez) Zapatero say to the journalists from their respective countries: "I scored a victory here." But when things go wrong, they say: "Brussels is so bureaucratic and sluggish." In the EU, success is nationalized and failure is Europeanized.

SPIEGEL: Why is it so difficult to get citizens enthusiastic about the EU? Schulz: Much of it has to do with a democratic deficit. People, myself included, often find the Commission incredibly irritating. I think some of the administrative decisions that are made in Brussels are unspeakable. This executive branch is not sufficiently monitored by the parliament. The resulting displeasure has led to a general grumbling about Europe.

When it comes to economic and currency policy, the EU acts virtually like a country, and it is very successful in doing so. The domestic market creates Europe-wide freedoms for companies, but the social rights of employees are neglected. The equal footing of capital and labor, as we know it in nation states, doesn't exist at the European level. That's why the central theme of my campaign is that we must impose a social framework on a Europe that is an economic and currency union.

U.S. President Barack Obama and Brown both favor driving on fiscal stimulus, even if the governor of the Bank of England is cautioning his prime minister he can't afford to throw any more money at the problem

Brown and Obama have limited room for maneuver since both their countries have such hefty current account and budget deficits. They just don't have the money to do it themselves, and they may have trouble persuading those who do have the cash to use it.

In an uncomfortable reminder of serious divisions over the Iraq war, Germany's Chancellor Angela Merkel and France's President Nicolas Sarkozy, each with more national traditions than Obama and Brown, and with their welfare states already pumping money into their economies as unemployment increases, are pursuing a different agenda. Blaming "Anglo-Saxon economics" and dodgy banking practices for the mess, they don't want more funds injected.