New Zealand and Nauru yesterday agreed to take in 438 refugees stranded on a Norwegian freighter in the Indian Ocean, handing Australia a way out of the week-old crisis over their fate.
But the face-saving deal was thrown into doubt last night when an Australian Federal court issued an injunction preventing the ship from leaving Australian waters until it had ruled on whether the refugees should be allowed to land in Australia.
Australian Prime Minister John Howard had earlier announced that the boat people would be split into two groups, with 150 to be accepted by Wellington and the remainder to have claims for refugee status assessed on the tiny Pacific island of Nauru.
The court ruling casting doubt on this solution came in response to an application from the Victorian Council for Civil Liberties for the refugees to be allowed to disembark at Australia's Indian Ocean territory of Christmas Island.
The asylum seekers have been living on the deck of the freighter, the Tampa for almost a week after Australia refused to accept them. The Tampa is currently anchored 7.4km off of Christmas Island.
The asylum seekers were plucked from the sea by the Tampa's crew last Sunday after captain Arne Rinnan was alerted to their plight aboard a sinking Indonesian vessel by Australian maritime authorities.
The agreements with Nauru and New Zealand failed to silence Norway's criticism of Australia for its handling of the impasse.
Norwegian Prime Minister Jens Stoltenberg insisted that the boat people should be allowed to disembark in Australia.
"First, this is a question of ... human beings but also of important principles of how to behave at the scene," Stoltenberg told Australian television.
"For us that was an incorrect answer to a humanitarian problem and for us it was also obvious that the right answer would have been to help people in distress ... and to allow them to disembark."
But Howard reiterated yesterday his government's determination that at no time would the Tampa's human cargo land in Australia.
"I should emphasize that this agreement and this potential solution to this very difficult issue does not involve the people being taken to Christmas Island, or on to Australian territory, or any part of the Australian mainland," he said.
The government's concerns arise over the legal implications if the asylum seekers request sanctuary after making landfall. They would then be subject to the provisions of the Australian legal system which could take years to assess their applications.
Howard gave no details about the timing of the refugees' transfer from the Tampa, nor did he say where the boat people would disembark before being flown to either New Zealand or Nauru.
With Indonesia refusing to have anything to do with them, East Timor or Papua New Guinea would be the closest landing points.
New Zealand Prime Minister Helen Clark said she acted out of humanitarian concern.
"Someone had to break the impasse. We've broken the impasse.
"The refugees who go to Nauru will be dispersed eventually, but someone had to agree to take them," she said.
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