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Optus has been told to focus on helping customers who had their personal details leaked rather than briefing lawyers ahead of a potential class action.
Assistant Treasurer Stephen Jones labelled Optus parent company Singtel engaging lawyers "unfortunate" said it was making a bad situation worse.
Tens of thousands of Australians have registered interest in class action suits against Optus over the breach.
Legal firm Slater and Gordon, which is taking expressions of interest in one legal action, said the impact of the hack was being felt far and wide, including by domestic violence survivors and stalking victims.
Singtel told the Singapore stock exchange any class action would be "vigorously defended", prompting Mr Jones' rebuke.
"The Australian people want to see Optus deal with the crisis instead of engaging and briefing lawyers," he told reporters on Wednesday.
"Their number-one priority should be communicating with customers and ensuring them they have put every step in place to ensure the bad situation, which resulted from their botch-up with the data handling, isn't made worse by having that lead to fraud and misuse of that data now."
The personal details of more than 10 million Optus customers were exposed in the data breach, with up to 50,000 Medicare records and 150,000 passports compromised.
Mr Jones said only a collaborative approach could see the crisis dealt with effectively.
"Yes, we want (Optus) to pay for passports because the costs are going to be incurred immediately," he said.
"Yes, we want you to pay for licences, because people are queuing up and having to pay for a licence replacement.
"We're not talking about lawyering up, we're not talking about any of those liabilities, we're talking about it quite sensibly."
Cybersecurity specialists Trellix say Australian businesses are facing in excess of 55 cyber incidents a day, the highest rate in the Asia-Pacific.
The company says more than 85 per cent of companies surveyed had lost more up to 10 per cent of their revenue due to security breaches over the past year.
More than half said they needed to update their security.
Trellix said it took an average of two days for cybersecurity professions to report breaches to their boards.
For some businesses, it took more than three days.
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NSW has been told to prepare for a "difficult week" and "difficult summer", as wet weather moves across the state and heavy rain falls on already-saturated catchments.
A succession of three rainfall systems will bring downpours across large tracts of Australia's east this week, with parts of inland NSW already hit with showers and thunderstorms.
"It will be a difficult week but even more so a difficult summer and significant flooding is expected," Premier Dominic Perrottet told reporters on Wednesday.
"Our rivers and dams are full, that creates a significant risk of flooding that creates a risk to people's lives and properties.
"There will be many challenges as we move through this period of time, but our focus as a government is to save lives, protect property, and our SES volunteers do an amazing job."
SES crews are working to prepare communities near swollen rivers and dams for the onslaught of rain, the premier said.
He urged people to avoid taking risks and follow SES instructions.
Assistant SES commissioner Sean Kearns is concerned about western and southwestern parts of the state as more rain falls on drenched catchments.
"This is going to impact communities that have already been impacted by floods over the last month or two," he told ABC TV on Wednesday.
"What we're going to see is significant amounts of rain, sometimes the monthly rainfall in just a couple of days, if not more."
The school holidays mean there are a lot of people travelling in areas they may not be familiar with.
"Take heed of conditions, be very mindful about caravan parks and camping grounds, they're often next to rivers," Mr Kearns said.
He also warned racegoers heading to Mount Panorama for the Bathurst 1000 this weekend to follow SES directions, amid concerns the Macquarie River faces moderate to major flooding.
A slow moving rain band is tracking east over central Australia, dumping large amounts of tropical moisture over much of western NSW on Wednesday.
The system is bringing heavy showers with clusters of thunderstorms across a large warning area, which extends from Tibooburra in the northeast to Wilcannia and Ivanhoe in central NSW, through to Deniliquin on the Victorian border, and Nyngan in the central north.
Rainfall totals of up to 50 to 70mm are expected with localised falls of up to 100mm possible, with inland towns including Deniliquin, Griffith, Hay, Cobar, Bourke and Brewarrina on alert for possible flooding.
Hazardous surf and swells are expected on the Macquarie, Hunter, Sydney and Illawarra coasts on Wednesday, with strong and dangerous coastal winds developing on Thursday.
A second trough will bring storms, rain and bursts of heavy falls from Queensland to southern Victoria from Thursday night and into Friday.
Finally, a third rainfall system will sweep across southern Queensland, NSW and eastern Victoria on Saturday and Sunday.
Flood warnings are current across numerous inland catchments including the Namoi, Macquarie, Bogan, Lachlan, Murrumbidgee, Murray, Edward, Culgoa, Birrie, Bokhara, Warrego, Paroo, Barwon, Darling, Macintyre and Snowy rivers.
A flood watch has also been issued for rivers closer to the coast, including the Hunter, Hawkesbury and Colo rivers, and Wollombi Brook, with rises expected from Thursday to Friday.
The successive deluges come close to harvest season with the state's farmers after already facing a number of set backs as they prepare to work through a third consecutive La Nina season.
NSW Farmers Business, Economics and Trade Committee chair John Lowe said the latest deluge could wipe out remaining crops, and there was already extensive flood damage with properties destroyed, paddocks ruined and roads severely damaged.
"Once the skies clear and the floodwaters recede, we're going to need an enormous, concerted effort to get our infrastructure up to scratch," he said.
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Forecasters are warning there's a high risk of widespread flooding as multiple weather systems move across NSW and days of heavy rain fall on already saturated catchments.
A succession of three rainfall systems will bring downpours across large tracts of the country's east this week, with parts of the state's inland regions already hit with showers and thunderstorms.
"This rainfall is likely to lead to widespread flooding across many of our rivers across NSW," Dean Narramore from the Bureau of Meteorology said on Tuesday.
Assistant SES commissioner Sean Kearns says he's very concerned about western and southwestern parts of the state as more rain falls on drenched catchments.
"This is going to impact communities that have already been impacted by floods over the last month or two," he told ABC TV on Wednesday.
"What we're going to see is significant amounts of rain, sometimes the monthly rainfall in just a couple of days, if not more."
There are particular concerns around the areas of Gunnedah, Wee Waa, Warren, Bathurst, Forbes, Gundagai, Tumut and Wagga Wagga.
The school holidays means there are a lot of people travelling in areas they may not be familiar with.
"So really take heed of conditions, be very mindful about caravan parks and camping grounds, they're often next to rivers," he said.
Mr Kearns also warned racegoers heading to Mount Panorama for the Bathurst 1000 race this weekend to take heed of the conditions and follow SES directions amid concerns the Macquarie River could be hit with moderate to major flooding.
The warning comes as NSW enters its third consecutive La Nina season.
Heavy falls and thunderstorms with a risk of flash flooding are expected in the western parts of the Riverina and Central West Slopes and Plains on Wednesday as a trough drags moisture across inland NSW.
A severe warning for heavy rainfall covers a large part of the state's west, from Nyngan in the central north to Deniliquin near the Victorian border through to Broken Hill in the central west.
Inland towns on flood watch include Deniliquin, Griffith, Hay, Tibooburra, Cobar, Bourke, Broken Hill, Wentworth and Brewarrina.
Widespread six-hourly rainfall totals of 30-40mm are expected, with some localised falls of up to 60mm.
The bureau expects 50-70mm of rain will collect in the gauges over a 24-hour period, with some areas copping 100mm.
Hazardous surf and swell are expected on the Macquarie, Hunter, Sydney, Illawarra, Batemans and Eden coasts on Wednesday.
A second trough will bring storms, rain and bursts of heavy falls from Queensland to southern Victoria from Thursday night and into Friday.
Finally, a third rainfall system will sweep across southern Queensland, NSW and eastern Victoria on Saturday and Sunday.
Flood warnings are current across numerous inland catchments including the Namoi, Macquarie, Bogan, Lachlan, Murrumbidgee, Murray, Edward, Culgoa, Birrie, Bokhara, Warrego, Paroo, Barwon, Darling and Snowy rivers.
A flood watch has also been issued for minor to moderate flooding for rivers closer to the coast, including the Hunter, Hawkesbury and Colo rivers, and Wollombi Brook, with rises expected over the weekend.
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Nick Kyrgios has revealed how he had to overcome breathing problems before breezing into the second round of the Japan Open.
Australia's Wimbledon finalist was back in impressive business on court in Tokyo on Tuesday while in his home city of Canberra, his lawyer was in court applying to have his charge for alleged assault against a former girlfriend dismissed on mental health grounds.
Kyrgios, who's set to appear in person at the next hearing in February, was evidently not distracted by events back in Australia as he saved a break point in his opening game before going on to an emphatic 6-3 6-1 victory against Taiwan's Chun-Hsin Tseng in the Ariake Colosseum.
But Australia's No.1 admitted afterwards that his early struggle in the 66-minute rout had been down to a touch of breathlessness as well as ring rust in his first tournament since his US Open quarter-final exit.
Telling reporters how he'd found it difficult to breathe because of the high humidity and different air conditions compared to back home, Kyrgios also noted how the courts were speeding up - something he feels will work to his advantage as he seeks his second title of the year.
Kyrgios has to be careful, having also struggled with asthma at the start of the season, with the condition forcing him to pull out of a warm-up match before the Australian Open.
In Tokyo, though, the best server on tour this year dropped only four more points on his own delivery after his first-game struggles, winning 25 of 29 points on first serve.
"I played really solid," said the No.5 seed.
"I came out a bit slow, but I don't play many matches so it's hard to just get straight back into that competitive flow. But as soon as I held the first game I kind of found my form again and played really well."
"The court is obviously playing faster compared to normal hard court events. I'm not complaining about that - I think big servers and guys who like to take the ball early and have flat backhands, it suits our game style.
"It's fun tennis to watch, people playing aggressive and coming to the net and serving big. I think that's the type of tennis that fans like to see sometimes. The court's probably faster than average, but I like it."
It was Kyrgios's 36th win of his breakthrough season, and sets him up to maintain his top-20 position as he gets ready to face Poland's Kamil Majchrzak in the next round.
He was the sole Australian survivor, though, as Alex de Minaur went down 6-3 6-2 to Kwon Soonwoo and Thanasi Kokkinakis fell 6-4 7-6 (7-4) to ninth seed Borna Coric.
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