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Whatsapp Foreign Minister Julie Bishop discusses Russia's annexation of the Ukraine

Clive Palmer says his party will block the repeal of the mining tax in the Senate unless the government reverses its decision to cut welfare payments to children of war veterans. Foreign Minister Julie Bishop attacked Mr Palmer's stance and blamed the move on the previous government, as Alexia Attwood reports.

Foreign Minister Julie Bishop has accused Clive Palmer of acting against the interests of Western Australians, as the mining magnate-turned-politician threatened to block the repeal of the mining tax.

Mr Palmer told RN Breakfast the Palmer United Party would not support the repeal of the tax if the Government stripped income support from orphaned children of war veterans.

'I've been the biggest opponent of the mining tax all my life but I'm not going to persecute young children because of it,' Mr Palmer said.

'We think if a person has given their life for Australia we should be sure that the Australian Government won't attack their children after they have gone.'

However Ms Bishop blamed the previous government for the decision to cut the income support bonus for the children of soldier killed or seriously injured in the line of duty.

'If the previous government had not trashed the budget, trashed the government's financial position then we would not be having this debate,' she said.

'That is absolutely against the interests of Western Australia and as a person involved in the mining sector he amongst all people should know that the mining tax is bad for our economy, bad for Western Australia in particular and without the mining tax our economy will grow, jobs will thrive, we will be able to put the budget into a better position.'

Ukraine developments

Ms Bishop also said she still believes Russia will 'change course and engage in dialogue' over Ukraine.

Australia has joined the United States and Europe in imposing financial sanctions and travel bans in response to Russia's move to annex Crimea.

'The presence of troops, of the military, the attacks, there has been the death of a soldier and the potential for escalation is very real but I hope the collective international action will make Russia change course and engage in dialogue, because this situation could spiral out of control,' said Ms Bishop.

'The European Union, the United States Canada, Australia, Japan and others have expressed their condemnation and have imposed travel bans and sanctions and taken other action to show solidarity for Ukraine's sovereignty, to show collective support for our condemnation of Russia's actions.'

Ms Bishop said she was not at liberty to outline which individuals would be affected by Australia's economic sanctions.

'At this point I am not able to identify them because we are implementing the Autonomous Sanctions Regulations of 2011 and I don't want to give an indication in advance in case any assets are moved,' said Ms Bishop.

Arthur Sinodinos and the ICAC

Ms Bishop dismissed suggestions that Assistant Treasurer Arthur Sinodinos has engaged in corrupt conduct.

The Senator has been called to appear as a witness at an ICAC inquiry into corruption in New South Wales because of his involvement in a company linked to disgraced NSW Labor figure Eddie Obeid.

'Senator Sinodinos has agreed to step aside while there is an inquiry into a business to which he had some connection,' Ms Bishop said.

'He is a witness; there is no allegation against him. He has stood aside and I think that was the right thing to do. He can focus on being a witness in that inquiry.'

'Arthur Sinodinos is a man of great integrity. He has a long history of serving things country as a treasury official, as a Chief of Staff to a Prime Minister. He is a man of great competence and professionalism and I believe his reputation will remain intact.'