Remains of a Japanese mini submarine may have been found north of Sydney Harbour in 20 meters of water.  The sub, known as M24, was one of three which attacked Sydney on May 31, 1942.  The other two subs were recovered from the bottom of the harbour as the crews had killed themselves after failing to escape.  The location of the third sub had been unknown.

  Herald Sun article...

The elusive giant squid has finally been filmed alive and feeding.  Japanese scientists created a number of fishing rigs consisting of a float, baited hooks and a camera and strobe light that fired every 30 seconds.  In September of 2004 they got a set of stop-action photos of a 26 foot long giant squid attacking their bait at 3000 feet.

What the photos show is all good news.  People weren't sure how a giant squid would behave: they reportedly fought sperm whales and in ancient lore dragged whole ships under, but in more sane moments we realized that most animals living in the deep ocean have a low activity level because of the lack of food and cold temperatures.

But in these photos the squid energetically attacks the bait, using its long feeding tentacles to grab its prey.  It snagged a tentacle on a bait hook and struggled for four hours before losing its arm and escaping.  This 26ft long specimen is roughly half the maximum length expected for its species.  I think we can breathe a sigh of relief that the Giant Squid Battle from 20,000 Leagues under the Sea was not as far fetched as we had feared. 

Read more details at these websites:

 NY Times article (free registration required)

Reuters article