LATEST: Spanish beauty Penelope Cruz has won an apology and costs from an Australian magazine - after they admitted to writing an false story about her.

The VANILLA SKY star was furious when NEW IDEA magazine wrote an article insinuating she had conducted an affair with an unnamed Spanish actor behind boyfriend Tom Cruise's back.

Cruz, who is currently filming the thriller GOTHIKA with Halle Berry, agreed to drop the case after the publication agreed to print an apology, pay her legal costs and make a charity donation.

Her lawyer MICHAEL BRADLEY says, "All of these allegations were completely untrue."

09/06/2003 17:29