My family buys The Sun most days. I read it, pretty much for a few chief things. That is, the politics pages (which are biased, and I prefer to remain unbiased, but they still tell the truth about the political landscape and are better than stuff like the Guardian or Telegraph in their leanings...), Page Three, the comics and horoscope, TV guide, and some of the columnists (like Jeremy Clarkson).
Now, The Sun is still a real newspaper. Although there is some embellishment, what with it being a tabloid, their stories are generally true, if trashy, and despite it being a tabloid and very biased in some respects, I still trust it to some extent. Not as much as I trust the BBC (the only news source I do trust other than Reuters and my student newspaper, in fact) or the Daily Mail, but still slightly trustworthy.
The Daily Star is not a real newspaper at all. It makes up stories, like this, and has no journalist merit or integrity whatsoever. Half it's pages are softcore porn (granted, the Sun has Page Three, but the Daily Star takes it to a whole new level). So it's hardly surprising that the Daily Star has been caught in such a blatant lie with this. Sadly, there are some idiots who still buy that rag and still believe what it says is true (like in Terry Practchett's 'The Truth', where this was played for laughs with the fools who believed the blatant lies of the tabloid 'The Ankh Morpork Inquirer'...). It seems it really is true - a lie can make it halfway around the world before the truth has got it's boots on.
Raoul Moat was a dangerous, crazed man, who attempted to kill his ex-girlfriend, succesfully killed her new lover, and blinded a police officer when he shot the man in the face. He then killed himself with a sawn-off shotgun. He was a lunatic, and a dangeous criminal, and it's bad enough people honoured his memory in Facebook groups shouting slogans like 'Fuck the police!'. This whole shameful scenario is nothing but an insult to the memory of the man Moat killed, and to his other victims, and they deserve much better than this.
If I had my way, the Daily Star would have been put out of business years ago. I hope the guy who made up this story gets his personal details put up on /b/. That would be a sweet mercy compared to what he's potentially putting Moat's victims through.