Should I change Sony P200

Hello friends!

I am very confused as to weather or not should I change my present Sony P200. No doubt the result of P200 is awsome but there are a few problems that I am facing.

1. Because of the position of its flash, all my indoor snaps has a very bold shadow behind it.
2. Flash is not very powerful.
3. Lack of manual controls like aparture control and shutter control.
4. Pictures get blurred if taken without flash due to absence of image stabilisation.

As one of my friend is ready to buy the camera for Rs.10000 ($220), I am just not able to decide weather or not I should go for the deal.

If I should, which camera (compact) would you recommend me in a budget of approx. Rs.12000 ($260). I prefer either Canon or Sony, whichever is better, with atleast 7 MP sensor.

Thank you.

If you are sold on those 2, I would go with the Canon S3IS. It sells for just under $300 and gives you manual controls besides automatic. It also has image stabilization and a 12X optical zoom. It sports just a 6 mp sensor but for the money, it's about the best you're going to find. I shoot a Panasonic DMC-FZ7 with a Leica lens. It comes with similar features as the Canon and sells for around $275. I really like mine and have since added the Olympus 1.7 conversion lens.

As far as position of flash, I don't think you are going to find many options.