South African Runner- Male or Female or Both

From The Sun, from Great Britian: "The controversy over gender row champion runner Caster Semenya deepened today — after reports claimed sex swap tests have shown she is a HERMAPHRODITE.
South African gold-medallist Semenya, 18, has both male and female organs, it was claimed. "... And sources close to the International Association of Athletics Federations — who ordered extensive tests on the teen after her amazing 800m win at the World Athletics Championships last month — say the results mean she could still be stripped of her medal.
Semenya is a tremendous runner and could be a star athlete in the upcoming Olympics if she/he is allowed to compete.
However, due to no fault of her/his own, he/she cannot compete. Is this fair. Her/his outward appearences are female and the insides are male. If he/she would be allowed to compete as a female, she/he would have an unfair advantage against other female athletes. If she/he competes against males, he/she would get her/his butt kicked.
So how does Semenya compete? What division- male or female? Is it fair, of course not- no matter what happens.
Semenya is a temendous athlete and this really is not fair to Semenya. But it is also not fair to female athletes who have to compete against him/her. Tough decesion.