building a mixed c/c++ code

I have a .cc file which uses both iostream and malloc. How can I compile that? using g++, it says

 error: 'malloc' was not declared in this scope

using gcc, it says

 fatal error: iostream: No such file or directory

The source code is located at http://sequitur.info/sequitur_simple.cc

UPDATE

I changed malloc to new and chaned free to delete. Still I get a lot of errors. For example

 /usr/include/c++/4.6/new:103:14: error:   initializing argument 2 of âvoid* operator new(std::size_t, void*)â [-fpermissive]

Answer

Either include or include and change malloc to std::malloc - compile with g++. Including is the prefered way for new C++ code, "name.h" style is deprecated in C++.

While this will fix you problem, it might be a better idea to migrate to new/delete, to be more consistantly C++.