MIDDLE EAST: Israel continues to defy the international community, refusing to lift the siege on the Palestinian Authority President, Mr Yasser Arafat.
This is despite increased US pressure on the Israeli Prime Minister, Mr Ariel Sharon, to adhere to a United Nations Security Council resolution to withdraw the tanks still ringing Mr Arafat's ruined compound in Ramallah.
While most Israeli leaders were publicly silent on the issue yesterday, the Foreign Minister, Mr Shimon Peres, tried to explain to a meeting of ambassadors why Israel was having a hard time complying.
But the diplomats, especially the US and British ambassadors, chastised Mr Peres.
The US ambassador, Mr Dan Kurtzer, reportedly told him that Israel's demolition of Mr Arafat's compound and the siege had undermined moves in the Palestinian Authority toward reform.
The British ambassador, Mr Sherard Cowper-Coles, told him that Israel's actions were undermining efforts to forge a broad coalition against Iraq.
Mr Peres insisted that as long as Palestine failed to comply with the UN resolution which called on it to "ensure that those responsible for terrorist acts are brought to justice by it", Israel could not withdraw for fear of continued terror attacks and because of what he called the "chaotic" situation in the territories.
Palestinians yesterday cancelled what was to be a second meeting with Israeli officials aimed at ending the Ramallah standoff. Mr Sharon has said he will only lift the siege if Mr Arafat hands over about 20 men inside whom Israel says have been involved in terror attacks.
Palestinian Minister Mr Saeb Erekat said the meeting was called off because Israel had refused permission for officials from the Quartet of Middle East peace brokers, and EU envoy Mr Miguel Moratinos, to meet Mr Arafat in his battered office.
Meanwhile, two Israelis were injured yesterday in a shooting attack on their car north of Ramallah. In the West Bank, south of Jerusalem, Israel demolished the homes of three men it said had carried out terror attacks.
Further north, near the West Bank city of Nablus, Jewish settlers celebrated what they said was the creation of a new settlement, saying 14 permanent housing units in the settlement of Rechalim had been built.