BBC Tuesday, 12 June, 2001, 20:56 GMT 21:56 UK

US in talks with Arafat

CIA director George Tenet is holding further talks with Palestinian leader Yasser Arafat in the West Bank, in an attempt to save his plan for a ceasefire between the Israelis and the Palestinians.

Mr Tenet was earlier reported to be about to end his mission and return to the US.

The Palestinian side gave its qualified support to the ceasefire plan, but is resisting Israeli demands for the arrest of Islamic militants, and wants a freeze on all Israeli settlement building on occupied land.

A BBC correspondent in Jerusalem says the Palestinians are deeply distrustful of Israel's commitment to a ceasefire.

In continuing violence, the Israeli military said an Israeli man was shot dead by Palestinian gunmen in the West Bank, on the road between east Jerusalem and the Jewish settlement of Maale Adumim.

The Israelis say they have dropped reservations to Mr Tenet's plans for a ceasefire and have accepted the plan in full.

One Israeli cabinet minister has predicted that if the Palestinians do not give a simple yes to the joint ceasefire, then Israeli military retaliation for earlier suicide bombings and current alleged ceasefire violations is much more likely.

Our correspondent says that many in the region expect the violence to escalate if the Tenet mission ends in failure.

-- Anonymous, June 12, 2001