Tuesday, 3 December, 2002, 03:03 GMT

United Nations arms inspectors say Iraq has admitted trying to illegally import aluminium tubing to help build weapons.

But the Iraqis say they tried to obtain the piping for use in conventional arms, and not nuclear weapons as the United States and Britain allege.

A BBC correspondent in Washington says it appears to be the first time since weapons inspections resumed that Iraq has admitted attempting to break arms sanctions.

Meanwhile, US President George W Bush has said he is not encouraged by Iraq's reaction so far to UN disarmament demands.

In his first extensive comments on the UN weapons inspections since they began again last week, Mr Bush challenged Baghdad to provide a "credible and complete" list of its nuclear, biological and chemical weapons by Sunday.

Only by doing this will Iraq comply with the first deadline set out in a recent UN resolution that gives the country a final chance to disarm.

"Any act of delay, deception or defiance will prove that Saddam Hussein has not adopted the path of compliance, and has rejected the path of peace," Mr Bush said in a speech to military leaders at the Pentagon.

Sanctions breach

The United States and Britain have alleged the aluminium tubing was a component for a nuclear weapons programme.

But according to the weapons inspectors, the Iraqis insisted it was actually meant to be used in multi-barrelled rocket launchers.

The Iraqis also said that despite several attempts, they never actually succeeded in importing any of the tubing.

But even its attempted import would be a breach of UN sanctions.

After completing five days of work, UN weapons inspectors have apparently found no evidence of the weapons of mass destruction programme that the United States says Iraq has.

On Monday saw the inspectors visit the al-Karam plant in Baghdad, once a missile-building facility, and declared that pieces of equipment recorded by their predecessors were missing.

A spokesman for the UN team said the Iraqis had informed them about the new location where they say the equipment is. The inspectors are now expected to go to the new sites and verify the Iraqi statement.

A second UN inspection team visited on Monday three alcohol factories at Bakuba, near Baghdad, two of which had never been inspected before.

The inspectors said that any industrial sites could conceal illicit activity.

No-fly zones

Mr Bush has threatened to lead a "coalition of the willing" to disarm Iraq if Baghdad fails to give up its weapons.

The US president - who spoke at the Pentagon during his signing of a defence bill providing billions of dollars of extra funding for his war on terrorism - was reluctant to declare the first inspections a success.

"In the inspections process, the United States will be making one judgment: Has Saddam Hussein changed his behaviour of the last 11 years? Has he decided to co-operate willingly and comply completely or has he not?" he said.

"So far, the signs are not encouraging."

-- Anonymous, December 02, 2002