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Lieberman insistently refused to rule in, or rule out, Palestinian statehood alongside Israel as the essence of a permanent accord, but emphatically endorsed Netanyahu's declared desire not to rule over a single Palestinian.

The foreign minister spoke as US Secretary of State Hillary Clinton warned Israel on Thursday that it risks losing Arab support for combating threats from Iran if it rejects peace negotiations with the Palestinians. Clinton said Arab nations had conditioned helping Israel counter Iran on Jerusalem's commitment to the peace process.

The fact was, said the Israel Beiteinu leader, that the Palestinian issue was "deadlocked" despite the best efforts of a series of dovish Israeli governments. "Israel has proved its good intentions, our desire for peace," he said. The path forward, he said, lay in ensuring security for Israel, an improved economy for the Palestinians, and stability for both. "Economy, security, stability," he repeated. "It's impossible to artificially impose any political solution. It will fail, for sure. You cannot start any peace process from nothing. You must create the right situation, the right focus, the right conditions."

Equally emphatically, he said no peace proposal that so much as entertained the notion of a "right of return" to Israel for Palestinian refugees could serve as a basis for negotiation. "It cannot be on the table. I'm not ready to even discuss the 'right of return' of even one refugee," he said. But he also made clear that Palestinian recognition of Israel as a Jewish state was not a precondition for progress. "You know, we don't want to torpedo the process," he said. "But somebody who really wants a solution, somebody who really desires a real peace and a real agreement, must realize that this would be impossible to achieve without recognizing Israel as a Jewish state."

Lieberman said the new government would have no dealings with Hamas, which needed to be "suffocated," and that the international community also had to maintain the long-standing Quartet preconditions for dealing with the Islamist group.

The real reason for the deadlock with the Palestinians, said Lieberman, "is not occupation, not settlements and not settlers. This conflict is really a very deep conflict. It started like other national conflicts. [But] today it's a more religious conflict. Today you have the influence of some nonrational players, like al-Qaida."

And the biggest obstacle to any comprehensive solution, he said, "is not Israel. It is not the Palestinians. It's the Iranians."

Lieberman said the prime responsibility for thwarting Iran's march to a nuclear capability lay with the international community, not Israel, and especially the five permanent members of the Security Council. He was confident that stringent economic sanctions could yet achieve the desired result, and said he did not even "want to think about the consequences of a crazy nuclear arms race in the region."

He said it would be "impossible to resolve any problem in our region without resolving the Iranian problem." This, he said, related to Lebanon, Syria and problems with Islamic extremist terror in Egypt, the Gaza Strip and Iraq.

Nonetheless, Lieberman stressed that Israel did not regard stopping Iran as a precondition for Israeli efforts to make progress with the Palestinians. Quite the reverse, he said. "No, we must start with the Palestinian issues because it's our interest to resolve this problem. But there should be no illusions. To achieve an agreement, to achieve an end of conflict, with no more bloodshed, no more terror, no more claims - that's impossible until Iran [is addressed]."

Noting what he called Syria's deepening ties with Iran, Lieberman said he saw no point whatsoever in resuming the indirect talks with Damascus conducted by the last government. "We don't see any good will from the Syrian side," he said. "Only the threats, like 'If you're not ready to talk, we'll retake the Golan by military action...'"

The king has made history by meeting with the pope (after demanding and getting the acquiescence of Saudi Arabia's religious authorities), but Christian churches are still forbidden on Arabia's sacred soil.Women are still forbidden to drive. They're required to keep their bodies covered (though they may expose their face if they like), and their choices in every aspect of life, personal and professional, are more limited than those of men. Saudi law treats women, at best, as second-class citizens

Whatever you do, don't make King Abdullah angry. In 2001 and 2002 he threatened to rethink the U.S.-Saudi strategic partnership if Washington did not do something to stop the suffering of the Palestinians under Israeli occupation. In short order, George W. Bush became the first American president to openly advocate the creation of a viable Palestinian state. When Bush started to backpedal on diplomatic efforts to realize that goal, Abdullah visited the Crawford ranch and reportedly delivered an angry ultimatum; Bush's then secretary of state, Colin Powell, was later quoted as calling it a "near-death experience."

Nevertheless, the king prefers honorable conciliation over confrontation. In 2002 he tried to end the Arab-Israeli conflict by imposing a deal on the Arab League that would offer peace between Israel and all of the Arab world if Israel would pull back to its 1967 borders, allow East Jerusalem to become the Palestinian capital and make some accommodation with Arab refugees from the wars of 1948 and 1967. The plan won't stay on the table forever, he warned during the recent Israeli bombing of Gaza.

The king is likewise distressed by Mahmoud Ahmadinejad's popularity on the Arab street. The Iranian president keeps gleefully stirring up trouble in the region, apparently oblivious to the harm he does with his encouragement of extremists, with his venomous posturing toward Israel and with the nuclear program he's revealing bit by bit, like a bomb hidden behind seven veils. "Don't play with fire," Abdullah warned Ahmadinejad when they met face to face in early 2007. The Saudis have quietly worked to undermine Iranian influence in Lebanon and even in Syria, Tehran's old ally. "The Iranians cannot match us financially, so why not give it a try?" said a Saudi analyst who asked not to be cited by name because of the sensitivities involved.

Brazil's president, Luiz Inácio Lula da Silva, is expected to tell Obama on a White House visit this week that the region views the US embargo as anachronistic and vindictive. Easing it would help mend Washington's strained relations with the "pink tide" of leftist governments.

"It would signal new pragmatism, but you would still have the embargo, which is the centrepiece of US policy," said Erikson.

Wayne Smith, a former head of the US Interest Section in Havana, famously said Cuba had the same effect on American administrations as the full moon had on werewolves.

Recognising Castro continuity, and aghast at European and Asian competitors getting a free hand, US corporate interests are impatient to do business with Cuba. Oil companies want to drill offshore, farmers to export more rice, vegetables and meat, construction firms to build infrastructure projects.

Young Cuban exiles in Florida, less radical than their parents, have advocated ending the policy of isolation. As a senator, Obama opposed the embargo, but as a presidential candidate he supported it - and simultaneously promised engagement with Havana.

Compared to intractable challenges in Afghanistan, Pakistan and the Middle East, the opportunity for quick progress on Cuba has been called the "low-hanging fruit" of US foreign policy.

Until a few years ago the simplest way to get rich quick was through foreign-currency trades. Easy, if you could get greenbacks at the subsidized import rate of 1,750 rials to the dollar and resell them at the market rate of 8,000 to the dollar. You needed only the right connections for an import license. "I estimate that, over a period of ten years, Iran lost $3 billion to $5 billion annually from this kind of exchange-rate fraud," says Saeed Laylaz, an economist, now with Iran's biggest carmaker. "And the lion's share of that went to about 50 families."

One of the families benefiting from the foreign trade system was the Asgaroladis, an old Jewish clan of bazaar traders, who converted to Islam several generations ago. Asadollah Asgaroladi exports pistachios, cumin, dried fruit, shrimp and caviar, and imports sugar and home appliances; his fortune is estimated by Iranian bankers to be some $400 million. Asgaroladi had a little help from his older brother, Habibollah, who, as minister of commerce in the 1980s, was in charge of distributing lucrative foreign-trade licenses. (He was also a counterparty to commodities trader and then-fugitive Marc Rich, who helped Iran bypass U.S.-backed sanctions.)

Under the "1-2-3 deal," similar to one the United States signed last year with India, Washington would share nuclear technology, expertise and fuel. In exchange, the UAE commits to abide by the Nuclear Non-proliferation Treaty and the International Atomic Energy Agency safeguards. The small oil-rich Gulf nation promises not to enrich uranium or to reprocess spent nuclear fuel to extract plutonium, which can be used to make nuclear bombs.

"It's being temporarily held up because of that tape," one senior official said.

The State Department had little to say publicly on the torture tape incident, but its 2008 human rights report about the United Arab Emirates refers to "reports that a royal family member tortured a foreign national who had allegedly overcharged him in a grain deal."

U.S. Rep. James McGovern -- the Massachusetts Democrat who co-chairs the congressional Human Rights Commission

McGovern asked Clinton to "place a temporary hold on further U.S. expenditures of funds, training, sales or transfers of equipment or technology, including nuclear until a full review of this matter and its policy implications can be completed." He also asked that the United States deny any visa for travel to the United States by Sheikh Issa or his immediate family, including his 18 brothers, several of whom are ruling members of the UAE government.

UAE Crown Prince Mohammed bin Zayed Al Nahyan, a half-brother of Sheikh Issa, is expected to visit Washington sometime next month.

The civil nuclear agreement was signed in January between the United Arab Emirates and the Bush administration, but after the new administration took office, the deal had to be recertified

The deal is part of a major UAE investment in nuclear, and it has already signed deals to build several nuclear power plants. The United States already has similar nuclear cooperation agreements with Egypt and Morocco, and U.S. officials said Washington is working on similar pacts with Saudi Arabia, Bahrain and Jordan.

When the Bush administration signed the deal in January, it stressed the UAE's role in global nonproliferation initiatives, including a donation of $10 million to establish an International Atomic Energy Agency international fuel bank.

Congressional critics fear the deal could spark an arms race and proliferation in the region, and the UAE's ties to Iran also have caused concern.

Iran is among the UAE's largest trading partners. In the past, the port city of Dubai, one of the UAE's seven emirates, has been used as a transit point for sensitive technology bound for Iran.

Dubai was also one of the major hubs for the nuclear trafficking network run by Pakistani nuclear scientist Abdul Qadeer Khan, who admitted to spreading nuclear technology to Iran, North Korea and Libya up until the year 2000.

Such ties contributed to stiff opposition in Congress to the failed deal for Dubai Ports World to manage U.S. ports.

Officials said they expect the deal to be sent up to the Hill for ratification within the next few weeks, given that there has been little blowback from the publication of the tape, except for McGovern's letter to Clinton. "It will be sent very soon," one official said.

UAE Ambassador to the U.S. Yousef Al Otaiba told CNN his government always expected the deal to be sent to the Senate in early May, regardless of the controversy surrounding the tape. "As far as we are concerned, the deal is on track and this has not affected the timing," he said.

The report cited two alleged incidents from January 3. In one, it said, after a tank round struck near a house, a father and his two sons -- both younger than 11 -- emerged to look at the damage. "As they exited their home, IDF soldiers shot and killed them (at the entrance to their house), with the daughter witnessing," the report said. In the second, it said, "Israeli soldiers entered a family house in the Zeitoun neighborhood of Gaza City. Standing at the doorstep, they asked the male head of the household to come out and shot him dead, without warning, while he was holding his ID, hands raised up in the air, and then started to fire indiscriminately and without warning into the room where the rest of the family was huddled together. "The eldest son was shouting in vain the word 'Children' in Hebrew to warn the soldiers. The shooting did not stop until everyone was lying on the floor. The mother and four of the brothers, aged 2-12 years, had been wounded, one of them, aged 4, fatally."

The alleged instances occurred during Operation Cast Lead, which was launched December 27 to halt rocket attacks into southern Israel from Gaza and ended January 17 with a cease-fire. The U.N. report called the response by Israel disproportionate. Of the 1,453 people estimated killed in the conflict, 1,440 were Palestinian, including 431 children and 114 women, the report said. The 13 Israelis killed included three civilians and six soldiers killed by Hamas, and four soldiers killed by friendly fire, it said.

The report said the Israeli operation resulted in "a dramatic deterioration of the living conditions of the civilian population." It cited "targeted and indiscriminate" attacks on hospitals and clinics, water and sewage treatment facilities, government buildings, utilities and farming and said the offensive "intensified the already catastrophic humanitarian situation of the Palestinian people." It said Israeli strikes damaged more than 200 schools and left more than 70,000 people homeless. "There are strong and credible reports of war crimes and other violations of international norms," it said, adding that many observers have said war crimes investigations should be undertaken.

Mark Regev, a spokesman for Israeli Prime Minister Ehud Olmert, called the report "another example of the one-sided and unfair attitude of the rapporteur of the Human Rights Council, a council that has been criticized by current and previous secretaries-general for its unbalanced attitudes toward Israel." He added, "The negative fixation on Israel by the council has done a disservice to the issue of human rights internationally as has been attested to by the leading NGO's [nongovernmental organizations] on human rights."

Another report issued Monday also was critical of the IDF. The report from Physicians for Human Rights said the Gaza incursion violated IDF's own code of ethics. The report by the medical group, which shared the 1997 Nobel Peace Prize, cited instances where it said IDF forces did not evacuate injured civilians for days and prevented Palestinian teams from reaching the wounded, and said some of them died as a result. It said 16 Palestinian medical personnel were killed by IDF fire and 25 were wounded during the IDF operation, and accused the IDF of attacking 34 medical centers in violation of the IDF's own "ethical code for fighting terror." In response, the IDF accused Hamas of having used medical vehicles, facilities and uniforms to conceal its members' activity. "Hamas used ambulances to 'rescue' terror activists from the battlefield and used hospitals and medical facilities as hiding places," the Israelis said in a written statement. "Despite this, throughout the fighting, IDF forces were instructed to avoid firing at ambulances, even if they were being used by armed fighters. They were instructed only to shoot if there was fire towards our forces emanating from the direction of the ambulance." Regarding the reported delays in casualty evacuations, "there existed real difficulties in evacuating the injured, due to the roadblocks, booby-trapped roads and dirt mounds placed by the Hamas as well as the considerable damage to the infrastructure," the statement said.

he Israeli daily Haaretz newspaper reported that Israeli soldiers who had finished basic training ordered the shirts, one of which showed a pregnant Arab in the crosshairs of a gun sight with a caption reading "1 Shot 2 Kills." Another showing a small child in a gun's sight was captioned, "The smaller they are, the harder it is." "The examples presented by The Haaretz reporter are not in accordance with IDF values and are simply tasteless," the Israeli military said in a written statement. "This type of humor is unbecoming and should be condemned."

Israeli soldiers said last week that Palestinian civilians were killed and Palestinian property intentionally destroyed during Israel's military campaign in Gaza, according to Haaretz. The IDF has said it is investigating the claims, but its top general expressed skepticism Monday. "I don't believe that soldiers serving in the IDF hurt civilians in cold blood, but we shall wait for the results of the investigation," Lt. Gen. Ashkenazi, the chief of staff, said in a speech. "I tell you that this is a moral and ideological army." He blamed Hamas for choosing "to fight in heavily populated areas. "It (was) a complex atmosphere that includes civilians and we took every measure possible to reduce harm of the innocent," he said, according to an IDF statement.

Netanyahu has been aware of the letter's content for some time, according to his senior adviser, Ron Dermer. Dermer said that despite the letter's language, the important issue was that of underlying policy. var adsonar_placementId=1392266; var adsonar_pid=952767; var adsonar_ps=10912223; var adsonar_zw=200; var adsonar_zh=200; var adsonar_jv='ads.adsonar.com'; "On the substance, I don't think there's a difference in our position and the position of AIPAC," he said.

It is understood that the letter is being advanced despite its discrepancy with the prime minister's stated positions, because its content reflects both longstanding American policy and longstanding AIPAC positions.

Several versions of the letter are included in the kits being given out to participants in this week's AIPAC conference. One version, bearing a "United States Senate" letterhead, addressed to Obama, and left open for signature, states: "We must also continue to insist on the absolute Palestinian commitment to ending terrorist violence and to building the institutions necessary for a viable Palestinian state living side-by-side, in peace with the Jewish state of Israel." This version also gives explicit support for programs such as the US-supervised training of Palestinian Authority security forces. "The more capable and responsible Palestinian forces become, the more they demonstrate the ability to govern and to maintain security, the easier it will be for [the Palestinians] to reach an accord with Israel," it states. "We encourage you to continue programs similar to the promising security assistance and training programs led by Lieutenant-General Keith Dayton, and hope that you will look for other ways to improve Palestinian security and civilian infrastructure."

A second, similar version, also addressed to Obama and signed by staunchly pro-Israel Majority Leader Stony Hoyer and Republican Whip Eric Cantor, sets out a series of "basic principles" that, if adhered to, offer "the best way to achieve future success between Israelis and Palestinians." Among the principles cited is the requirement for the two parties to directly negotiate the details of any agreement, the imperative for the US government to serve as "both a trusted mediator and a devoted friend to Israel," and the need for Arab states to move toward normal ties with Israel and to support "moderate Palestinians." The clause that discusses statehood demands "an absolute Palestinian commitment to end violence, terror, and incitement and to build the institutions necessary for a viable Palestinian state living side by side in peace with the Jewish state of Israel inside secure borders." It continues: "Once terrorists are no longer in control of Gaza and as responsible Palestinian forces become more capable of demonstrating the ability to govern and to maintain security, an accord with Israel will be easier to attain."

A third version of the letter, addressed to their colleagues, is signed by Senators Christopher Dodd, Arlen Specter, Johnny Isakson and John Thune. It states that "we must redouble our efforts to eliminate support for terrorist violence and strengthen the Palestinian institutions necessary for the creation of a viable Palestinian state living side-by-side, in peace with Israel."

Netanyahu has long indicated that his concerns about Palestinian statehood are practical, rather than ideological - arising from the fear that a fully sovereign Palestinian state might abuse its sovereignty to forge alliances, import arms and build an offensive military capability to threaten Israel.

The 1979 revolution expropriated the assets of foreign investors and the nation's wealthiest families; oil had long been nationalized, but the mullahs seized virtually everything else of value--banks, hotels, car and chemical companies, makers of drugs and consumer goods. What distinguishes Iran is that many of these assets were given to Islamic charitable foundations, controlled by the clerics. According to businessmen and former foundation executives, the charities now serve as slush funds for the mullahs and their supporters.

Dozens of interviews with businessmen, merchants, economists and former ministers and other top government officials reveal a picture of a dictatorship run by a shadow government that--the U.S. State Department suspects--finances terrorist groups abroad through a shadow foreign policy. Its economy is dominated by shadow business empires and its power is protected by a shadow army of enforcers.

Ironically, the man most adept at manipulating this hidden power structure is one of Iran's best-known characters--Ali Akbar Hashemi Rafsanjani, who has been named an ayatollah, or religious leader. He was the speaker of parliament and Khomeini's right-hand man in the 1980s, president of Iran from 1989 to 1997 and is now chairman of the powerful Expediency Council, which resolves disputes between the clerical establishment and parliament. Rafsanjani has more or less run the Islamic Republic for the past 24 years.

He played it smart, aligning himself in the 1960s with factions led by Ayatollah Khomeini, then becoming the go-to guy after the revolution. A hard-liner ideologically, Rafsanjani nonetheless has a pragmatic streak. He convinced Khomeini to end the Iran-Iraq war and broke Iran's international isolation by establishing trade relations with the Soviet Union, China, Saudi Arabia and the United Arab Emirates. In the 1990s he restarted Iran's nuclear program. He is also the father of Iran's "privatization" program. During his presidency the stock market was revived, some government companies were sold to insiders, foreign trade was liberalized and the oil sector was opened up to private companies. Most of the good properties and contracts, say dissident members of Iran's Chamber of Commerce, ended up in the hands of mullahs, their associates and, not least, Rafsanjani's own family, who rose from modest origins as small-scale pistachio farmers.

Palestinians have said they would not revive stalled peace talks with Israel unless its settlement activities stopped, that they have recognized Israel under past interim peace deals and that refugees must be compensated or resettled. "If settlement continues Israel will be allowed to build one thousand units here and two thousand units there, which will lead Arabs and Palestinians to believe that the American administration is incapable of swaying Israel to halt its settlement activities," Erekat told the radio. "The message is clear: settlements should stop immediately."

"There are no middle-ground solutions for the settlement issue: either settlement activity stops or it doesn't stop," Saeb Erekat told Voice of Palestine radio. Erekat said Palestinian President Mahmoud Abbas expressed that message in a letter Saturday to U.S. President Barack Obama.

Erekat was responding to reports Israel and the United States were discussing a compromise that would allow some building in existing settlements under what Israel terms "natural growth" to accommodate expanding families.

A U.S. official denied Wednesday a report in the Israeli daily Maariv that the Obama administration agreed work could continue on 2,500 housing units whose construction had begun, despite its call for a total freeze to spur peace efforts.

A scholar who visited the North said in an interview published Friday in a South Korean daily that the two women were not in a prison camp, but rather in a guest house in Pyongyang, a development that seemed to suggest that the North still wanted talks with Washington on the women’s release.

Her comments on Friday appear to reflect a changing picture that has been complicated by the North’s test of a nuclear missile in May and its decision to fire seven ballistic missiles into the Sea of Japan on the Fourth of July.

Mrs. Clinton at first said the charges against the women were “baseless,” while the administration pressed for them to be freed on humanitarian grounds.

Experts said that Mrs. Clinton appeared to be trying to keep the issue of the journalists separate from the conflict over the North’s nuclear ambitions. “It’s clear to me they don’t want this tail to wag the nuclear dog,” said Michael Green, a top Asia expert for former President George W. Bush. “They are trying to keep it in a separate lane.”

And you were arrested in 1999 on charges of revealing state secrets. Is it true that these "secrets" included official newspapers published openly in Xinjiang?Yes, it's true. I had state-run newspapers with articles stating the numbers of deaths, arrests, and executions of Uighurs and with printed speeches by leaders saying they needed to "strike hard" against Uighurs. I sent these ordinary newspapers to my husband [who was then overseas]. These were openly available publications.

It would be great if the U.S. government could open a consulate in Urumqi. Then it could monitor events on the ground and the Chinese government couldn't just crack down.

In Spain, where the growth has been the most explosive, the foreign population rose to 5.2 million last year out of a total of 45 million people from 750,000 in 1999, according to the National Statistics Institute. Ireland’s population, now 4.1 million, was also transformed, with the percentage of foreign-born residents rising to 11 percent in 2006 from 7 percent in 2002.

Alcalá, a Madrid bedroom community and the birthplace of Miguel de Cervantes, is home to so many Romanian immigrants — 20,000 by some estimates — that Romania’s president, Traian Basescu, campaigned here for parliamentary elections last fall.

But signs of the reverse migration of Romanians are already evident. “Slowly, slowly, they’re disappearing,” said Gheorghe Gainar, the president of a Romanian cultural association in Alcalá. “When you look for them, you don’t find them. Sometimes you ask a relative, and they say they’ve gone back.”

The reverse exodus from more prosperous countries in Western Europe is likely to add to the economic pressures already buffeting Central and Eastern Europe, where migrants from developing countries are in turn being encouraged to leave. The Czech government announced in February that it would pay 500 euros, or about $660, and provide one-way plane tickets to each foreigner who has lost his job and wants to go home. And in Bucharest, Romania’s capital, workers from China have been camped out in freezing weather in front of the Chinese Embassy for two months, essentially stranded after their construction jobs disappeared.

Like the Czech Republic, Spain is offering financial incentives to leave. A new program aimed at legal immigrants from South America allows them to take their unemployment payments in a lump sum if they agree to leave and not return for at least three years. The Spanish government says only around 3,000 people have taken advantage of the plan, but many others are leaving of their own accord.

Airlines in Spain are offering deals on one-way tickets to Latin America, and they say demand has increased significantly. Every day, Barajas airport in Madrid is the setting for emotional departures, as families send their jobless loved ones back home.

The second "problem" is rather a carefully managed swipe at those Europeans cozying up a bit too much to Russia -- especially Germany and Italy, one suspects. In Tymoshenko's own words, "There is no unanimity in the EU on Ukraine's joining NATO as we have not yet witnessed a favorable attitude in every country."

At the moment, Tymoshenko narrowly trails Yanukovych in opinion polls but remains far more popular than Yushchenko, whose support has fallen to the single digits. Nonetheless, she remains a controversial figure. In an identity-obsessed Ukraine that declared independence six times over the last 90 years, even her family origins fuel much debate. She grew up speaking Russian and perfected her Ukrainian only after she moved to politics in her 30s. Through a spokeswoman, she also "doesn't comment" on rumors that part of her family comes from Armenia. It's hard to imagine her receiving the kind of voter acceptance enjoyed by Barack Obama and Nicolas Sarkozy with their foreign-born fathers.

U.S. telecommunications companies will now be allowed to set up fiber-optic cable and satellite links with Cuba, start roaming service agreements and permit U.S. residents to pay for telecoms, satellite radio and television services provided to people in Cuba, the White House said.

Obama also directed his government to look at starting regularly scheduled commercial flights to Cuba. Air travel between the United States and Cuba is now limited to charter flights.