World May. 20, 2008 - 03:40AM JST ( 2 )

SHARM EL-SHEIKH, Egypt —

Israeli Defense Minister Ehud Barak warned on Monday after talks with Egyptian President Hosni Mubarak that continued rocket fire from the Hamas-run Gaza Strip could trigger a major ground offensive against the territory.

Barak told Mubarak, whose government has been acting as go-between in truce talks between Israel and the Gaza militants, that “the ongoing rocket fire against civilian targets and terror activity from the Gaza Strip could accelerate an escalation towards a military conflict,” his office said.

The defense minister reiterated Israel’s demand “to accelerate and advance the talks for the release of captured soldier Gilad Shalit as part of any attempt to normalize the situation on the ground.”

Shalit has been held by Gaza militants for almost two years since his capture in a deadly cross-border raid from the territory.

Barak also called for an end to Hamas’ “military build-up by thwarting weapon smuggling, terror money transfers and entry of terror activists” into Gaza.

His comments seemed to be an allusion to Israeli charges that Egypt has failed to do enough to stem what it says is rampant arms smuggling into the territory.

Barak also held talks in the Red Sea resort of Sharm el-Sheikh with Egypt’s pointman for Palestinian affairs—intelligence chief Omar Suleiman—who has been acting as go-between in the negotiations between Israel and the militants.

Egypt has been acting as mediator because Israel refuses to talk directly with Hamas and other groups which it blacklists as terrorist organizations.

In exchange for stopping the rocket fire by militant groups, Hamas has said it wants Israel to lift its nearly year-old blockade of Gaza and allow the reopening of its borders, particularly the Rafah crossing with Egypt, its only one that bypasses Israel.

Israel has demanded an end to rocket attacks and arms smuggling from Egypt’s Sinai peninsula, as well as progress in the negotiations on Shalit’s release.

Hamas insists that Shalit’s freedom is an entirely separate issue from the proposed truce and is demanding that Israel free 450 Palestinian prisoners in exchange for it.

On Sunday, Prime Minister Ehud Olmert said that Israel was “very close” to deciding on what action to take to stop rocket attacks from Gaza.

“Under no circumstances can we allow the situation in the south (of Israel) to continue the way it has in recent months, and the crossroads on a decision on how things will be handled is very close,” Olmert said at a weekly cabinet meeting.

He declined to elaborate amid calls from some cabinet ministers for Israel to launch a major ground offensive against Gaza to break the power of Hamas once and for all.

One of those ministers—Deputy Prime Minister Haim Ramon—reiterated his criticism of the truce negotiations with Hamas on Monday.

“We must put a stop to contacts with Hamas and act against terrorism,” Ramon told a meeting of members of parliament from Olmert’s centrist Kadima faction.

U.S. President George W Bush wrapped up a Middle East tour with a speech in Egypt on Sunday in which he accused Hamas of pursuing a policy of terror.

A Hamas delegation arrived in Cairo on Monday to be briefed on Israel’s response to the Egyptian proposals for a Gaza truce.

Suleiman flew to Israel on May 12 for talks with Olmert, who set a series of conditions for Israel’s acceptance of the proposals which had already been approved by 12 Palestinian militant groups.

The Hamas delegation, led by the second-in-command of its political wing Musa Abu Marzuk, was to hold talks with Suleiman on Tuesday, Hamas spokesman Ayman Taha said in Gaza.

Despite the calls for a major ground offensive, several former defense and security officials have told the Israeli government that they support indirect talks with Hamas and oppose a major assault.

“Recognizing that ending the Hamas regime in Gaza is not a realistic goal and that reinstating Fatah in the Gaza Strip by means of Israeli bayonets is not desirable… non-public negotiations should take place with Hamas through Egypt or anyone else acceptable to both sides,” they wrote in a joint letter to Olmert.

Wire reports