Hours after U.S. envoy Anthony Zinni called on Israel and the Palestinians to maintain a 48-hour period of quiet, allowing the Palestinians additional time to arrest suspected terrorists, IAF helicopters spotted mortar squads in the act of shelling Israeli targets near Khan Yunis in the Gaza Strip. Missiles were fired at the crew, killing four Palestinians, and twenty others were reportedly injured.

Military sources said the mortar squad, spotted near the Khan Yunis refugee camp, was responsible for numerous mortar attacks on IDF posts and settlements in the area in recent weeks, Army Radio reported. The four Palestinians were reportedly members of Hamas and the Abu Rish faction of the Fatah.

Palestinian sources claimed that the men killed were not involved in mortar attacks. Palestinian Public Security Chief Major-General Abdel-Razek al-Majaydeh said the IAF attack was "an ambush planned by the Israeli army." The helicopters also targeted a building in the camp where members of the Popular Front for the Liberation of Palestine (PFLP) were hiding, sources said.

IDF sources said the helicopters were on their way to attack other targets but their missions were altered after the mortar squad was spotted.

Following the helicopter strike, Palestinians fired six mortar shells at a Jewish settlement in the Gush Katif region. There were no injuries reported, but damage was caused to buildings and vehicles.

Israel's security cabinet decided last night that the IDF would respond to every mortar attack, ynet reported. Israeli officials reportedly told Zinni that Israel would "act responsibly" in the coming days, as he requested, but would continue to respond to events and retained the right to target "ticking bomb" terrorists and their dispatchers.

Israelis, Palestinians call on Zinni to continue mission
At a trilateral security meeting held yesterday evening in Jerusalem, Zinni repeated his demand for two days of calm. According to ynet, at a previous security meeting on Sunday, attended by Israel Security Agency head Avi Dichter and head of the IDF's Operations Directorate Major General Giora Eiland, and by Palestinian Preventive Security heads Jibril Rajoub and Mohammed Dahlan, the sides committed to 48 hours of quiet. But the two days were marked by mortar shellings, Palestinian gunfire and grenade attacks, IDF actions in Beit Hanun and the failed assassination attempt of a senior Islamic Jihad terrorist in Hebron.

According to media reports, Zinni demanded that the Palestinians arrest terrorists and act against terrorist infrastructure. Zinni reportedly was angered with both sides for interpreting his demand for progress within 48 hours as a threat that he would cut short his mission. Both Israelis and Palestinians called on Zinni to stay in the region and Tuesday's meeting was held in a positive atmosphere, despite Israeli claims afterwards that no progress had been made.

Palestinian sources also felt the meeting was successful, and reported that the Israeli representatives had voiced satisfaction with the increased level of cooperation between the sides. The Palestinians pledged to step up their arrests of suspected terrorists and thwart planned attacks, and called on Israel not to torpedo these efforts with additional attacks or targeted killings, the sources said.

Europeans tell Arafat he must fight terror
The Palestinians were pushed to make further arrests by unprecedented pressure applied by the European Union. EU foreign policy chief Javier Solana told Arafat that he must fight terrorism in the West Bank and Gaza Strip. "You have in front of you very many challenges," he told Arafat. "You will have the support of the European Union but you have to comply with those challenges," he added.

Solana reportedly broached the idea of two days of quiet in his talks with Arafat. European sources hoped that the quiet period would stabilize the situation and give the Palestinians "breathing room" to conduct arrests, the Jerusalem Post reported.

Earlier, Solana met with Prime Minister Ariel Sharon on Tuesday, updating him on the European foreign ministers' demand that Arafat dismantle the Hamas and Islamic Jihad terror organizations. The ministers' statement also called on Arafat to declare, in Arabic, an end to the armed Intifada.

Israeli officials expressed satisfaction that the Europeans, usually slanted heavily in favor of the Palestinian positions, were now demanding actions in line with the American stand. Foreign Affairs Minister Shimon Peres labeled the EU statement "a responsible European position."

But Belgian Foreign Minister Louis Michel insisted the EU was not siding with Israel. The European statement also demanded that Israel withdraw its military forces; put a stop to extra-judicial executions; lift closures and all restrictions imposed on the Palestinian people; and freeze settlements.

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