cstormed a billiards club in the Israeli town of Rishon Letzoin, south of Tel Aviv, police and Israeli radio said. "We know of an explosion in a building…a nightclub in which there was apparently a large number of people," the Reuters news agency quoted Chaim Cohen, a police commander, as telling Army radio.

Ambulance workers said that in addition to the dead dozens of people were injured in the blast, which came as another blow for peace efforts in the troubled region. The Palestinian militant group Hamas has claimed responsibility, said the Voice of America (VOA) quoting several news agencies.

ARAFAT CONDEMNS

Palestinian negotiator Saeb Erakat told the Cable News Network that Palestinian leader Yasser Arafat condemned the attack. But Israeli official David Baker said the latest attack was prove that "the Palestinian Authority has not given up its murderous path."

The latest incident was came as Israeli Prime Minister Ariel Sharon was in Washington to prove what he said was Palestinian leader Yasser Arafat’s involvement in terrorism.

Sharon said earlier he wanted to hand over a 100 page document to United States President George W. Bush, which he suggested links the Palestinian leader with suicide attacks. As rescue workers tried to reach the shattered and blood stained building in Rishon Letzoin, elsewhere in Bethlehem the stand off around the Church of the Nativity continued.

STAND-OFF CONTINUES

In a statement read out to reporters and family members waiting outside, the Israeli Military said an end to the 36-day stand-off was being delayed because no country has yet agreed to take in a group of Palestinian gunmen who had taken refuge in the church.

Peace activists inside the church, where many Christians believe Jesus was born, say the situation is desperate after one of the gunmen was shot by Israeli snipers. Although Israeli and Palestinian negotiators accepted an agreement to end the stand-off, Italy said it was not informed about a plan to expel some of the gunmen to its territory.

Under the deal 13 Palestinians would be sent to Italy while another 26 wanted Palestinians would be transferred to the Gaza strip and at least 80 others would be set free.

HOMELESS

Meanwhile the International Federation of Red Cross and Red Crescent Societies expressed concern Tuesday, May 7, about the impact of the conflict on civilians.

VOA quoted the organization as saying that thousands of people, mainly Palestinians, are left homeless and that the Palestinian territories are in urgent need of emergency medical care. VOA said the organization is appealing for one million dollar in aid for health care in the Palestinian areas.

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