Palestinian militants reject truce offer to Israel

GAZA, June 16 (Reuters) Hamas militants today distanced themselves from a ceasefire offer that the Palestinian government led by the Islamist group made to Israel, while other armed groups also spurned the proposal.

Differences over the truce offer, which was conditional on Israel stopping raids and air strikes in Gaza and the West Bank, could point to disagreement between the Hamas grassroots and the government over tactics.

Hamas's armed wing scrapped a 16-month truce with Israel a week ago and soon after launched a barrage of makeshift rockets at the Jewish state from the Gaza Strip. But a government spokesman made a new ceasefire offer yesterday.

''We are not interested in making any offers or proposals,'' said Sami Abu Zuhri, official spokesman for the Hamas movement.

''When the occupation stops its killings and crimes against our people then the factions may look into the issue in accordance with the interests of our people,'' he said.

Abu Zuhri said the ceasefire offer announced by cabinet spokesman Ghazi Hamad in an interview with Israel Radio represented the government, and not the militant group itself.

The Islamists formed the government in March after winning parliamentary elections.

Israeli officials have not commented on the ceasefire offer.

UNDER EMBARGO The Jewish state regards Hamas as a terrorist organisation and along with the United States and the European Union has imposed an economic embargo on the new government.

Despite the sanctions, Hamas has rejected Western demands to recognise Israel's right to exist and disarm.

Israel has threatened to target top Hamas leaders, possibly including Prime Minister Ismail Haniyeh, if rocket fire continued. Launchings have dropped sharply in the past two days.

''Very tough messages were relayed to Hamas that it's political leadership, if Hamas is involved in rocket fire, will not be immune. We will strike them too,'' Justice Minister Haim Ramon said on Israel Radio.

But a senior Israeli defence official said Haniyeh was not high on the hit-list because of the Jewish state's belief he was not directly involved in attacks.

The al-Aqsa Martyrs Brigade of Palestinian President Mahmoud Abbas's Fatah movement and the Islamic Jihad group both rejected the government's truce offer.

''Such an offer will only be met by further Israeli aggression,'' said Islamic Jihad political leader Khaled al-Batsh.

Abbas, locked in a power struggle with Hamas, has stepped up pressure on the group by calling for a referendum on a statehood proposal that implicitly recognises Israel. Hamas has called the July 26 referendum an attempt to topple the government.

Abbas believes it could help lift the aid embargo.

In Brussels, the European Union agreed an emergency aid scheme for the Palestinians bypassing the government and said it was close to winning the backing of international Middle East brokers for the plan.

REUTERS SB BST1925