UN's Annan calls for direct U.S.-N Korean talks

UNITED NATIONS, Oct 11 (Reuters) U.N. Secretary-General Kofi Annan today urged the United States to talk directly to North Korea, which Washington again refused to do, and called Pyongyang's reported nuclear test ''unacceptable.'' He spoke as members of the Security Council negotiated on a resolution that would impose an arms embargo and some financial sanctions on North Korea in response to the test.

Speaking to reporters, Mr Annan urged Pyongyang ''not to escalate the situation any further'' following its announcement on Monday that it had conducted a nuclear weapons test.

''U.S. and North Korea should talk,'' he said. ''I've always argued that we should talk to parties whose behavior we want to change, whose behavior we want to influence.'' In Washington, President Bush again rejected bilateral talks.

He told a news conference that approach had failed in the past because Pyongyang reneged on its agreements and that other world and regional powers must be involved to ensure the necessary leverage on the reclusive Communist state.

Mr Annan said the 15 Security Council members must unite and speak firmly because North Korean's action ''was unacceptable, and it complicates an already difficult security situation.'' He said North Korea should return to the six-party talks, aimed at ending Pyongyang's nuclear program in exchange for economic incentives. North Korea abandoned the talks, among the United States, Japan, China, Russia and North and South Korea, over a year ago.

Russia and China have also backed direct talks between Washington and Pyongyang as has former President Jimmy Carter and the Senate Foreign Relations Committee's top Democrat, Delaware Sen. Joseph Biden.

CHINA ON SANCTIONS The Council's draft resolution, drawn up by the United States, calls for international inspections of cargo moving into and out of North Korea to detect weapons-related material Diplomats said China had rejected that provision although it would approve other but narrower sanctions.

The draft also includes an arms embargo, a freeze on any transfer or development of weapons of mass destruction and a ban on luxury goods. And it would impose financial transactions targeted at ballistic missile and nuclear weapons programs.

China also has proposed that the resolution refer to a provision in Chapter 7 of the U.N. Charter, known as Article 41, which would authorize only nonmilitary sanctions. ''I think Article 41 serves our purpose,'' said Ambassador Wang Guangya.

The U.S. draft resolution is under Chapter 7 of the U.N. Charter which covers sanctions and even military force, providing the Security Council designates specific action.

But since the U.S.-led invasion of Iraq in 2003, nations fear that invoking Chapter 7 will automatically lead to force, even if the council has not authorized it.

U.S. Ambassador John Bolton said he hoped to circulate a revised text within hours.

''There are a number of disagreements,'' Bolton said. ''We think the fact that North Korea has conducted a nuclear test does amount to a clear threat to international peace and security and warrants action under Chapter 7 of the U.N. Charter as well as a variety of strong measures.'' Reuters SHB DB2347