Mediator works to free Israeli

Egyptian spy chief meets Hamas leader in an attempt to obtain release of soldier held by Palestinian militants

BY MATTHEW McALLESTER | Newsday Staff Correspondent

July 1, 2006

GAZA CITY, Gaza - While Israel continued to target sites in Gaza with shelling and missiles Friday, hope for a solution to the crisis shifted to Syria as the Egyptian intelligence chief worked to persuade the leader of Hamas to order the release of a kidnapped Israeli soldier.

A former senior Hamas leader, Imad Falouji, told Newsday in an interview that the intelligence chief, Omar Suleiman, has become the main negotiator in the diplomatic bid to break the deadlock over Cpl. Gilad Shalit. The Israeli was kidnapped Sunday by Palestinian militants.

Falouji, who retains close ties to figures in Hamas, the Palestinian Authority and the Egyptian and Israeli governments, said that Suleiman was due to meet Hamas leader Khaled Meshaal in Damascus on Friday. An Arab diplomat there said the pair met.

If Suleiman were to visit Gaza on Saturday, as many hope, that would imply he has persuaded the hard-line Meshaal to compromise somewhat over Shalit. "If he comes tomorrow, that means he's coming with something," Falouji said.

Several hours after Falouji's comments, however, the militants issued new demands: Israel should halt the military offensive in Gaza and release 1,000 prisoners from its jails. They also repeated an earlier demand for the release of jailed Palestinian women and minors. It was not clear how the latest demands might affect Suleiman's mission.

Hamas leaders have said they didn't order Shalit's abduction and can't control his captors, but few on either side believe them. Asked if Meshaal ordered the kidnapping, Falouji said: "Yes, I think yes. Of course."

In Gaza, Israel continued to shell Palestinian buildings and fields. Palestinian Prime Minister Ismail Haniya, a member of Hamas, appeared in public for the first time since the kidnapping. He preached during Friday prayers at a mosque in Gaza, calling on Israel to halt its military actions.

"This total war is proof of a premeditated plan" to topple the Hamas government, said Haniya, who is not considered an influential figure within Hamas in spite of his post. "We have had contacts with the Egyptians, with [President Mahmoud Abbas] and many parties to end this issue in the appropriate fashion, but this Israeli military escalation complicates matters and makes it more difficult."

Although the violence continued Friday, it was far from a full show of strength by the powerful Israeli military, which is yet to push significantly far into Gaza. That limited action has led many to hope for a diplomatic solution.

In Washington, President George W. Bush's spokesman, Tony Snow, said: "We are encouraged by the fact that the Israelis are standing down in Gaza and that Hamas is talking openly about repatriating the soldier, and we continue to watch the developments."

There could be another reason for Israel's limited military action: The more time it can buy with negotiations, the longer its intelligence officers will have to locate and attempt to rescue Shalit in the densely packed sprawl of the Gaza Strip.

Gaza on Friday was full of rumors of Israeli undercover units operating in its streets.

Staff correspondent Mohamad Bazzi contributed to this story from Damascus.