Israel defies pressure to end siege of Arafat's HQ

Yasser Arafat remained under siege by the Israeli army in the ruins of his presidential compound yesterday, despite repeated criticism of Israel's actions from the United States.

In its third rebuke to the Israeli government since it began demolishing the Palestinian leader's compound, the White House said that President George Bush "views what Israel is doing now as unhelpful to the cause of bringing about reform in Palestinian institutions". The White House is believed to feel American efforts to secure Arab support for an attack on Iraq will be hindered.

The first negotiations on ending the siege broke up yesterday. The Israeli army allowed Saeb Erekat, the chief Palestinian negotiator, to drive through the rubble of Mr Arafat's compound. Mr Erekat said the Israeli negotiators had refused to give him a list of wanted militants, and had in fact sent him to Mr Arafat with a demand for a list of everyone in the building – a claim that, if true, would expose the Israeli assertion that the army's efforts with bulldozers and dynamite are intended to make Mr Arafat hand over alleged militants inside the building.

The Prime Minister, Ariel Sharon, and his ministers have come under criticism from the Israeli media for the destruction of Mr Arafat's compound – not least because of the degree to which it has strengthened Mr Arafat.

A lame duck leader just a few days ago, under pressure from Palestinians to make reforms, he is suddenly the symbol of his people again. There was a general strike across the Occupied Territories and in East Jerusalem in support of him yesterday. "We are not going to raise the white flag," a senior Arafat aide, Tayeb Abdel Rahim, told the crowd.

Commentators have pointed out that Hamas, an organisation over which Mr Arafat has little control, has claimed responsibility for the suicide bombing in Tel Aviv last week.

Perhaps stung by the criticism, Mr Sharon said: "When the day comes – the moment we can muster the appropriate forces – then we will definitely have to take action to strike at Hamas to stop its operational capability."