DATE=4/03/02

TYPE=CORRESPONDENT REPORT -

TITLE=ISRAEL / PALESTINIANS (L)

NUMBER=2-288290

BYLINE= LAURIE KASSMAN

DATELINE= JERUSALEM

CONTENT=

VOICED AT:

INTRO: Dozens of suspected Palestinian militants and police have taken refuge

inside the Church of the Nativity in Bethlehem, the traditional place of

Jesus' birth. The Palestinians are under cover from Israeli troops, who have launched an offensive in Bethlehem and other towns in the West Bank. Correspondent Laurie Kassman reports Israeli troops are also battling Palestinian militias in other towns of the West Bank.

TEXT: Much of the fighting in Bethlehem has concentrated in and around Manger Square, in front of the Church of the Nativity -- one of Christianity's holiest shrines.

Bethlehem restaurateur Nicolas Andonia lives a few meters from the church. In a phone interview with V-O-A, he describes the scene outside.

///NICOLAS ACTUALITY ///

Tanks are beside our house and they are shooting at the church. The Apache (helicopter gunships) over our houses and they are shooting at the mosque and people in Manger Square. It's the first time we see this.

/// END ACTUALITY ///

Mr. Andonia says the Omar Mosque, across Manger Square from the church, was on fire fire trucks were prevented from approaching the building.

Priests at the Church of the Nativity say they were overcome by Palestinian police and militiamen, who shot their way into the sanctuary.

/// OPT /// Bishop Riah Abu al Assal does not know exactly who is in the church, but says a church can never closed to those seeking refuge.

/// OPTIONAL ABU AL ASSAL ACTUALITY ///

If we churchmen don't allow people to seek refuge in our holy places, where would they seek refuge in times of trouble.

/// END OPTIONAL ACTUALITY ///

In the streets of Bethlehem, there were running battles between Palestinian gunmen and Israeli forces, who fired at the them from helicopter gunships and tank-mounted machine guns.

The assault on Bethlehem is being repeated in cities across the West Bank on this, the sixth day of Israel's military offensive aimed at destroying Palestinian terrorist networks.

Despite increasing pressure on Israel to pull its troops out, foreign ministry spokesman Aryeh Mekel tells V-O-A there is no deadline for the military operations.

/// MEKEL ACTUALITY ///

The campaign will continue as long as it takes, which means until we dismantle the infrastructure of terror. Since the entire West Bank has become one big terrorist base, led by Arafat, we have to go in basically everywhere, catch the terrorists, arrest them, bring them to justice in Israel, confiscate the weapons and we are determined to do so.

/// END ACTUALITY ///

In Ramallah, Palestinian leader Yasser Arafat remains under siege -- confined to a few rooms at his headquarters there. Israeli tanks and troops surround the three-story building.

A tight curfew remains in effect in Ramallah; but it was lifted for a few hours late Tuesday afternoon so residents could stock up on supplies.

The U-N relief agency working with Palestinian refugees, tells V-O-A it managed to get some food and medical supplies into Ramallah, Tuesday, but a Palestinian staffer accompanying the convoy was arrested on unspecified charges. (Signed)

NEB/LMK/WD