DATE=03/16/02

TYPE=CORRESPONDENT REPORT

TITLE= ISRAEL / PALESTINIANS SECOND UPDATE (S)

NUMBER=2-287646

BYLINE=LAURIE KASSMAN

DATELINE= JERUSALEM

CONTENT=

VOICED AT:

/// Must sub cr 2-287644 ///

INTRO: In Israel, ceasefire talks were thrown into doubt late Saturday after Israel announced it would meet on Sunday with U-S and Palestinian officials and the Palestinians said they would not. Correspondent Laurie Kassman brings us up to date in Jerusalem.

TEXT: A statement from Prime Minister Ariel Sharon's office Saturday evening said he would head the Israeli delegation in a three-way meeting on Sunday. The purpose of the meeting was to declare a ceasefire and then begin thrashing out the details for implementing it.

But a few hours later the Palestinians issued a statement to say they would not participate in any talks until Israeli forces pulled out of Palestinian-controlled territories. The Israeli withdrawal has been a key Palestinian condition to opening ceasefire negotiations.

Shortly after the Palestinian statement, Israel announced that contrary to earlier reports -- no decision has been made to hold a three-way meeting and U-S envoy Anthony Zinni will continue his talks with both sides.

Mr. Zinni arrived in Israel on Thursday for his third attempt to broker an end to more than 18 months of violence. He has already held two rounds of separate talks with Israeli and Palestinian officials and says he will stay as long as it takes to achieve a truce. (Signed)

NEB/LMK/PT