Jewish squatters in Hebron forcibly removed

Tuesday’s operation came as Israeli Prime Minister Ehud Olmert is reviewing a proposal whereby his country would cede territory to the Palestinians under a final peace accord in order to hold on to major West Bank settlements, the Haaretz newspaper reported.

The Israeli land would be meant to compensate the Palestinians for the roughly 5 percent of the West Bank occupied by Jewish settlement blocs, the newspaper said. The architect of the plan is Israeli President Shimon Peres, who won a Nobel Peace Prize for his role in the 1993 interim peace deal between Israel and the Palestinians, Haaretz said.

A spokesman for Peres, Yoram Dori, did not deny that a land trade proposal has been submitted to Olmert. “I don’t know of a plan that has all of the details that are given in the article,” Dori replied when asked to comment on the Haaretz report.

He added that Haaretz had incorrectly reported that the president proposed giving up land where Israeli Arab communities currently stand.

Haaretz said Olmert has not rejected the proposal’s main concepts, but the prime minister’s office issued a statement expressing “amazement at this erroneous article.”

“Such a plan has not been considered, nor is it being raised for discussion in any forum,” the statement said.

Peace negotiations between Israel and the Palestinians broke down in early 2001 following the launch of the Palestinian uprising against Israel. Olmert and Palestinian President Mahmoud Abbas have met several times in recent months to discuss issues related to the peace process, the most recent talks happening Monday in the West Bank town of Jericho.

Israel agrees to the formation of a Palestinian state in the West Bank and Gaza Strip, but the two sides are deeply divided over what the borders should be. Israel wants to annex the West Bank settlement blocs while Palestinians want Israel to withdraw from all of the territory, captured along with the Gaza Strip and east Jerusalem in the 1967 Mideast war.

More from msnbc.com Racist webcam? TheGrio's test says no View an interactive, HD panorama of N.Y.'s 30 Rock Scoop: No Tiger cub on way for Rachel Uchitel Census workers wanted, local roots preferred Cosmic Log: Decades of future science Answer Desk: Gold may be riskier than it seems Send your holiday pictures to troops

MORE FROM MIDEAST & N. AFRICA

Mideast & N. Africa Section Front

Ahmadinejad dismisses nuclear deal deadline Report: Seized weapons were heading to Iran Ex-UK royal harpist handled stolen goods General: No trials of pregnant soldiers in Iraq Israel passes demands in prisoner swap to Hamas First Jesus-era house found in Nazareth Newsweek: Montazeri’s death rallies opposition World Blog: ElBaradei rattles official Egypt Mideast & N. Africa Section Front   Add Mideast & N. Africa headlines to your news reader: