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Edition: U.S. Article Save Email Print Reprints Most Popular Most Shared Qaeda group says responsible for Detroit air incident | Video 3:18pm EST Qaeda wing says behind attack on U.S. plane: website 2:59pm EST Attempted bombing spotlights al Qaeda growth in Yemen 12:39pm EST Iran arrests pro-reform opposition figures | Video 3:15pm EST AT&T site not selling iPhone to NYC residents 1:53pm EST "Dead" man wakes up under autopsy knife 17 Sep 2007 Older white women join Kenya's sex tourists 26 Nov 2007 Man jailed for eating rare tiger 22 Dec 2009 Oklahoma firm recalling beef products in six states 26 Dec 2009 Italy toy store opens at 4 a.m. to help frantic mother 26 Dec 2009 Israeli building plan prompts U.S. criticism Jeffrey Heller JERUSALEM Mon Dec 28, 2009 2:11pm EST Related News White House opposes new Jerusalem-area construction 1:00pm EST Israel announces new Jewish homes in Jerusalem area 6:28am EST EU urges Israel to share Jerusalem Tue, Dec 8 2009 Israel strips more Palestinians of Jerusalem status Wed, Dec 2 2009 Israeli settlers block government inspectors Tue, Dec 1 2009 JERUSALEM (Reuters) - Israel announced plans on Monday to build nearly 700 new Jewish homes in areas of the occupied West Bank it considers part of Jerusalem, prompting strong U.S. criticism implying they could undermine peace talks. World The United States said it opposed Jewish settlement construction in occupied land and urged Israel and the Palestinians to resume negotiations now stalled for a year. Israel has excluded Jerusalem from a limited moratorium on settlement construction. A spokesman for Palestinian President Mahmoud Abbas condemned the Israeli plan, saying new building on territory occupied by Israel since the 1967 Middle East war was illegal. Under the new Israeli blueprint, Israel's Housing Ministry invited contractors to bid for the construction of 198 housing units in Pisgat Zeev, 377 homes in Neve Yaakov and 117 dwellings in Har Homa, settlements near Jerusalem. "The United States opposes new Israeli construction in East Jerusalem," White House spokesman Robert Gibbs responded in a statement. "Neither party should engage in efforts or take actions that could unilaterally preempt, or appear to preempt, negotiations. Rather, both parties should return to negotiations without preconditions as soon as possible," Gibbs said. The White House also said the United States recognizes "Jerusalem is a deeply important issue for Israelis and Palestinians, and for Jews, Muslims, and Christians." Israel has declared all of Jerusalem its indivisible and eternal capital, a claim not recognized internationally. It sees Pisgat Zeev, Neve Yaakov and Har Homa as neighborhoods of Jerusalem. Palestinians see the city as capital of a future state. NEW JEWISH HOMES "The Israeli government proves every day that it is not ready for peace," Abbas's spokesman, Nabil Abu Rdainah said, accusing Israel of exploiting what he called U.S. and international inability to halt settlement building. The construction plan was announced as part of a wider government project to build several thousand new homes in Israel. Under U.S. pressure, Israeli Prime Minister Benjamin Netanyahu announced in November a 10-month freeze of housing starts in West Bank settlements but said it would not include the municipal borders Israel has defined for Jerusalem. Abbas has demanded Israel halt all settlement activity, saying he would not resume peace talks until it did so. About 500,000 Israelis live in the West Bank and East Jerusalem among 2.7 million Palestinians. The World Court has said the settlements are illegal and Palestinians say the enclaves could deny them a viable state. (Additional reporting by Alister Bull in Washington, Ori Lewis in Jerusalem and Ali Sawafta in Ramallah; Editing by Charles Dick) World More from Reuters Qaeda group says responsible for Detroit air incident KAILUA, Hawaii (Reuters) - A regional wing of al Qaeda claimed responsibility on Monday for a failed Christmas Day attack on a U.S.-bound passenger plane, saying it was to avenge U.S. attacks on the group in Yemen. | Video AT&T site not selling iPhone to NYC residents Advocacy groups urge FTC to bar Google-AdMob deal Fed proposes creation of new exit tool Healthcare execs will be in demand in 2010 JPMorgan sues private banker accused of embezzling » More Top News Travel headaches after scare The U.S. is stepping up airline security measures following the Christmas bomb scare. Here's what you can expect. Full Article | Video U.S. official admits security failed Is Yemen the next terrorist hub? Commentary: Profiling passengers U.S. "Worse than an infidel" Dozens killed as suicide bomber attacks Shi'ite Muslim progression in Pakistan despite thousands of security forces on high alert. Full Article | Video Factbox: What is Ashura? Iran arrests opposition figures World © Copyright 2009 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Analyst Research Mobile Newsletters RSS Podcasts Widgets Your View Labs Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts.com Buyouts Europe: Buyouts Conferences: Venture Capital Journal ECVJ International Financing Review International Securitisation Report Project Finance International PEhub.com PE Week Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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