The council's endorsement came after a lengthy closed door talks during which the council added a phrase to its statement indicating concern about reports of serious violations of the pullout since Friday.

The Security Council's talks reflected continued disagreement about the Israeli pullout from Lebanon.

On Friday, Secretary-General Annan proclaimed a day of hope for the region when he said Israel had completely withdrawn from Lebanese territory. But Lebanese officials disputed Mr. Annan's announcement, saying Lebanon insists on recovering every inch of its territory.

For two days Russian representatives in New York blocked any quick action by the Security Council. After the private talks concluded Sunday, the Council released a statement reflecting the agreement of all 15 members, including Russia. The carefully-worded document endorses work done by the United Nations, including the Secretary-General's conclusion that Israel has withdrawn its forces from Lebanon. But it notes with serious concern reports of violations that have occurred since June 16th, when Mr. Annan made his critical announcement at U-N headquarters. The council calls on the parties to respect the line identified by the United Nations.

Secretary-General Annan, now in the Middle East, says there are problems concerning the demarcation of the border between Israel and Lebanon. However, he says both sides have agreed on the importance of finding a solution.

Israel invaded Lebanon in 1978. Security Council resolutions adopted that year require U-N peacekeeping troops to verify an Israeli pullout. The peacekeepers are then required to help Lebanon's army restore security and authority in the border area. Israel announced its withdrawal from Lebanon last month and U-N peacekeepers since that time have been trying to verify that all Israeli troops have left Lebanese territory. Diplomats say the Security Council's endorsement of Mr. Annan's verification of Israel's withdrawal allows U-N peacekeepers to be deployed along the Lebanese-Israeli border.

Leaders of North and South Korea Begin Summit Meeting

The long-awaited inter-Korean summit has opened with an historic handshake between South Korean President Kim Dae-jung and North Korean leader Kim Jong-il, who, unexpectedly showed up at Pyongyang's airport to personally greet his visitor. VOA correspondent Roger Wilkison reports the three-day summit marks the first time the top leaders of the two Koreas have met since the peninsula was divided 55 years ago.

It was an extraordinary moment. Kim Jong-il, known as one of the most reclusive leaders in the world, stepped out of an organized crowd of well- wishers and strutted toward Kim Dae-jung's plane to welcome him to North Korea. The two men clasped both hands, a sign of extreme warmth in Korean culture, and an approving roar went up from the crowd.

The symbolism of that handshake was not lost on South Koreans watching the live television feeds from Pyongyang. It means that the long-time enemies have finally recognized each other's legitimacy. And it could also mean that Kim Jong-il has decided to be the public face of his country after years in the shadows.

As the two men trooped down a reception line at the airport, they smiled at each other and chatted in an animated manner. At one point, Kim Jong-il even seemed to defer to the older Kim Dae-jung, allowing the South Korean president to walk in front of him, as the crowd shouted out the name of the North Korean leader.

Then, it was time to review a smart-looking military honor guard. Kim Dae-jung has entrusted his personal security on this trip to the North Korean military, an extraordinary step for a man who, like other South Koreans, sees that institution as the most dangerous threat to their country.

The two leaders then climbed into the same American- built limousine for a trip to the official guesthouse where Kim Dae-jung will stay during his three days in Pyongyang. The two leaders are to meet later Tuesday for their first summit session.

Before leaving Seoul, Kim Dae-jung warned that one summit will not solve all the problems that have divided North and South for so long. But he promised to seek reconciliation step-by-step with the goal of - in his words - terminating the Cold War on the Korean peninsula so that the 70 million Koreans in both North and South can finally live in peace.

Albright, Bashar Meet in Damascus

Secretary of State Madeleine Albright says the son of Syrian President Hafez al-Assad has assured her his country wants to continue down the road toward peace with Israel.

After filing past Hafez al-Assad's closed, flag-draped casket, Secretary Albright met for about 15 minutes with the late Syrian leader's son - the first face to face meeting between such a senior U-S official and President Assad's heir- apparent. Secretary Albright told reporters that the two spoke about pursuing further discussions on Middle East peace in the days to come. "I also said that it was his father who had taken a strategic decision for peace and Dr. Bashar said that he would continue on that same road."

Bashar Assad told Secretary Albright everybody in Syria is committed to continuing in the same way as the late President. But talks between Syria and Israel aimed at ending a 30 year state of war stalled in January. A meeting between President Clinton and the late President Assad in Geneva in March failed to break the deadlock.

Even though he has held no formal political post, a senior State Department official told reporters Washington believes Bashar Assad is someone the United States can do business with, calling him a serious and capable individual. And, U-S officials say they consider the hand over of power here to be moving remarkably quickly and orderly and that this country's political and military establishment has lined up behind the younger Assad.

U.S. officials describe the Middle East as being at a crossroads, noting that new, younger leaders are in place in Jordan, Morocco and soon to be Syria, leaders who appear ready to focus on the future rather than dwelling on the past. This, combined with Israel's withdrawal from South Lebanon last month and new talks between Israel and the Palestinians described as approaching the moment of truth are presenting new possibilities for peace. But U-S officials expect more substantive meetings will be required -- beyond today's brief get-acquainted session with Bashar Assad before they can assess whether any new breakthroughs might be at hand.

Widespread Corruption Alleged Against Late Croatian President Tudjman Worries Washington

The reformist government in Zagreb is alleging that billions of dollars were plundered from the national treasury by the late President Franjo Tudjman of Croatia and his associates. Thousands of transcripts and tape recordings found in the former president's office reportedly chronicle widespread abuse in Croatia's privatization agency, which disposed of 18-hundred state enterprises between 1993 and 1999. Taped conversations between President Tudjman and aides also reportedly tell of companies being handed almost free of charge to political cronies, of secret bank accounts, and the existence of phony companies to disguise the use of government money for private gain.

Officials say the sensitive material was never meant to be made public and would not have been had President Tudjman not died last December and his party been defeated in subsequent parliamentary and presidential elections.

Tom Dawson, the International Monetary Fund spokesman, says as yet there is no evidence that I.M.F. loans to Croatia were misused. He stated, "The concerns that were described in the newspaper reports this morning are serious ones, but we have no evidence of any direct involvement...But clearly, governance issues of the sort identified are of serious concern to us." Mr. Dawson also noted that no I-M-F money has been lent to Croatia for three years.

David Frye, an economist who analyzes Croatia at the Planecon consultancy in Washington, says it will take years for the Croatian economy to recover from the massive loss of revenue that resulted from official corruption. "It's not surprising. There were a lot of claims even while the Croatian Democratic Union (C-D-U) was in power that there was a great deal of corruption. That to some extent the C.D.U. was looting the treasury. But it appears now it was to an even greater extent. And this is going to impose some pretty substantial fiscal costs. The government, say, is going to have to clamp down on social spending over the next few years in order to devote far more money to cleaning up the banking sector and towards restructuring state enterprises."

Mr. Frye says the new government in Zagreb is working strenuously to root out corruption and reestablish financial discipline. Foreign direct investment is being encouraged and the government is seeking improved relations with Western Europe and the I.M.F. Croatia's long stagnant economy is expected to register two-and-a-half percent growth this year.

U.N. Official for Bosnia Says International Community Has Historic Opportunity to End Instability

At the United Nations Tuesday, the top U-N official for Bosnia Herzegovina, Jacques Klein, said Bosnia Herzegovina must not be confined to the fringes of Europe. Instead, the U-N envoy says, Bosnia needs to be given the attention and mentoring required to become a stable and self- sustaining member of the wider European region.

Currently, Mr. Klein says, the people of Bosnia Herzegovina are living in a "no-man's land," unsure of their identity and their place in the modern world. "Everything we are trying to do depends on making a credible commitment, now, to Bosnia and Herzegovina's entry into Europe. From refugee return (why would any refugee want their children to grow up in a no-man's land?) through to keeping youth in country and not in visa queues, from seriously attacking cross-border crime through to breaking the hold of extremist politicians and partitionist tendencies; it all depends on changing the optics (point of view) of this country, and of its neighbors, away from parochial sectarian divisiveness by giving them regional identity and inclusiveness."

Mr. Klein says that five sets of internationally-run elections in five years have not overcome Bosnia's ethnic and ideological divisions. He says solutions that have worked inside of Western Europe to defuse ethnic separatism should be applied to Bosnia Herzegovina.

U-N envoy for Bosnia Jacques Klein says progress has been made in the areas of police training and judicial reform. But he urges the international community to provide the resources needed for social reconstruction, namely the development of a national university and efforts to restore religious tolerance.

Israeli and Palestinian Negotiators Resumed Peace Talks in Washington

The talks resumed Tuesday after breaking off last month amid renewed violence in the West Bank.

The discussions are taking place at the expert level at two separate locations - at Andrews Air Force Base in suburban Maryland and at Bolling Air Force Base here in Washington. U.S. officials have imposed a total news blackout on the talks.

President Clinton has expressed cautious optimism about prospects for a final Israeli-Palestinian accord - saying both Israeli Prime Minister Ehud Barak and Palestinian Authority President Yasser Arafat have expressed their desire for peace. But he says much work remains to be done on some very difficult and complex issues.

The parties - who have committed themselves to a mid- September deadline for concluding a final peace agreement - are trying to resolve such thorny issues as borders, the future of Palestinian refugees, Jewish settlements on occupied lands, and the status of Jerusalem.

Mr. Clinton - who met with Mr. Barak earlier this month in Lisbon - will meet Mr. Arafat at the White House on Thursday - a day later than planned because Mr. Arafat attended the funeral of Syrian President Hafez al-Assad in Damascus.

Mr. Clinton hopes the current round of talks makes enough progress so that he can schedule a three-way meeting with Mr. Barak and Mr. Arafat within weeks.