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The Situation Room

U.N. Security Council Approves Mideast Peace Resolution

Aired August 11, 2006 - 19:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


WOLF BLITZER, CNN ANCHOR: Thanks very much, Lou. And to our viewers, you're in the -- in the United States and around the world, you're in THE SITUATION ROOM where new pictures and information are arriving all the time. Standing by CNN reporters across the United States and around the world to bring you tonight's top stories.
Happening now breaking news worth following out of the United Nations. A United Nations vote that could end the warfare between Israel and Hezbollah, and it may be just minutes away. It's 2:00 a.m. Saturday here in Jerusalem where Israeli officials now seem likely to sign off on the peace plan. I'll speak with Secretary of State Condoleezza Rice about this apparent breakthrough and what happens next.

Also this hour, behind the airline terror plot, it's midnight in London where investigators are following the money trail and looking deeper into a possible al Qaeda connection.

And is there a secret weapon available to screen out airline bombers before they strike? It's 7:00 p.m. in Arlington, Virginia where we tested a machine that essentially bares all.

I'm Wolf Blitzer in Jerusalem. You're in THE SITUATION ROOM.

Breaking news right now at the United Nations where Security Council members hold prospects for a cease-fire between Israel and Hezbollah in their hands. A vote expected soon on a revised plan to end the month of fighting and bloodshed on both sides of the Israeli/Lebanese border. Top diplomatic predict the resolution will pass.

Israeli officials say Prime Minister Ehud Olmert will recommend that his Cabinet accept the U.N.'s terms, but neither side is making peace, not just yet. Israel today ordered the military to expand its ground war against Hezbollah in southern Lebanon. Troops now are poised and ready to strike if diplomacy falls through.

And Israel's air war in southern Lebanon continues. Lebanese security sources report multi -- multiple air strikes hitting an evacuation convoy of troops, police, and hundreds of citizens. At least four people reportedly were killed.

Let's get some more now on what's been a day of urgent diplomacy, the Secretary of State Condoleezza Rice personally working to try to close this deal. CNN's John Roberts is on the front lines in northern Israel. CNN's Jim Clancy is in Beirut, but let's begin at the center of the action right now at the United Nations. Richard Roth is there -- Richard.

RICHARD ROTH, CNN SR. UNITED NATIONS CORRESPONDENT: Wolf, the United Nations Security Council is about to adopt this resolution that may end the fighting in the Middle East. Secretary of State Condoleezza Rice has taken her seat at the historic horseshoe Security Council table. Secretary-General Kofi Annan is now walking into the room being escorted by U.S. Ambassador John Bolton. They seem to be having a very cordial conversation, they're smiling, and that's the mood now here at the U.N. after weeks of high tension while there's certainly death and destruction on the battlefield, here the diplomats feel like a weight is off their shoulder as both Lebanon and Israel seem to have indicated they're ready to accept the terms of this resolution.

The vote could occur after some speeches, and we expect many countries to speak. The nation of Ghana has the president's chair; the foreign minister is at the helm currently. That resolution worked out after hard crafting by diplomats, the key provision that a robust expanded U.N. peace keeping mission in southern Lebanon will join together with Lebanese government troops, maybe as much as 30,000 troops in all to police the south, Hezbollah would move north, Israel would withdraw. A very complicated timetable with a lot of ramifications should something go wrong at any step -- Wolf.

BLITZER: A lot of pit falls potentially. Richard, we're going to becoming back to you. We're going to be monitoring this United Nations Security Council debate throughout this hour and watching it unfold.

Let's bring in our senior national correspondent John Roberts. He's been in northern Israel along the border with Lebanon; he's there once again tonight getting Israeli reaction -- John.

JOHN ROBERTS, CNN SR. NAT'L CORRESPONDENT: Good evening to you, Wolf. Don't want to sound too optimistic here but it's possible, just possible, that we could be within the last 48 hours of this ground and air campaign and the Israelis are milking it for all its worth. It's a little quiet right now but over the last hour we've heard intense artillery fire, mortar fire, machine gunfire, and the Israeli Air Force dropping what would appear to be larger than the typical 500- pound bombs that they've been using on most of these Hezbollah targets.

We see the flash in the valley far off, and then you can hear the concussive wave rolling across the valley until it gets to us in a very large sort of whopping sound that actually shakes the building where our base of operations is. It's clear that the Israelis are going to take whatever time they have left to put as much pressure on Hezbollah as they possibly can.

(BEGIN VIDEOTAPE) ROBERTS (voice-over): Israeli armor rolls toward the border, part of a bigger push into Lebanon with the order now given buy Israeli political leaders to expand the ground war. Whether through force or diplomacy, Israel is determined to remove the threat from Hezbollah firing Katyusha rockets at towns and villages.

More than 120 fell today, many of them on the border town of Kiryat Shmona. We spent part of the afternoon with the fire department there chasing Katyushas as they rained down almost constantly.

(on camera): We've been waiting at this fire station for about a half-hour now, the firefighters say they had some intelligence that Hezbollah was going to fire Katyusha rockets at about 2:00. It's now five minutes of 2:00 and the air raid sirens have just gone off.

UNIDENTIFIED MALE: (INAUDIBLE) and Hezbollah is sitting on the border. They make war with us.

ROBERTS (voice-over): The firefighters wait for the first volley to come in. Within moments it's time to go.

UNIDENTIFIED MALE: (INAUDIBLE)

ROBERTS (on camera): Two Katyushas coming in.

UNIDENTIFIED MALE: Yes.

ROBERTS (voice-over): Reports of a house on fire they race to their truck, speeding through the streets under continual threat of another attack. They arrive at the scent to find smoke billowing from the home.

(on camera): This latest volley of Hezbollah Katyusha rockets shows just how random they are. The first one landed harmlessly in a field, the second one made a direct hit on this house at the edge of a neighborhood. As you can see, it's literally torn the entire backside of the house apart.

(voice-over): There were no injuries here, no one was home. Kiryat Shmona is almost a ghost town, and no wonder. The firefighters had not even cleared the scene when the air raid sirens wailed again.

(SOUNDS)

UNIDENTIFIED MALE: Very, very, very difficult.

UNIDENTIFIED MALE: All the people here are running, running from (INAUDIBLE).

(SOUNDS)

ROBERTS: And running from the rockets.

UNIDENTIFIED MALE: Yes, there's a shelter here.

UNIDENTIFIED MALE: Let's get in it.

ROBERTS: Another air raid siren drives us from our vehicle to shelter in a hardened bunker nearby.

(on camera): We were just leaving Kiryat Shmona when the air raid siren went off again so we thought that it would be best to take cover. In this area so many rockets have come in that it's just not worth taking a chance. They can land literally anywhere.

(voice-over): And it wasn't just us seeking cover. Moments later the fire captain ducked inside. The Israelis fire back with rockets of their own, then the air raid sirens sounds again four times in a half-hour.

(SOUNDS)

ROBERTS: It's just another typical day for these emergency workers dodging rockets, dousing fires. It is stressful work, and it shows in the anger firefighters have for Hezbollah leader Hassan Nasrallah.

UNIDENTIFIED MALE: Nasrallah is a very stupid man because he make war about nothing, nothing.

(END VIDEOTAPE)

ROBERTS: And Wolf, that's the way it's been for the past week. It seems the closer that they get to a settlement, the cessation of hostilities, the more intense the fighting gets on both sides, and I can hear behind me now Israeli tanks and armored vehicles going across the border to pick up the fight to take it to yet another level of intensity -- Wolf.

BLITZER: John, the U.N. Security Council getting ready to pass this new resolution that's designed to end this war, but practically speaking what's been the Israeli reaction so far? What do we expect to see in the coming hours of the next few days?

ROBERTS: Israeli Prime Minister Ehud Olmert has said that he's going to recommend to his Cabinet, to his security Cabinet that they agree to the resolution, that they adopt the resolution, and the conditions set within which would mean a cessation of hostilities. However, Wolf, he's not going to do that until the next Israeli Cabinet meeting on Sunday. Don't forget it's the Sabbath right now, it's shabbath, and they don't typically do a lot of business on Saturday. Though that doesn't go for the Israeli army, which is doing an awful lot of business on Saturday.

That means that the Israeli army will have at least another 24 hours, perhaps 48 hours to try to clear out those Hezbollah positions to get as many of those rocket in placements as they can, but I have to tell you, Wolf, this ground and air campaign has been so ineffective at hitting those Katyusha rocket launch sites I don't know what that additional time is going to do for them.

BLITZER: John Roberts, thank you very much for that. John, we're going to be getting back to you.

I want to go to Lebanon right now, an attempt to flee the fighting in southern Lebanon apparently turned deadly today for at least four people. Lebanese security sources accuse Israel of bombing an army convoy that had been joined by hundreds of civilians.

CNN's Michael Ware is joining us now on the phone from southern Lebanon. But first I want to -- before we go to Michael Ware, let's listen to Kofi Annan briefly right now at the Security Council.

KOFI ANNAN, U.N. SECRETARY-GENERAL: I've been calling repeatedly for an immediate cessation of hostilities for the sake of the civilian population on both sides who have suffered such terrible, unnecessary pain and loss. All members of this council must be aware that this inability to act sooner has badly shaken the world's fate in this authority and integrity. Since 12 July when Hezbollah launched an unprovoked attack on Israel killing eight Israeli soldiers and kidnapping two, both Lebanon and Israel have been thrown back into the turmoil of war, death, and destruction.

According to the Lebanese government, over 1,000 Lebanese have been killed and over 3,600 injured. Around a quarter of all Lebanon's inhabitants, close to a million people have been displaced. Too many of the victims have been children. In fact, more children than fighters have died in this conflict. Israeli bombing tens of thousands of homes to rubble, it has also destroyed dozens of bridges and roads with the result that more than 100,000 people cannot reach safety nor can relief supplies reach them. Such devastation...

BLITZER: Kofi Annan, the United Nations secretary-general, addressing a critically important meeting of the U.N. Security Council, we're going to be going back throughout this hour to this meeting. It's expected to wind up with a new Security Council resolution designed to end this war once and for all.

But if this war is going to end, it is not -- it has not ended yet. In fact the fighting and the killing continues right now. Let's bring in Michael Ware, our reporter; he's joining us on the phone. Michael, you were there, you eye witnessed a dramatic development today, a very poignant scene involving a convoy, a lot of cars trying to flee the fighting. What happened?

MICHAEL WARE, CNN CORRESPONDENT (via phone): Well, Wolf, these were civilians being let out by the Lebanese army from one of the hottest battle zones we've seen so far in southern Lebanon, a township known as Marajyoun. They had -- the Lebanese government had asked the U.N. to broker safe passage for this convoy to leave the free fire zone in the country south. According to the U.N. and Lebanese government officials this was agreed to.

After several delays 1,500 civilian vehicles, according to the Lebanese Red Cross, were led out by an attachment of the Lebanese army. Around dusk they reached the safer zones here in southern Lebanon, and they continued north, but there were many logjams and traffic jams and choke points, so many of the cars started breaking off and making their own way. One of these elements, according to Lebanese security sources, came up the road that are now sheltering nearby.

As it was approaching the town of Kasyr (ph), it was struck by an Israeli air strike of some kind. We now have Lebanese security sources or security officials telling us there were four killed and as many as 18 wounded. Among those were seven Lebanese soldiers. Looking at the scene it's one of absolute devastation, Wolf. It's clear that the first strike was on the lead military vehicles as they approached the Lebanese army checkpoint.

What then appears to have happened is many of the civilians in the rear have turned their vehicles around in a u-turn to speed away from the explosions, and they had been hit by another air strike. So here it appears on the ground from what officials are telling us that some of these civilians who are under Lebanese army escort during a U.N. brokered safe passage to escape the fighting have been hit by an air strike -- Wolf.

BLITZER: We're going to continue to watch this story with you. Michael Ware reporting from the scene for us. Let's head a little bit further north to Beirut right now. CNN's Jim Clancy is watching all of these dramatic developments unfold.

Has there been official reaction yet, Jim Clancy, from the Lebanese government, to this new U.S. sponsored British sponsored, French sponsored Security Council resolution?

JIM CLANCY, CNN CORRESPONDENT: Not directly, Wolf, but indirectly through the senior adviser to Prime Minister Fouad Siniora, Mohamad Chatah, who a short time ago told CNN that he believes the government will absolutely support this. Of course, you have to remember this is not a war between Israel and the Lebanese government. This is a war between Israel and Hezbollah. There are two Cabinet ministers with Hezbollah in the government; Mohamad Chatah was asked would they go along. Here's how he replied.

(BEGIN VIDEO CLIP)

MOHAMAD CHATAH, SENIOR ADVISER TO LEBANESE P.M.: I can't speak for any minister. They'll speak tomorrow. But I believe the Lebanese people look at this with any reservations they have and see some positives, and they're going to move on and end this war and make this country whole again and provide for security for our people.

(END VIDEO CLIP)

CLANCY: As we look at the situation tonight for the last month we have had -- heard Israeli officials say it is all about Israel's security. We have heard Hezbollah say it is all about Lebanon's land. The reality has been that this conflict more than any one that I can remember has taken it out on civilians on both sides. To that end I talked to Human Rights Watch today.

They say that some of the Israeli actions that have been taken during the last month amount to war crimes. They said the missiles fired indiscriminately at civilian targets in Israel unequivocally are war crimes, and they want to see them prosecuted. Lebanese attorneys, a member of the Human Rights Committee in the parliament here, said that he is going to push for Lebanon to take this to the international criminal court cases against Israel.

At the same time he does that, he makes Lebanese liable, susceptible to prosecution for those same war crimes. Will that leave Hezbollah military or political leaders vulnerable? We're going to find out. One very important key here, Wolf, and that is Israel is saying that it's going to continue to push ahead in Lebanon, continue to carry on the fight until the Cabinet approves this, until this measure is approved by the Cabinet or the Knesset on Sunday. The problem with that is if Beirut gets hit again, it's going to undermine a lot of Lebanese support for this U.N. cease-fire -- back to you.

BLITZER: All right, Jim, stand by. We're going to be coming back to you, Jim Clancy in Beirut for us.

Coming up, we're watching the United Nations Security Council meeting. It's under way right now. We're waiting for a vote. It's likely to come up this hour. This is a critical decision. It could potentially end this war here in the Middle East now in its second month.

Also coming up, my interview with the Secretary of State Condoleezza Rice. I'll ask her about all these late breaking developments in this Middle East crisis.

And significant new developments in the alleged airline terror plot. We're going to go live to London for the latest on the investigation and possible links to al Qaeda.

Plus, we'll show you the new scanner that shows airport screeners everything. How much privacy are you willing to give up?

Live from Jerusalem, you're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: Potentially historic meeting underway right now at the United Nations Security Council in New York. Kofi Annan, the U.N. secretary-general, addressing the body right now trying to set the stage for passage of a new U.N. Security Council resolution that's designed to end this month-long war between Israel and Hezbollah. The Israeli government, the Lebanese government strongly indicating they will go along and support this resolution. Key question -- how far will Hezbollah go in working to cooperate in ending the fighting? These are questions that have to be answered. We're watching the U.N. Security Council session unfold. We'll watch the debate. We'll watch the vote. That's coming up.

In the meantime, the president of the United States spoke with the Israeli Prime Minister Ehud Olmert just a little while ago. This is the first time they've spoken directly since the start of this war. Let's go to Crawford, Texas. Our White House correspondent Suzanne Malveaux has details -- Suzanne.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, Wolf, we're told it was a very brief conversation between the two leaders. It lasted about eight minutes or so. It was Olmert who initiated the call, he made that call about 4:50 Eastern Time to the Crawford ranch. Now it may have been really brief, but it is important symbolically, hugely important because these two leaders have not spoken since the beginning of this crisis erupted some -- nearly a month ago.

Now Frederick Jones (ph), the spokesman for the NSC, described the conversation this way, saying that essentially Olmert thanked Mr. Bush for the work that he'd done on the U.N. Security Council draft resolution for the Lebanese crisis. That the president expressed his view that the crisis had been provoked by Hezbollah supported by Iran and Syria and that also reiterated the point that it is we as in the international community that needs to ensure that the reach of the Lebanese government extends throughout the country.

Now, Wolf, of course, the back-story here is, is that there's no accident these two leaders have not spoken in some 30 days, very deliberate here. The United States has been saying that Israel has a right to defend itself, but there was a lot of concern over the perception that the U.S. was colluding with the Israeli government, so they decided these two leaders, it would not be appropriate for them to speak until the appropriate time. That, of course, when there was a resolution that was approved when it looked like Israel was on board, and, of course, Wolf, that time has come.

BLITZER: Suzanne Malveaux in Crawford, Texas where the president is vacationing. Thanks very much, Suzanne, for that.

Let's get some more now on the fighting and the diplomatic moves to try to end this war. Our chief international correspondent Christiane Amanpour joining us now from London. I know, Christiane, you've been looking into some of the developments, some of the steps that have resulted in this new draft U.N. Security Council resolution, which is about to be voted on.

CHRISTIANE AMANPOUR, CNN CHIEF INT'L CORRESPONDENT: That's right. And if this resolution is voted on and does indeed pass and does start the end of this war, it will be interesting to note the date. Exactly three weeks ago from northern Israel, having spoken to diplomatic sources who are involved and knew a lot about the diplomatic negotiations, they had predicted then and we reported then that within three weeks it was estimated that there would be a cease- fire resolution.

We were told even then despite negotiations that were going on in the early days and weeks of this war that nobody, quote, "expected a cease-fire tomorrow." We know very well and many people believe around the world and indeed many U.S. officials, present and former, that the United States essentially gave a green light to Israel's war and that it was deemed a way to try to disarm and defying Hezbollah. So this is one of the issues, according to diplomats, that it was very difficult to get an early cease-fire, despite the fact that the Lebanese government wanted it and called for it many, many times.

So now it seems that they have certainly been spurred by the intervening weeks, the last several weeks of high casualties on the Lebanese side, the Katyusha rockets still raining down on the Israeli side, and now they are presumably going to be talking also about the makeup and the mandate and the mission of a future international force. We were told also as I look back in my notes by the Israeli military commanders early on that their aim was number one to stop the shooting into Israel, but, number two, to disarm and to, quote, "separate Hezbollah from its ammunition and its weaponry."

It is not clear that that is going to be achieved. Potentially according to the resolution they're going to move them back a certain buffer zone, but it's not clear at all whether Hezbollah will in fact be disarmed, but if there is a move by the Lebanese government, by the army and other international forces into what amounts to a buffer zone that will be considered major progress -- Wolf.

BLITZER: Still many, many problems, many pit falls. This whole thing could clearly unravel. We're watching it very closely together with you. Christiane Amanpour in London. Thank you.

And still to come tonight here in THE SITUATION ROOM the United Nations on the verge of an historic Middle East breakthrough. Will it happen? I'll speak about it with the Secretary of State Condoleezza Rice. She's at the U.N., so join us in THE SITUATION ROOM and we'll be right back.

(COMMERCIAL BREAK)

BLITZER: To our viewers, you're in THE SITUATION ROOM where new pictures and information are arriving all the time. Happening now, breaking news at the United Nations in New York. A life and death vote in the U.N. Security Council. Any minute now members expected to approve a revised plan to end a month of bitter warfare between Israel and Hezbollah.

Officials in Israel and Lebanon are giving indications tonight their countries will, will accept the terms of the deal. No official word yet from Hezbollah. Tonight, though, Israel preparing at the same time for a massive invasion if, if diplomacy would fail, and there's new bloodshed in the combat zone. Lebanese security sources says Israeli air strikes hit an army convoy that had been joined buy hundreds of civilians trying to flee the fighting. At least four civilians reportedly were killed in that incident.

Also tonight, one of the suspects arrested in the foiled alleged airline terror plot has been released. British authorities aren't saying why. The names of 19 suspects were identified today, and the Bank of Britain froze their accounts.

I'm Wolf Blitzer in Jerusalem. You're in THE SITUATION ROOM.

And the delegates, the members of the U.N. Security Council addressing the forum right now. We heard from Kofi Annan, the U.N. secretary-general, now the secretary of state of the United States, Condoleezza Rice speaking. Let's listen in.

CONDOLEEZZA RICE, SECRETARY OF STATE: First it puts in place a full cessation of hostilities. There is an insistence of an unconditional release of abducted Israeli soldiers. Hezbollah must immediately cease its attacks on Israel and Israel must halt its offensive military operations in Lebanon while reserving the right of any sovereign state to defend itself.

It is my understanding that the Lebanese Cabinet will vote on Saturday concerning this resolution and the government of Israel on Sunday, and as the secretary-general has just noted he will help the parties to establish a timeline for the implementation of this very important cessation of hostilities. In addition to respecting this resolution's call for a full cessation of hostilities, we believe that all parties should take action to protect civilians, as was called for in the four principles of the 1996 understanding.

We urge the governments of Lebanon and Israel to commit to ending large scale violence. And Hezbollah now faces a clear choice between war and peace and the world should help to ensure that the choice is the right one.

Second, this resolution will help the Democratic government of Lebanon to expand its sovereign authority, as called for in resolution 1559. It will do so by creating a new international force that builds on the current U.N. force in Lebanon, UNIFIL. Though it bears the same name, this is not the same force. It will be an enhanced UNIFIL. As the government of Lebanon has requested, this new force will have an expanded mandate, a greater scope of operations, better equipment, and much larger numbers. A target of 15,000 soldiers, a seven fold increase in its current strength.

The Lebanese armed forces, together with this new stabilization force, will deploy to the south of the country to protect the Lebanese people and to ensure that no armed groups like Hezbollah can threaten stability. As this deployment occurs, Israel will withdraw behind the blue line. Today's resolution makes clear that these are parallel processes, and it also calls for the opening of Lebanese harbors and airports, which we expect will be for verifiably civilian purposes.

With the deployment and withdrawal, a full cease-fire will go into effect. And the council has said that it intends to adopt another resolution with further measures to help that cease-fire become permanent. We also look forward to the secretary-general's proposals to fully implement resolutions 1559 and 1680, including the question of disarmament. To further strengthen Lebanon's democracy the international community will also impose a binding embargo on all weapons heading into this country, into that country, without the government's consent. And today we call upon every state, especially Iran and Syria, to respect the sovereignty of the Lebanese government and the will of the international community.

Finally this resolution clearly lays out the political principles to secure a lasting peace. No foreign forces, no weapons, and no authority in Lebanon other than that of the independent Lebanese government, which must have complete sovereignty over its entire country. These principles represent a long standing international consensus that was first expressed in U.N. resolution 425, then affirmed in the Taif Accords and reaffirmed in resolutions 1559 and 1680. On July 16, the G-8 leaders endorsed the same political conditions in St. Petersburg and ten days later the Lebanon Core Group supported these principles in the Rome conference.

This resolution also offers a way forward to implement resolution 1680, which addresses the delineation of the Lebanese border, including the Shebaa farms. We must ensure that Israel's security and respect the underlying framework to achieve a comprehensive and just and lasting peace in the region, in accordance with U.N. resolution 424.

Fellow council members, today in no way marks the end of our common efforts. In many respects the hard work of diplomacy is only just beginning. In many respects though it is our hope that this resolution will lead to the cessation of large scale hostilities, no one can expect an immediate end to all acts of violence. The conditions of a lasting peace must be nurtured over time with the goodwill of the Lebanese and Israeli governments and with the sustained commitment of the international community that we have undertaken here.

Our most pressing challenge now is to help thousands of displaced people within Lebanon to return to their homes and rebuild their lives. The reconstruction of Lebanon will be led by the government of Lebanon but it will demand the generosity of the entire international community. For our part the United States will continue working with the governments of Lebanon and Israel to ease the suffering of the Lebanese people and let me join the secretary-general in applauding the extraordinary work of humanitarian workers, who at great risk to themselves, and U.N. workers, who at great risk to themselves, have taken up the cause of suffering people during this turbulent time.

The United States has already committed substantial resources to the humanitarian efforts in Lebanon and Israel and in the critical days and weeks following a cessation of hostilities we plan to do even more, beginning now by increasing our immediate assistance to Lebanon to $50 million. The United States will coordinate closely with other major donors, with the international financial institutions, and with all who are committed to Lebanon's future. We will also encourage the active involvement of the private sector in Lebanon's reconstruction.

Through our common efforts we must help the people of Lebanon to emerge from this conflict more prosperous and stronger than ever. Fellow council members, the past month has been marked by overwhelming suffering and heartache and loss both in Lebanon and in Israel. And this resolution is refreshingly clear that this tragedy began six years after Israel withdrew completely from Lebanon and Hezbollah crossed an international boundary, captured and killed Israeli soldiers, and began firing thousands of rockets into Israeli cities.

Hezbollah and its sponsors have brought devastation upon the people of Lebanon, dragging them into a war that they did not choose and exploiting them as human shields. The people of the Middle East have lived too long at the mercy of extremists. It is time to build a more hopeful future. This resolution shows us the way. It is now the solemn responsibility of the international community to help the people of Lebanon and the people of Israel to transform this tragedy into opportunity. An opportunity to overcome old patterns of violence and to build a new foundation for stable, sustainable, and comprehensive peace.

We have embarked upon an ambitious course, yet it is the right course. It is the only realistic and effective course, and we must see it through. For it is the only way to help the people of Lebanon, the people of Israel, and the people of the Middle East secure the lasting peace they both desire and that they deserve. Thank you very much.

UNIDENTIFIED MALE: I thank her excellency Dr. Condoleezza Rice for her statement.

BLITZER: All right, the Secretary of State of the United States Condoleezza Rice making the U.S. case, why she supports this draft resolution, the United States and France working hard now for several weeks to come up with this text. The text now apparently acceptable to the Israeli government and to the Lebanese government. We'll see how Hezbollah responds in the course of the next several hours and days.

John Roberts is our reporter. He's been covering this war from along the border between Israel and Lebanon. John, practically speaking, what do we expect the Israeli cabinet is probably going to accept this Security Council resolution on Sunday, but what happens between now and then?

ROBERTS: Between now and then, Wolf, I can tell you, from my vantage point here, there is no cessation of anything. In fact, if anything there is an intensification. We still hear artillery shells going out, raining into southern Lebanon, still the sound of machine gunfire echoing off the hills, mortars not far behind us and about an hour ago the Israeli Air Force dropped four very large bombs that, even though they hit about a mile away, shook this building, rattled all the windows, and shattered a bunch of nerves here.

So the Israelis seem to be trying to get in their last licks. And history would show as well, Wolf, that any time the diplomatic track is accelerating toward a political or diplomatic settlement, the militaries on both sides fire up their fury, trying to gain as much advantage as they possibly can. Now, the goal of Israel, according to military officials that I've talked to, is to try to knock out as many of those Katyusha rocket launch sites as possible. But, despite all of the air power, despite all of the bombings, despite the ground incursions, Hezbollah still fired more than 140 rockets into Israel today. So that campaign has proven very ineffective.

So the end game for Israel may simply be to try to gain as much ground as possible, to try to degrade Hezbollah's infrastructure, holding on long enough for there to be some sort of settlement at the United Nations that it can live with, some sort of settlement that it believes will provide security along the border. But the war is going to continue to rage here in southern Lebanon. More troops are coming across the border from northern Israel. Don't forget Ehud Olmert, the Israeli prime minister, said go ahead with that expanded ground campaign, and we saw the results of that. That order is not on hold, it's now in effect, but it looks like it will only be in effect for some 48 hours, if indeed they do agree to this U.N. resolution at the Security Cabinet meeting on Sunday Wolf.

BLITZER: And you've been her now for the past several weeks, John. You know how controversial this war has become in Israel. You've seen the latest poll numbers. Ehud Olmert, going in to this cabinet meeting on Sunday, has told President Bush he'll support it, he'll recommend the cabinet approves it, but there are serious political pitfalls for this Israeli leader.

ROBERTS: Yes, if it doesn't work out, if the Lebanese government cannot provide the type of security that Israel wants, if the UNIFIL, the expanded UNIFIL force that comes in is as toothless as the last one -- and there are indications that it may be, Wolf, because this resolution for the expansion of UNIFIL is being adopted.

It's a rather Byzantine and arcane process, but it's being adopted under Chapter 6 of the United Nations Charter as opposed to Chapter 7, which means that the United Nations cannot intervene when one side or the other abrogates the agreement.

So there may be some calls here in Israel, if things do not work out, as to what was this all about. Why didn't they go in on the ground in much stronger numbers right at the beginning, why did they ramp up so slowly, why did they rely so much on air power which has resulted in all of those terrible images of Lebanese civilians dying, collateral damage in these attacks?

People may be very upset at the way that this war was prosecuted if the diplomatic settlement does not work out to Israel's satisfaction, Wolf.

BLITZER: And, John, even in the last few moments, as the diplomats at the United Nations Security Council talk about a cease- fire resolution, a cessation of hostilities, we hear sounds of hostilities right behind you, more artillery shells presumably going out of Israel toward southern Lebanon.

ROBERTS: Well, hopefully they're going out of Israel because if they're coming from southern Lebanon into Israel, I'm getting out of where I am, Wolf, but that's the way that we read it right now. You hear the boom, and then you hear what almost sounds like an airplane flying by low as the shell whips over your head.

So far there has been no incoming fire from the Lebanese side. A Katyusha rocket did fall not too far from us, but that was yesterday. We got the odd mortar barrage in the last week, but since this major push began, the northern tip of the Galilee Peninsula, there has been no incoming fire in our area from the Lebanese side, though they do continue to fire rockets into Kiryat Shmona.

We spent part of the day there today with the fire department. A number of rockets came in, more than 140 again fired from the Lebanese side into northern Israel today, so Hezbollah is still proving it has the ability to harass and terrorize northern Israel despite everything that has been going on on the ground for a month now.

BLITZER: John Roberts reporting for us and doing excellent work as he always does. Thank you, John, very much.

Just ahead, we're continuing to watch the United Nations Security Council, a vote coming up any moment now, a vote in support of this U.S.-French draft resolution. We'll also hear directly from Condoleezza Rice, the secretary of state.

And other news we're following including liquid terror, the men behind the alleged plot to blow up British and U.S. airliners. We're tracking leads around the world to find out if there's a hard al Qaeda connection.

Live from Jerusalem, you're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: The "Bottom Line" on the markets, a down day for the Dow, NASDAQ and the S&P. All three indices are also down for the week.

Welcome back. We're here in THE SITUATION ROOM. We're watching all the breaking news. It's happening at the United Nations Security Council right now, members discussing, debating a U.N. Security Council resolution designed to end this war between Israel and Hezbollah. A vote expected very, very soon.

Richard Roth, our senior U.N. correspondent is on the scene once again for us. Richard, update our viewers.

ROTH: Wolf, right now, Qatar is speaking inside the Security Council, but the Security Council remains posed for a vote. Secretary of State spoke, Secretary-General Annan spoke.

Probably the most interesting speech so far, the remarks the remarks by Secretary-General Annan who blistered the members of the Council for a resolution, he said, that came none too quickly. He expressed his profound disappointment that it took so long to come up with this resolution.

Annan's job is now to talk to Lebanon, talk to Israel, and find out their acceptance of this resolution and then start the process of beefing up the u.n. peacekeeping force under this resolution to go from the existing 2,000 men maybe as high as 15,000 men to work together with Lebanese government soldiers in policing southern Lebanon.

Each side, Lebanon and Israel, didn't get exactly what they wanted, all of it, and Secretary Rice made the point earlier, not everybody was going to get it, but eventually a compromise has been reached, the language is acceptable to all, a euphoric mood of sorts here on a Friday night in New York at the Security Council that they have finally agreed, at least, on a resolution. The vote pending, about five or six more speakers tonight -- Wolf.

BLITZER: Richard Roth, thank you very much for that. Richard Roth, our senior U.N. correspondent.

And earlier, just before this U.N. Security Council convened, the secretary of state, Condoleezza Rice, sat down with me.

(BEGIN VIDEOTAPE)

BLITZER: Let's get the official position of the United States government. And for that, we're speaking with the secretary of state, Condoleezza Rice. She's joining us from New York.

Madam Secretary, thanks very much. We just heard the Israeli government spokesman, Ambassador Gideon Meir, saying that Prime Minister Ehud Olmert will recommend to his cabinet on Sunday when they convene that Israel accept this U.N. Security Council resolution. Are you getting any official or unofficial word yet from the government of Lebanon?

RICE: We have heard from the government of Lebanon that they also believe that this is a resolution that can serve their interests. In fact, the interests of both the Israelis and the Lebanese now is to end the large-scale violence and to begin to lay a foundation for peace.

And I believe that you'll see both governments accept this. They have to go through a cabinet meeting as well. The Israelis have said they have to have a cabinet meeting. So do the Lebanese, but I would expect that we're going to have acceptance of this resolution by both governments, once it's voted in the U.N., which should happen tonight.

BLITZER: Well, what about Hezbollah? Is there any indication that this group that you characterize as a terror group will go ahead and play ball, will cooperate?

RICE: Well, let's remember that the parties to this cessation of hostilities will be Lebanese government and government of Israel. Hezbollah, of course, has ministers in the Lebanese cabinet, and we've been working with the government of Lebanon, and assuming that the government of Lebanon is making sure that all parties represented in its government will abide by the cease-fire.

But let's remember that we have a democratically-elected government of Lebanon whose territory is at issue here, and the democratically-elected government of Israel whose territory is at issue here. And when they accept this, we expect that there's going to be adherence to the cessation.

BLITZER: Will this new U.N. presence -- an expanded version of UNIFIL, the United Nations Interim Force in Lebanon, presumably a lot of French troops, other European troops come in -- will they have the authority to go out and aggressively disarm Hezbollah, take away their rockets, and prevent Hezbollah from getting new rockets coming in from Syria?

RICE: Well, Wolf, it has not ever been the expectation that the disarmament of Hezbollah is going to be undertaken by a foreign force. The obligation to disarm Hezbollah under Taif and under Resolution 1559 is an obligation of the Lebanese government. They will receive whatever assistance they need. But let's remember that this force has, first and foremost, an obligation not to allow a return to the status quo ante, which means that armed groups, arms cannot operate again in the south of Lebanon. It means that the border area between Lebanon and Israel has to be secure.

And, in fact, at the request of government of Lebanon, there will also be a need to make sure that arms cannot enter the country illegally, because one of the problems that has been there is that you've had arms entering illegally that are not going to the armed forces of Lebanon, but to unauthorized armed groups.

So this force has a big mandate, it has a robust mandate, it has a mandate that will allow it to defend itself and to defend that mandate, but it's never been the expectation that this force is going to disarm Hezbollah. That will have to be done by the Lebanese.

(END VIDEOTAPE)

BLITZER: The Secretary of State Condoleezza Rice speaking with me from New York just a little while ago, just before this United Nations Security Council session convened, and we're standing by for a final vote. The resolution expected to pass momentarily. We'll stand by and bring that to you.

There's another important story we've been following. We're learning fresh details about the alleged death wish of would-be terrorists. It concerns the alleged plot to blow up airplanes that was foiled by British please. CNN's Deborah Feyerick is joining us in London momentarily, but let's go to Deb in a second, but let's go back to the Security Council. They're about to vote. Let's watch this.

UNIDENTIFIED MALE: The result of the voting is as follows. The draft resolution received 15 votes in favor. The draft resolution has been adopted unanimously as Resolution 1701/2006.

BLITZER: And there you have it, the current president of the U.N. Security Council, the ambassador from Ghana, making the announcement, a unanimous vote in the U.N. Security Council, 15 in favor, zero against. It's not often that the United Nations Security Council passes such a unanimous resolution.

Resolution 1701. It will go down, Richard Roth, our senior U.N. correspondent, it will go down in history as an important resolution. Let's see if it has -- if it works out a little bit better than U.N. Security Council Resolution 1559, which passed two years ago and included many of the same ingredients.

ROTH: And Kofi Annan, the U.N. secretary-general, said, quote, "I've just had a terrible lesson in allowing problems to fester," referring to that resolution and other issues. Secretary-General Annan was profoundly disappointed, he said, in the council taking so long to come to a vote. But it's 15 to nothing, and now a lot more hard work has to happen. And in talking to the parties to make sure that they're ready to accept it and to go about putting this operationally together on the ground, all of the expanded U.N. forces and making sure Israel withdraws, and the southern Lebanese area includes 15,000 troops from Lebanon.

So the diplomacy may have kicked in, but as Annan said, don't forget to give us the proper equipment for the expanded UNIFIL force and the money with which to do it, a frequent lament of the top diplomat and a former peacekeeping director, Kofi Annan -- Wolf.

BLITZER: I just want to be precise with our viewers, Richard. A week ago, when the United States and France came out with their earlier draft resolution, which over the course of this last week was revised in part because of opposition from the government of Lebanon, it was supposed to be followed up by a second U.N. Security Council resolution, giving new authority to a United Nations international stabilization force. I take it the need for a second resolution now has gone away because this UNIFIL, this existing force, is simply going to be beefed up, and there's not going to be a need for a new second resolution? Is that right?

ROTH: Well, as the French foreign minister put it, there will be a need for a second resolution regarding the official cease-fire, following the word whether the parties have accepted it, plus laying out much more of a political framework. But the troops were all thrown into the first resolution here, not a second resolution needed, as you mentioned, down the road. They'll be -- it's the U.N. and no special multinational force, which Lebanon opposed, Israel didn't want. UNIFIL instead got a more robust mandate under this resolution, but Israel will certainly see what happens -- what happens on the ground first. They'll cautiously receive this resolution.

BLITZER: And is the business of the U.N. Security Council effectively as far as this cease-fire, the cessation of hostilities, is it over with for now?

ROTH: Well, it's over with for the present time, but if there is to be that second resolution, they may formally declare a cease-fire. I mean, as we know, with North Korea, there was never really any official peace treaty after that. Kofi Annan saying over the weekend he's going to undertake to establish with both parties the exact date and time in which the cessation of hostilities will come into effect. Israel has still not been told to curtail offensive operations. That was in the original draft. It's still in there. Only to curtail offensive, but not defensive.

BLITZER: Resolution 1701, U.N. Security Council Resolution 1701 now has passed unanimously, 15 to nothing, calling for the cessation of hostilities. We expect the government of Lebanon to accept it on Saturday, the government of Israel to accept it on Sunday, and we'll see what happens next.

Richard, thank you very much.

Let's go back to CNN's Deborah Feyerick. She's following this other important story we're following, namely the terror plot that was broken yesterday. What's the latest, Deb?

DEBORAH FEYERICK, CNN CORRESPONDENT: Well, Wolf, British authorities have now released one of the people who they picked up in yesterday's anti-terror operation. They will not say why, they will not say who it is, but they do say it is not unusual.

The other 23, however, do remain in custody for further questioning for this investigation, pending possible charges.

As for authorities and the evidence? Well, they're gathering it furiously.

(BEGIN VIDEOTAPE)

FEYERICK (voice-over): With key suspects believed to be in custody, British investigators set about poring over bank accounts trying to find the money trail. At least one wire transfer originating from Pakistan, sources say.

JOHN REID, BRITISH HOME MINISTER: We will continue to maintain our vigilance at the highest level.

FEYERICK: The Bank of England froze financial assets of 19 of those arrested, releasing their names as required by law. Suspects are between 17 and 35 years old. Many of them British of Pakistani descent.

U.S. officials tell CNN at least one of the suspects recently placed two phone calls to the United States. The calls were investigated, but at this time no American-based co-conspirators have been uncovered.

Meantime, in London and its outskirts, authorities continued searching homes, seizing key items like computers and laptops. A U.S. official tells CNN an analysis of hard drives reveals virtually every aspect of suspect's lives, including Web sites visited, items downloaded, and people contacted.

Authorities are seeking out friends, acquaintances, and anyone else who came in contact with the alleged terrorists.

Crime and justice minister John Reid...

REID: Any further evidence takes us, we will take whatever further action is necessary, we will apprehend anyone else who appears to be linked or connected to this.

FEYERICK: The suspects are accused of plotting to blow up 10 jetliners in a coordinated, almost simultaneous attack.

Glenmore Trenear-Harvey spent 40 years in British security. Had the planes exploded over the water, he says, it's likely all evidence would have been wiped out and lost to investigators.

GLENMORE TRENEAR-HARVEY, INTELLIGENCE ANALYST: When they'd pick up the pieces, there will be no indication of what caused the explosion. That would have enabled them to repeat this operation time and time again.

FEYERICK: Trenear-Harvey says with U.S. and British policies so closely aligned in Iraq, Afghanistan and Lebanon, the accused terrorists may have been trying to strike both countries in one blow.

TRENEAR-HARVEY: Because the United States is the leader in the global war in terrorism, it also becomes the prime target.

FEYERICK (on camera): So it really just sends a message that these two countries are in it together and they will be attacked as one?

TRENEAR-HARVEY: Very much so.

(END VIDEOTAPE)

FEYERICK: Now, officials do not want to jeopardize the investigation, and that is why they're releasing no other evidence, specifically whether they have found any bomb components -- Wolf.

BLITZER: Deb Feyerick, thanks very much. I'll see you Sunday. We'll be live from Jerusalem on "Late Edition." Among my guests, Secretary of Homeland Security Michael Chertoff. 11:00 Eastern, Sunday morning.

Let's go to New York. Paula Zahn standing by -- Paula.

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