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CNN Live Sunday

White House Still Says Arafat Needs to Go

Aired June 30, 2002 - 17:05   ET

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

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: The Bush administration is saying Secretary of State Colin Powell may have had his last meeting with Palestinian leader Yasser Arafat. The White House is standing by its position that Arafat needs to go, although it isn't getting support on that from other industrial nations in the Group of Eight.

More now from CNN's Suzanne Malveaux.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN CORRESPONDENT (voice-over): Continued turmoil in the Middle East, a bomb reportedly planted by Palestinian militants explodes on a train track in central Israel. President Bush back at the White House after a routine medical procedure, briefed on the trouble abroad. Administration officials all on message -- Middle East peace requires cutting off Palestinian leader Yasser Arafat.

COLIN POWELL, SECRETARY OF STATE: I have no plans to meet with him and I don't want to speculate about the future, but normally I can't imagine.

MALVEAUX: Problem's Middle East peace initiative requires not only Palestinian reform, but newly elected Palestinian leadership, U.S. money and political support tied to new faces, a reminder that if Arafat is reelected in January, there will be financial consequences.

CONDOLEEZZA RICE, NATIONAL SECURITY ADVISER: I don't think that anyone wants to continue to give assistance to a leadership where we don't know what's happening to the money.

MALVEAUX: But Mr. Arafat is offering to meet President Bush about resuming talks with the Israelis. The two have never met face to face. At an international policy conference, Arafat pledges, "I say before you that I am ready, anywhere you choose, for us to sit with them and resume negotiations."

The Palestinian leadership demanding the U.S. deal with its elected leader.

SAEB ERAKAT, CHIEF PALESTINIAN NEGOTIATOR: The alternative to President Arafat, the elected leader of the Palestinians today and the way the Americans are handling him is chaos, anarchy, more violence.

MALVEAUX: Now, some members of Congress questioning the wisdom of cutting Arafat off.

SEN. CHUCK HAGEL (R-NE), FOREIGN RELATIONS COMMITTEE: The issue should be not Yasser Arafat, whether you think he's a terrorist or not. That's rhetorical sword play. He is part of this process. The process should be the issue.

MALVEAUX (on camera): Some of the U.S.' closest allies -- Britain, Russia, and even the United Nations -- have expressed concern that isolating Arafat may backfire, leading Palestinians to elect a more radical leader.

Suzanne Malveaux, CNN, the White House.

(END VIDEOTAPE)

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