HIGHLIGHTS: Hassan Yousef, Leader of Hamas' Political Wing in the West Bank Has Long Been on Israel's So-called 'Wanted List'||U.S. Envoy Meets Palestinian, European Officials, Arafat Sidelined||Israel's 'Get Tough' Policy in Reoccupied West Bank Cities Shows no Signs of Abating|| STORY: Israeli soldiers arrested a leading member of the militant Hamas group at his hideout Saturday in the West Bank town of Ramallah.

Blindfolded and clutching a bottle of water, Hasan Yousef was led into an Israeli military vehicle after being taken from a house he had used as a hideout in the city center.

The Israeli occupation army said it could not immediately comment because the operation was ongoing.

Yousef is the leader of Hamas' political wing in the West Bank and has long been wanted by Israel.

Hamas has claimed responsibility for scores of suicide bombings that have killed hundreds of Israelis in the nearly two-year conflict.

U.S. ENVOY MEETS PALESTINIAN, EUROPEAN OFFICIALS

Palestinian and European officials met U.S. Deputy Assistant Secretary of State David Satterfield in the West Bank city of Ramallah on Saturday to discuss reforms and efforts to restore regional calm.

Satterfield, whose arrival in the Middle East in recent days is the first time in weeks a U.S. envoy has met Israeli and Palestinian officials, is holding a series of talks with both sides to restore calm shattered by 23 months of bloodshed.

He met Palestinian Interior Minister Abdel Razzak al-Yahya, and French Consul Demis Pietton, and was due to meet Nabil Shaath, Palestinian Minister of Planning and International Cooperation, and Russian envoy Andre Vdovin later in the day.

Palestinian President Yasser Arafat was also scheduled to meet Vdovin and Pietton separately in the morning.

Palestinian officials said Arafat was not scheduled to meet Satterfield. They did not give a reason, but Washington has since June publicly sidelined the Palestinian leader because of what they say is his failure to act against "terror."

The latest talks aim to strengthen a fragile security deal that Israelis and Palestinians struck last week, whereby Israel is to ease its military clampdown in the West Bank and Gaza in return for Palestinian security forces ensuring calm.

'GET TOUGH' POLICY SHOWS NO SIGNS OF ABATING

Despite warning by Palestinian Minister of the interior, Abdul Razaq Yahya, recent opinion polls show a majority of Palestinians approve of Resistance bombings in the 23-month-old Palestinian uprising against occupation.

That sentiment has intensified among Resistance activists after an Israeli attack in Gaza that killed four members of a Palestinian family on Thursday. The deaths led Israeli Defense Minister Binyamin Ben-Eliezer to express regret and order an army investigation,

Tensions flared on Friday when Israeli troops and Palestinian Resistance men exchanged fire during the day and evening in Jenin refugee camp, a Resistance bastion in the northern West Bank, and three Israeli occupation soldiers were wounded.

In the West Bank city of Tulkarm on Friday, the Resistance group al-Aqsa Martyrs Brigades shot dead an 18-year-old girl, Rajah Ibrahim, for "collaboration" with Israel, sources close to the group said.

Palestinian hospital officials said that Ribhi al-Siba'y, 36, died after being delayed at an army checkpoint near Ramallah on his way to hospital.

PHOTO CAPTION

Israeli soldiers guard arrested Palestinians in the West Bank town of Ramallah Saturday Aug. 31 , 2002. The Israeli army arrested Hassan Yousef, a leading member of the militant Hamas group at his hide-out in an army operation Saturday. (AP Photo Nasser Nasser)
- Aug 31 7:42 AM