Israel has transferred nearly 1,000 M-16 rifles to forces loyal to Palestinian President Mahmoud Abbas as part of moves to bolster the moderate leader against Hamas rivals, an Israeli newspaper reported yesterday.

Israel’s decision to allow shipment of the weapons from Jordan comes amid an increasingly violent power struggle between Abbas and the Islamic militant group, which formed the new Palestinian government in March after winning a parliamentary election.

The mass circulation Yedioth Ahronoth daily, which did not quote any officials, said shipment of about 950 of the American-made M-16s was completed in the past day.

Two trucks escorted by the Israeli army took 400 rifles to the West Bank city of Ramallah, where Abbas has his headquarters, it said. Another 550 guns were escorted to the Gaza Strip, Hamas’s stronghold, it added.

Israeli Prime Minister Ehud Olmert said on Tuesday he had approved a shipment of weapons and ammunition to bolster Abbas’s security forces. “I did this because we are running out of time and we need to help Abu Mazen,” Olmert had said, referring to Abbas by his nickname.

Palestinian officials and Western diplomats have said Jordan and Egypt would provide weapons, ammunition and training for Abbas’s presidential guard.

Western powers want to ensure Abbas emerges victorious in any power struggle with Hamas, which is formally committed to destroying Israel rather than creating a state alongside it.

<B>Sixteen month truce</B>

The Israel army said yesterday that Palestinian militant rocket fire from Gaza had dropped, just days after Israeli officials threatened leaders of the Hamas government.

The ruling Islamic militant group scrapped a 16-month truce with Israel last Friday and its armed wing had responded by firing a barrage of crude rockets at Israel from the Gaza Strip.

“We definitely see a reduction ... though the shooting does continue,” said a military spokesman. Army Radio reported four makeshift rockets hit the Israeli town of Sderot, near Gaza, yesterday. Medics said two people were lightly wounded. The Islamic Jihad militant group claimed responsibility. The Haaretz newspaper, quoting Palestinian sources, said Prime Minister Ismail Haniyeh of Hamas had asked the group’s armed wing to halt firing rockets in the wake of the threats against the movement’s leadership.

Senior Hamas officials denied the report and a Hamas statement claimed firing one rocket overnight.

“There is no talk about calm under the bloody escalation from the Israel occupation that has gone to the extent of eliminating entire families,” said Hamas lawmaker Mushir al-Masri.

Earlier this week a senior member of Israeli Prime Minister Ehud Olmert’s party threatened Haniyeh with assassination if the group renewed suicide bombings in Israel.

The military spokesman – speaking before the latest launchings – said eight rocket attacks had been detected in the past day, down from 30 to 40 a day after Hamas ended the truce.

Hamas broke the ceasefire after the deaths of seven Palestinians on a Gaza beach, including several members of the same family, in a blast militants said was caused by Israeli shellfire. Israel has said an investigation has shown its forces were not to blame.

SUSPICIOUS ENVELOPE

<B>Israel police probe envelopes for anthrax</B>

■ Israeli police said yesterday they were testing for anthrax two envelopes that had been filled with powder and sent to the Israeli central bank and the Tel Aviv office of Army Radio.

“Both were taken for tests,” said police spokesman Mickey Rosenfeld, adding results would be available in 48 hours. “We’re waiting for the result and no one is jumping to those conclusions (that it is anthrax) at this moment but all necessary precautions are being taken”. A central bank spokeswoman said the envelope received yesterday was addressed to Bank of Israel Governor Stanley Fischer but never left the mail room in Jerusalem. “We saw there was powder inside and called the police,” she said. She said a powder-filled envelope was also sent to Fischer’s office on Wednesday. Similar envelopes had been sent to various financial institutions in Tel Aviv in recent days, she added.