<B>MOSCOW. Putin prepares to host G8 summit.</B> Russian President Vladimir Putin, hosting a G8 summit this weekend, accused foreigners who criticise his democracy record of echoing colonialist rhetoric of bygone days and singled out Dick Cheney for personal attack. His comments in French and US television interviews appeared to be a warning to Western powers not to lecture Russia at the meeting of leaders of the Group of Eight industrialised nations in St Petersburg.

<B>LEBANON. Hizbollah guerrillas capture two soldiers. </B>Hizbollah guerrillas said they had captured two Israeli soldiers in cross-border attacks from Lebanon in which three Israelis were also reported killed, sharply raising Middle East tension. Israeli ground forces crossed into Lebanon to search for the captured soldiers, Israeli Army Radio said.

<B>PARIS. International community steps up pressure on Iran.</B> The United States and European Union stepped up pressure on Iran, warning it could face UN Security Council action for not accepting an offer of incentives aimed at defusing a nuclear standoff. Foreign ministers of the world’s top powers meet in Paris later yesterday to decide how to handle Iran after Tehran said it needed more time to consider the June 6 offer.

<B>BEIJING. North Korea still defying the world. </B>North Korea shows no sign of responding to efforts to persuade the reclusive nation to ease tensions over its missile tests and return to multilateral talks, a senior US envoy said. North Korea sidestepped pressure from South Korea at their first meeting since the North test-fired a barrage of missiles on July 4 to explain why it had defied international warnings that the tests would pose a grave security threat to the region.

<B>BRUSSELS. The European Union fines Microsoft. </B>European Union regulators fined Microsoft 280.5 million euros ($357 million) for defying a 2004 antitrust ruling, and warned the company it faced bigger fines unless it complied. The tough new penalty is the first of its kind and comes on top of a record 497 million euro fine the Commission imposed in its landmark antitrust decision against Microsoft in March 2004.

TAIPEI. Tropical storm claims four lives.</B> A tropical storm killed four people in the Philippines and was churning its way towards Taiwan where authorities issued sea and land warnings for strong winds and heavy rain. Tropical Storm Bilis is expected to strengthen into a typhoon and will likely make a direct hit on Taiwan today, Taiwan and Hong Kong weather authorities said.