Islamabad, May 29
Stepping up their offensive, Pakistani troops today smashed through Taliban defences and captured two key towns of Bahrain and Peochar in Swat valley after fierce battles that left 28 militants dead.

Security forces also arrested 39 Taliban fighters, who were hiding among refugees in displaced camps during scrutiny and screening operations.

Supported by heavy artillery, troops moving in armoured personnel carriers stormed into the Peochar town to link up with the Army commandos dropped behind Taliban lines earlier this month and claimed that the mountainous city, being used by militants as a training centre, had been cleared.

“Security forces continued with cordon and search operation and successfully cleared the stronghold of militants at Peochar village,” a military statement said.

"In last 24 hours, 28 terrorists were killed and seven were captured in the various areas of Swat during exchange of fire with security forces, while five soldiers and two civilians were injured,” it said.

But, for Bahrain town located in the northern most area of the Swat, the Army had to overcome stiff resistance from Taliban before they fought their way into the town where nine militants were killed.

Despite making claims that it would clear Taliban fighters from Mingora, Swat's main town in 2-3 days, the Army appeared to have been bogged down by heavy fighting that involved house-to-house battles.

An Army official said the pace of advance was slow, as troops had to search every area they came across for traps and IEDs. But, he said 70 per cent of the town had been cleared.

A provincial minister had said Fazlullah has been killed in battle, but there was no word from the Army.

But, the authorities today raised the bounty on his head from Rs 5 million to Rs 50 million, indicating that the Taliban commander, also known as ‘Mullah Radio’, was still on the prowl.

Pakistan has welcomed Indian External Affairs Minister SM Krishna’s statement in condemnation of Wednesday's Lahore blast that the two countries should join hands to fight terrorism together.

“It is encouraging that while condemning the Lahore blast, the External Affairs Minister of India has expressed the hope that India and Pakistan can join hands in fighting this menace (of terrorism),” foreign office spokesman Abdul Basit said at his weekly news briefing. “This underscores what we have been saying all along, that we need to fight this together through the framework of the joint anti-terror mechanism,” he said.

The spokesman expressed hope that in the coming days, the two countries could soon resume the peace process, which India froze after the Mumbai attacks, and make it “irreversible and result-oriented”.

Ostensibly referring to Krishna’s earlier statement seeking dismantling of terror infrastructure prior to resumption of dialogue, the spokesman said such preconditions were “untenable” and unacceptable. He said Pakistan could also do the same.

He said only constructive engagement could produce tangible results for the resolution of all outstanding issues and for stability in the region.

“No country was more aware of the suffering from terrorism than Pakistan,” the spokesman said emphasising that it could not be tackled through a “unilateral or partial” approach or with “blinkered perspectives”.

Regarding India’s anxiety for early prosecution and punishment of the five suspects arrested here for their alleged involvement in the Mumbai attacks, the spokesman said India was responsible for the delay.

“In response to our set of questions we sent on April 13, India gave us some material on May 20. Unfortunately, the material is in Hindi and Marathi languages instead of English and Urdu. So you can see for yourself how the delay is occurring in the launching of proceedings for prosecution,” he said adding that Pakistan has asked India to provide English translation of the documents.

Basit rejected the impression that the joint anti-terror mechanism, set up by India and Pakistan in March 2007, had failed. “It had met four times, but it should be given time to develop a mechanism,” he said.

The US is embarking on a $1 billion programme to expand its diplomatic presence in Pakistan and neighbouring Afghanistan, yet another sign that the Obama administration is making a costly, long-term committment to the war-torn South Asia.

The White House has asked Congress for--- and seems likely to receive -- $736 million to build a new US embassy in Islamabad, along with permanent housing for US government civilians and new office space in the Pakistani capital.

The scale of the projects rivals the giant US Embassy in Baghdad, which was completed last year after construction delays at a cost of $740 million.

Other major projects are planned for Kabul, Afghanistan; and for the Pakistani cities of Lahore and Peshawar. In Peshawar, the US government is negotiating the purchase of a five-star hotel that would house a new US Consulate.

Funds for the projects are included in a 2009 supplemental spending bill that the House of Representatives and the Senate have passed in slightly different forms.

Obama has repeatedly stated that stabilising Pakistan and Afghanistan, the countries from which Al-Qaida and the Taliban operate, is vital to the US national security.

He has ordered thousands of additional troops to Afghanistan and is proposing substantially increased aid to both countries.

Colombo, May 29
The political wing leader of the LTTE women's force, who had crossed into the government-held areas from the no-fire zone in northern Sri Lanka in the guise of a civilian, was arrested from a refugee camp here.

Subramaniam Shivathai alias Thamilini, who came to the refugee camp with other civilians from Mullaitivu, during the last phase of the military operation, was arrested at a welfare village in Vavuniya, a media report has said. Thamilini reportedly threw away her cyanide capsule and revolver before leaving the LTTE-held areas with other civilians.

She had come to the government-controlled region along with the people escaping from Puthumathalan that was a ‘No-Fire Zone’ at the time and was with her mother and sister when she was arrested by a special team of police on Wednesday, authorities said.

She had told the police that she threw away her cyanide capsule and her pistol and passed off as a displaced person, the news website Asian Tribune said. Thamilini's mother, Subramaniam Gowri Wijayaraja and a sister Maheshwari had also accompanied her.

She had joined the LTTE in 1991 and was elevated to the position of the organisation's political head after its leader Nesmia died in a clash with the Sri Lankan Army.