01 March 2004	Monday	09 Muharram 1425

AL QUDS, Feb 29: Israeli Premier Ariel Sharon's security cabinet authorized a 1.1 billion-dollar deal to sell three Phalcon spy planes to India, Israel Radio reported on Sunday.

The sale of the warning and control system, produced by the Israel Aircraft Industries (IAI), was finalized during a visit by Sharon to India last year. The deal was made possible after the United States reportedly gave up its initial opposition to it.

Israeli media reports said the White House supported it believing the sale would contribute to the balance of power in the region, despite concern by some officials in the US administration that it might increase tensions between India and Pakistan.

July 2000 Israel cancelled an agreement to sell Phalcon planes to China due to massive US pressure. -dpa