Hamas-led govt 'may be considered terrorist state'

Israel’s foreign minister today said a Hamas-led Palestinian government could be designated a terrorist state, subject to sanctions, if it does not renounce terrorism and recognise Israel.

“When an entity, a state is being led by terrorists, the meaning is that this entity, this authority, this state is going to transfer into a terror state,” Foreign Minister Tzipi Livni said at a news conference with US Secretary of State Condoleezza Rice.