Israel's Barak denies Gaza captive deal

JERUSALEM, June 28 (Reuters) - Israeli Defence Minister Ehud Barak denied on Sunday reports a deal was close with the Islamist group Hamas for the release of Israeli soldier Gilad Shalit in exchange for Palestinians held in Israeli jails. "The reports are incorrect and it's possible they are even causing damage," Barak told reporters. Israeli media reports on Thursday cited European diplomats as saying that Shalit, held by Palestinian militants in the Gaza Strip, was about to be sent to neighbouring Egypt. One possibility cited by an Israeli political source was that once Shalit was moved to Egypt, Israel would begin to open Gaza's border crossings. With Egypt mediating, Israel and Hamas would then hammer out a final agreement on Hamas prisoners. Shalit was captured three... [read full story]                    

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