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WORLD : Israel Delays Peace Plan Action

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<i> From Times Wire Services</i>

Ministers of the right-wing Likud bloc and the left-of-center Labor Party clashed today over U.S. Middle East peace proposals, but a Cabinet vote on the plan was postponed until the weekend.

Labor leaders said that if Likud rejects the American proposals at Sunday’s Cabinet session, they will ask Labor’s Central Committee to vote the next day on leaving the government and forming a new coalition with small religious and left-wing parties.

Economics Minister Moshe Shahal, a Labor member, told reporters after the session he doubted the ministers from Prime Minister Yitzhak Shamir’s Likud could accept the compromise proposals.

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