NINE days after the Singapore Flyer came to a grinding stop, the world's largest observation wheel started turning again at 6pm yesterday - although without any passengers on board.

The 165-m high wheel kept spinning until midnight, after the Flyer's systems were completely repaired and restored, the wheel's management said.

GAZA CITY - ISRAEL killed a Hamas strongman on Thursday in its first assault on the top leadership of the territory's ruling group, escalating a crushing aerial offensive even as it declared itself ready to launch a ground invasion.

While turning up the heat on the battlefield, Israel appeared to be sounding out a possible diplomatic exit from its campaign, demanding international monitors as a key term of any future truce with Gaza militants. The operation is meant to crush Gaza militants who have been terrorizing southern Israel with increasingly menacing rocket fire.

TAIPEI - TAIWAN'S president said in a New Year message on Thursday that the democratic island hopes improving relations with communist China will bring positive changes to its rival while not undermining its own sovereignty.

President Ma Ying-jeou said Taiwan faces new challenges with closer trade and economic ties with China that have resulted in rapidly increased exchanges between the two sides.

BAGHDAD - THE US on Thursday handed over security control of the Green Zone, symbol of the American-led occupation, to Iraq as a UN mandate for foreign troops ran out and bilateral military accords took effect.

Iraqi government and military officials hailed the return of the heavily fortified area in central Baghdad to Iraq's control, in an emotional ceremony at the former palace of ousted dictator Saddam Hussein.