Eight Palestinians and an Israeli soldier have been killed during a major operation by Israeli forces in Gaza.
A further 40 people were wounded as Israeli troops and up to 60 tanks seized control of Beit Hanun. Israeli forces also partially reoccupied the nearby refugee camp of Jabaliya and the northern town of Beit Lahiya.
In a rare show of unity, Palestinian President Mahmoud Abbas and Prime Minister Ismail Haniyeh both condemned what they described as an Israeli 'massacre'.
Mr Abbas called on the international community to 'intervene rapidly' following the fresh Israeli incursion.
Prime Minister Haniyeh's ruling Hamas party confirmed that four of those killed were members of its military wing, while Islamic Jihad said one of its members had also been killed.
One Israeli soldier died in exchanges of fire with Palestinian militants in Beit Hanun as Israeli bulldozers razed three houses in the town and another dozen homes were hit by tank shells.
Militants also fired two rockets into Israel, one exploding near a public library in the southern town of Sderot and the other striking what was described as an industrial zone.
Two days ago, Israeli Prime Minister Ehud Olmert warned that the ground offensive in Gaza could be expanded, after the US insisted that Israeli operations in Gaza were an 'issue of self-defence'.
