Leaders try to pacify furious Sunnis

President Jalal Talabani and senior Iraqi leaders held intense talks with Sunni negotiators who had expressed anger over the country's post-Saddam Hussein constitution, with some even calling it "illegal".

"We should have a consensus between the three groups -- Shiites, Kurds and the Sunnis," Talabani told reporters after the first round of meetings.

"We should respect the demand of Sunnis because the constitution is not to serve only a certain category of people but for the whole of Iraq."

Prime Minister Ibrahim Jaafari said Tuesday that the charter was nearly complete with consensus on 151 of 153 articles, including the federal status of the government and the status of regions and provinces.

The writing of the document, a key stage in Iraq's political transition following the US-led war that ousted Saddam, has been hampered by sharp differences on federalism, role of Islam in legislation, and sharing of oil revenues.

Jaafari's remarks were the first official confirmation that most of these issues were resolved.

Iraqi leaders had presented an incomplete draft to lawmakers in a nail-biting drama late Monday, beating the stipulated deadline by just a few minutes.

But the draft did not have the consent of the once powerful Sunni Arabs, who now are considered fuelling Iraq's raging insurgency, and who have warned that the constitution will be rejected in an October referendum.

Sunni support is seen crucial in ending the violence, but the Sunnis remained against federalism and held reservations over an agreement to share oil wealth.

Article 109 stipulates that "the oil and gas of all the regions belong to the entirety of the Iraqi people," adding that the resources should be controlled by Baghdad and the oil-producing regions.

Sunnis also oppose provisions in the draft for dealing with former members of Saddam's Baath party.

Talabani said the charter allowed tolerance of former Baath party members as long as they were not involved in serious criminal acts under Saddam.

"Everyone is against those Baathists who have blood of Iraqi people on their hands. But the law of de-Baathification should also take care of those Baathists who had nothing to do with criminal activities," he said.

Sunnis continued to be adamant over their demands.

"We are not conservative but we have objections ... it is not legal to present a draft to parliament which is incomplete," said Sunni panelist Hassib Arif al-Obaidi.