N Korea 'to seize resort assets'

**North Korea is to seize five properties owned by South Korea at the Mount Kumgang tourist resort, reports say.**The North says it will either take ownership of the facilities itself or hand them to a new tourism partner, the South’s Yonhap news agency reports.

Pyongyang had earlier scrapped a deal on the resort in the North, which had been developed by a firm from the South

The moves comes as tensions rise over an unexplained blast which sank a South Korean ship, leaving more than 40 dead.

The five facilities to be seized include a fire station, a duty free shop and a Red Cross-built centre to host family reunions, Yonhap said.

The resort had been a lucrative source of income for North Korea, until Seoul suspended its tours after a South Korean tourist was shot dead in 2008.

South Korea says it wants the killing - when the tourist allegedly strayed into a military area - properly investigated before it allows tours to resume.

Last month, North Korea threatened to take “extraordinary measures” unless the South lifted its ban.This article is from the BBC News website. © British Broadcasting Corporation, The BBC is not responsible for the content of external internet sites.

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