Tensions are mounting between North and South Korea after North Korean officials shut down cross-border visits to the Mount Kumgang resort and seized South Korean-owned assets at the site. The move follows accusations by South Korea that its northern neighbour was behind the sinking of a warship last month. U.S. Secretary of State Hillary Clinton said Friday she hoped “there is no talk of war, there is no action or miscalculation that could provoke a response that might lead to conflict” and urged North Korea to return to the six-party talks aimed at halting its nuclear program. However, a statement by a North Korean state agency suggested “the situation has reached such an extreme phase that it is at the crossroads of a war or peace.”
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