From McClatchey News Services:

Homepage Iraqi leaders veto law Bush administration hailed as political breakthrough
By Steve Lannen | McClatchy Newspapers

BAGHDAD — Iraq's three-man presidency council Wednesday announced that it's vetoed legislation that U.S. officials two weeks ago hailed as significant political progress.

Also Wednesday, U.S. Secretary of Defense Robert Gates said he hoped that Turkey's incursion into northern Iraq to fight Kurdish rebels would last a "week or two" but "not months."

Turkish news agencies reported that as many as 77 guerrillas were killed the night before in the most violent night of the week-old incursion on Iraq's northern border. A rebel spokesman said fighters for the Kurdish Workers Party, known as the PKK, had killed 18 Turkish soldiers.

The rejected bill, which sets out the political structure for Iraq's provincial governments and establishes a basis for elections in October, was only the second of 18 U.S.-set political benchmarks that the war-tore nation needs to reach.

Parliament considered it in a bundle with two other bills, a general amnesty and a budget, and approved it on Feb. 12 in what was welcomed in Washington as an example of good government, compromise and progress toward national unity.