The o­n-going military operation in neighbouring Indonesia's Aceh province could spark an influx of refugees into Malaysia, deputy prime minister Abdullah Ahmad Badawi warned.

"There's a big possibility of people fleeing here. We must be ready to tackle the incidence of people from that region flooding our land," he was quoted as saying by Bernama news agency in Johor.

But Abdullah said the Aceh crisis was an internal problem of Indonesia and Malaysia would not interfere in the issue.

Malaysia already houses hundreds of Aceh refugees. An all-out war could unleash a flood of refugees across the narrow Straits of Malacca that separates the two countries.

Peaceful solution

Malaysia yesterday expressed hopes that a diplomatic solution will be found to the crisis.

"I hope it will be resolved amicably and in a very peaceful manner," Deputy Defence Minister Mohamad Shafie Apdal said.

President Megawati Sukarnoputri signed a decree imposing martial law in Aceh after peace talks in Tokyo with the Free Aceh Movement (GAM) broke down Sunday.

Indonesia had given separatist rebels from the Free Aceh Movementuntil Monday to announce they are shelving their independence demands and are prepared to start disarming.

An estimated 10,000 people, most of them civilians, have been killed in the conflict in Aceh since 1976. -- AFP