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Reuters Apr 14, 2014, 06.13PM IST

(Ukraine dominated talks)

LUXEMBOURG: The European Union threatened Russia with more sanctions on Monday over its actions in eastern Ukraine, which Britain said was being destabilised by Moscow, although some EU states said diplomacy should be given more time.

Ukraine dominated talks among EU foreign ministers after Kiev threatened military action against pro-Russian separatists occupying government buildings in the east.

British Foreign Secretary William Hague, arriving for the meeting in Luxembourg, said there could were was no doubt that Moscow was behind the destabilisation of eastern Ukraine.

"I don't think denials of Russian involvement have a shred of credibility," Hague told reporters, adding that the EU now needed to discuss adding more people to a list of 33 Russian and Ukrainian officials targeted by EU asset freezes and travel bans over the Ukraine crisis.

Polish Foreign Minister Radoslaw Sikorski said the EU must now agree how the list could be expanded.

"The EU has to make it clear to Russia what are the consequences of any possible future actions in eastern Ukraine," he said. "I expect a very specific signal when we can expect sanctions if Russia takes further steps."

But other governments were more cautious on sanctions, underscoring concerns in parts of Europe about antagonising a power with an energy stranglehold over the bloc, and put their faith in talks planned for Geneva on Thursday.

Germany said the planned meeting between the EU, the United States, Russia and Ukraine could help calm tensions even though the option of sanctions remained on the table.

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European Union threatens Russia with more sanctions over Ukraine

Member states could hold an emergency summit next week to adopt further measures.

EU foreign ministers acted in response to a deepening of the crisis in Ukraine, where pro-Russian separatists ignored an ultimatum on Monday to leave occupied government buildings.

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"We have agreed ... to expand the sanctions," Foreign Secretary William Hague told reporters in Luxembourg.

EU officials will now begin work on a list of new names of people who they believe played a role in violating Ukraine's territorial integrity. They will be added to a list of 33 Russian and Ukrainian officials already under EU asset freezes or visa bans.

The ministers again held out the threat of imposing tougher sanctions on Russia, such as trade and financial restrictions, if Moscow took further steps to destabilise Ukraine. Any further tightening of sanctions will likely depend on the outcome of a meeting between the EU, the United States, Russia and Ukraine planned for Geneva on Thursday.

"There may be a meeting of heads of state and government next week at European level, which may adopt new sanctions," French foreign minister Laurent Fabius said.

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European Union steps up Russia sanctions