(Adds LRA demands, paras 8-10) By Tim Cocks KAMPALA, Oct 12 (Reuters) - Ugandan rebels are making an impossible demand by insisting International Criminal Court indictments against their commanders are lifted before they sign a peace deal, the government said on Thursday. A truce signed in August between the government and Lord's Resistance Army, one of Africa's most feared rebel groups, raised hopes of an end to a vicious 20-year insurgency that has killed tens of thousands of people and displaced 1.7 million. But the LRA has repeatedly said it will not sign a final peace deal at talks in the south Sudanese capital, Juba, unless the ICC indictments against its leaders are dropped. "We have no authority to offer a lifting of the indictments," a spokesman for the government peace team, Paddy Ankunda, told Reuters by telephone from Juba. "We can only engage the ICC after the LRA agree to signing a comprehensive peace agreement. That's the best we can offer." LRA leader Joseph Kony and four other commanders are wanted by the Hague-based human rights tribunal for war crimes including mass murder, rape and child abduction. LRA deputy commander Vincent Otti has said he would leave his jungle hideout on the Sudan/Congo border and join talks in Juba, where the LRA are represented by sympathisers, but only after the ICC revokes its indictments. In Juba, a new LRA document said some of their other demands included compensation for stolen livestock and that 40 percent of government jobs be given to northern Ugandans to correct what they called a historical imbalance in favour of southerners. "Livestock was raided in many parts of northern Uganda between 1986 and 1990. The government shall ... make appropriate compensation," a copy obtained by Reuters said. LRA representatives could not be reached for comment. President Yoweri Museveni has said an amnesty for the LRA leaders is possible if they first surrender. "We have to have them come out and accept their atrocities, ask forgiveness and reconcile. Only then can we ask the ICC for a removal of the indictments," Ankunda said. The truce remains fragile with tempers fraying and both sides accusing each other of violations. Some Acholis, the northern tribe which have borne the brunt of the conflict, want the LRA leaders to face traditional "Mato Oput" ritual justice as an alternative to jail in The Hague. U.N. officials and diplomats have said such a system could work, provided it does not grant immunity for war crimes. The Mato Oput ritual relies heavily on the perpetrators admitting their crimes and the LRA denies the brutal killings of civilians, mutilating survivors and kidnapping of thousands of children which made them notorious. (Additional reporting by Francis Kwera in Juba)
