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PRAGUE (Reuters) - President Bush (news - web sites) warned Iraqi President Saddam Hussein (news - web sites) on Wednesday that should he deny possessing weapons of mass destruction, he will have entered his "final stage" as Iraq's leader.

"We're threatened by terrorism, bred within failed states. It's present within our own cities," said Bush in a keynote speech ahead of a NATO (news - web sites) summit.

Bush said Iraq was an outlaw nation that possessed weapons of mass destruction. He vowed Iraq would be held accountable to the terms of a U.N. resolution that returned weapons inspectors to Baghdad this week.

"We now call an end to that game of deception and deceit and denial. Saddam Hussein has been given a very short time to declare completely and truthfully his arsenal of terror," said Bush.

"Should he again deny that this arsenal exists, he will have entered his final stage with a lie, and deception this time will not be tolerated. Delay and defiance will invite the severest consequences," he said.

So if you have them you violated and if you deny you have them you violated.

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