Egypt's PM says US threats to cut aid won't work

CAIRO — Egypt refused to back down Wednesday in a dispute with the U.S. over Cairo's crackdown on nonprofit groups despite Washington's threats to cut aid, while the military deployed troops to the nation's streets after a surge in violence and protests against its rule.

Egypt's official MENA news agency said the army was deploying more troops to reinforce the police, restore security and state "prestige." The move comes in the wake of a deadly soccer riot last week that sparked days of clashes between the police and protesters. At least 89 people were killed in a week of violence.

The deployment appeared to be a show of force by the military in response to a surge in criticism of its handling of the country's transition to democracy and rising calls for the ruling generals to step down. There are calls for a general strike on Feb. 11 that have been gaining traction.

Egypt's military rulers are also facing a deepening dispute with the United States over Cairo's campaign against foreign-funded pro-democracy and rights groups, which began late last year with raid by security forces on the organizations' offices. Authorities allege there is a foreign conspiracy against Egypt to explain the widening protests against the military's performance.

On Sunday, Egyptian investigative judges referred 16 Americans and 27 others to trial on accusations they illegally used foreign funds to foment unrest in the country.

That immediately drew a sharp rebuke from Washington, with Secretary of State Hillary Rodham Clinton warning that failure to resolve the dispute may lead to the loss of some $1.5 billion in aid to Egypt. Some U.S. legislators even said every aspect of the relationship with Egypt must be examined following the crackdown.

State Department spokeswoman Victoria Nuland called on Egypt to release the Americans, saying the 16 "have not done anything wrong." Egyptian authorities put the number of Americans referred to trial at 19, but Nuland on Tuesday said there are 16 Americans in the case.

Nuland said the U.S. received a 175-page document in Arabic outlining the charges, but "our view remains that this is not fundamentally a judicial issue," but an issue between governments over the proper role of the groups.