The R-C-M-P say two suspects arrested in an alleged plot to derail a Via Rail passenger train had ``direction and guidance'' from al-Qaida elements in Iran. But they say there is no indication of state-sponsored terrorism. The suspects -- identified as 30-year-old Chiheb Esseghaier and 35-year-old Raed Jaser -- were arrested this morning in Montreal and Toronto. They are not Canadian citizens but police won't say where they are from, how long they have been in Canada or why they are in Canada. R-C-M-P Assistant Commissioner James Malizia says that had the attack been carried out, people would have been killed or injured. But he says while the suspects had the capacity and intent to carry out an attack, there was no imminent threat to the general public, rail employees, train passengers or infrastructure. Police would not provide details of how a train was to be derailed or which train may have been targeted. But they say the investigation began a year ago. The R-C-M-P investigation -- code named Project SMOOTH -- was part of a cross-border operation involving Canadian law enforcement agencies, the F-B-I and the U-S Department of Homeland Security. Public Safety Minister Vic Toews says the latest arrests show that terrorism continues to be a real threat to Canada. But he says they also show that Canada will not tolerate terrorist activity and will not be used as a safe haven for terrorists or those who support terrorist activity. U-S Ambassador to Canada David Jacobson has congratulated the R-C-M-P on the arrests, saying they were the result of extensive cross-border co-operation.

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