Sept. 16 (Bloomberg) -- Bolivian President Evo Morales backed the arrest of an opposition governor one day after an emergency meeting of South American leaders called for talks between the government and its opponents.

Morales said a ``state of siege'' in the northeastern state of Pando, on the border with Brazil, would continue after a week in which as many as 30 people died in clashes between pro and anti-government supporters. Pando Governor Leopoldo Fernandez, who Morales accused of fomenting violence, was arrested today by soldiers. Opposition leaders called the move illegal.

``The detention of the governor of Pando was a legal and constitutional act,'' Morales, 48, told reporters in La Paz. ``As long as we're trying to save lives, to save Bolivia's patrimony, this will continue.''

The governor's detention followed an emergency meeting of South American presidents in Santiago yesterday that ended with a call for negotiations to end the conflict in South America's poorest country. In a sign that the situation is continuing to deteriorate, the U.S. suspended Peace Corps operations in the country and offered to evacuate its citizens to neighboring Peru.

Flights

The U.S. State Department said it would offer its citizens in Bolivia one or two flights beginning tomorrow from La Paz to Lima. The Peace Corps moved all 113 of its volunteers to Peru for safety reasons, director Ron Tschetter said in an e-mailed statement. Morales accused U.S. Ambassador Philip Goldberg of supporting the opposition and expelled him last week, a move reciprocated by Washington.

Protesters opposed to a new constitution and Morales's control of energy tax revenue blocked roads, seized government offices and severed a pipeline to disrupt natural gas supplies to Brazil last week. Morales said he is willing to enter talks over the tax revenue and demands for greater autonomy for Bolivia's nine provinces, a position criticized by Pando Senator Roger Pinto.

``This arrest is another violation of the constitution and the laws of Bolivia,'' Pinto said in an interview with Argentina's C5N television channel. ``Morales never negotiates -- when he calls for talks it's because the international community asks for them, but they never go anywhere.''

New Constitution

Opposition leaders are chafing at Morales's plan to hold a referendum on a new constitution in January. Opponents say the proposed charter is illegal, deprives energy-rich regions of the autonomy they deserve and would force the breakup of large landholdings.

The one-day summit of South American leaders concluded with a statement reiterating Morales's legitimacy as president while urging an end to violence and offering to help broker talks between his government and the dissident governors.

Tarija Senator Roberto Ruiz told EFE that any negotiations with the government are on hold and he called for the immediate release of Fernandez, a member of the Podemos party led by former President Jorge Quiroga.

The dispute between Bolivia's central government and regional leaders has racial as well as economic overtones. The opposition, based in the eastern lowlands, draws more support from a wealthier, European-descended population than Morales, a westerner of indigenous Aymara descent who took office in 2006.

Morales won 67 percent support in a national recall vote last month, more than he garnered in his election run in 2005. At the same time, some of his strongest opponents, including Fernandez and Tarija Governor Mario Cossio, took the majority in their states, underscoring the country's divisions.

To contact the reporters on this story: Bill Faries in Buenos Aires at wfaries@bloomberg.net

Last Updated: September 16, 2008 17:27 EDT