Nearly 400 US troops were involved in the operation
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US forces say they have captured a suspected leader of the former Iraqi president's loyalist militia and two army generals in overnight raids in Saddam Hussein's home town of Tikrit.
The man is suspected of forming organised cells and paying armed guerrilla fighters to attack coalition forces in the town of Tikrit, according to Lieutenant Colonel Steve Russell.
The two former generals are suspected of organising guerrilla attacks nationwide. None of the men were named.
Almost 40 men were detained as a result of several tips-offs from local residents, who told US soldiers that the suspects had held a meeting and then provided them with the locations.
In the latest apparent attack by rebel forces, an explosion has been reported outside the Jordanian embassy in Baghdad. At least three people are reported dead.
'Eroding support'
Nearly 400 US troops used Apache attack helicopters, tanks and armoured vehicles to seal off Tikrit, before charging into a local hotel and detaining the men.
Most of the men - many of whom were labourers - were later released after a stark warning from Colonel Russell.
"If you fight against your government, we will hunt you down and kill you," he told the men through an interpreter, the Associated Press news agency reported.
US forces have been searching for the former Iraqi leader near his ancestral home, and say they are managing to strike a balance between capturing those who are carrying out attacks on their troops and keeping locals on their side.
"I think we are eroding all of the support of the former regime," Colonel Russell said.
"We have planned raids thinking he [Saddam] might be there and will continue to do so."