Jakarta – UN Secretary-General Kofi Annan urged the East Timorese today to accept the conclusions of an inquiry by the world body into deadly violence that rocked Dili earlier this year.

The inquiry's report was released yesterday and called for former prime minister Mari Alkatiri and a series of senior government officials and security force members to be criminally investigated or prosecuted over the unrest.

"Today I urge you as a nation to accept the report's conclusions and recommendations and to act on them in the constructive manner in which they were formulated," Annan said in a statement released from New York.

"We know that a peaceful, democratic and prosperous Timor-Leste (East Timor) can be built only on the foundations of good governance, accountability, human rights and the rule of law."

The inquiry was carried out at the request of Dili, as the government reeled from the worst violence on its soil since it gained independence in 2002.

Its mandate was to clarify the facts surrounding events in April and May that led to 37 deaths, and recommend measures to hold accountable those responsible for crimes committed during that period.

"Once again, the world is looking to Timor-Leste with hope and expectation. If you now live up to the democratic values enshrined in your constitution, your country can yet emerge strengthened from this experience, with a renewed spirit of community and nationhood," Annan added.

The unrest flared following the dismissal of soldiers who had deserted, complaining of discrimination from their superiors based on whether they came from the east or west of the small nation.

Analysts say politicians harbouring decades-old grievances against each other took advantage of the soldiers' disgruntlement to aggravate the tensions.

Battles between security force factions degenerated into bloody street violence involving youth gangs.

More than 150,000 people fled their homes and some 3000 Australian-led peacekeepers were deployed to restore calm.