Washington: Trying to convince the increasingly sceptical Americans and the rest of the world that the US is on course to achieve its military and political aims in Iraq, President George W Bush has said his five-step plan would return "full sovereignty" to the occupied country, but warned there could be more violence in the process.

While reiterating that the US would hand over "full sovereignty" to Iraq on June 30, Bush also said adequate American and other international troops would be maintained there.

Speaking at the American War College in Carlisle, Pennsylvania, Bush also offered to build a new maximum-security prison and demolish the Abu Gharib prison, the setting for some appalling instances of abuse of Iraqis by US Army.

On June 30, the Coalition Provisional Authority, led by Ambassador Paul Bremer, would cease to exist and would not be replaced, Bush said.

"Ambassador John Negroponte will oversee the new Embassy and ensure that all resources and efforts of the United States are mobilised to help Iraqis build security and Democracy in their country."

Bush mentioned UN Special Envoy Lakhdar Brahimi's proposed framework for an interim Government. He said the framework called for a President, two Vice Presidents, and a Prime Minister heading a Cabinet with 26 Ministers.