Israel today rejected U.N. Secretary General Kurt Waldheim's proposal that next week's Cairo conference be followed by yet another meeting under the auspices of the United Nations to prepare for a Geneva conference.

"Israel supports the idea of direct talks between the parties such as took place in Jerusalem and are about to be held in Cairo," a Foreign Office spokesman said today.

He added that "no purpose" will be served by an additional preparatory conference. Israel believes that "the Geneva peace conference should be reconvened following the Cairo talks," he said.

Foreign Minister Moshe Dayan, who will be returning to Israel from West Germany this evening, said in an Israel Radio interview that "the next move should be Geneva and nothing in between."

Israel deeply mistrusts the United Nations as an impartial body and has always tried to keep U.N. participation in Middle East negotiations at a minimum.

The Waldheim proposal, in Israel's view, is an unwelcome intrusion that would have the result, if not the design, of bringing the Soviet Union back into the Middle East negotiating process and of undermining the importance of the Cairo conference.

The purpose of the Waldheim proposal was to make it easier for the parties involved in the Arab-Israeli dispute to come together, U.S. sources said. In Israel's view, however, there is nothing to be gained in making it easy for those who have denounced Egyptian President Anwar Sadat for his initiative in opening talks with Israel.

Now that these direct talks have begun. Israel resents the attempt to reintroduce big power diplomancy. Moreover, the Waldheim proposal includes participation by the Palestine Liberation Organization, something Israel adamantly opposes.

Therefore Israel moved quickly and decisevly to reject the Waldheim proposal. Diplomats at the United Nations said that Israel's stand virtually kills the idea, but a spokesman for Waldheim said that reports of the Israeli rejection were only an "initial" reaction and could not be considered final.

Dayan, in his radio interview, said he saw nothing wrong with talking to only one Arab country in Cairo.He said that israel's position is that it wants to discuss substantive issues with all its neighbors but individually and not in a united Arab delegation.

"To reach an understanding with the Syrians we have to have the Syrians," he said, "and with the Jordanians we have to have the Jordanians. But if they don't come then I think it is better to deal with the Egyptians rather than to have no contact at all."

Meanwhile, the Jerusalem Post today said the Israel will submit a "draft treaty for peace with Egypt" as well as the American-Israeli working paper on Geneva procedures at the Cairo conference.

The paper said that the draft treaty, composed by Attorney General Haron Barak and Foreign Ministry legal adviser Meir Rosenne, one of the two Israeli negotiators who will attend the Cairo conference, was submitted to the Arab states through the Americans last summer. While it dealt specifically with Israeli-Egyptian relations, it was intended as a prototype for agreements with other Arab states, the paper said.

The draft treaty "left the territorial apects vague while concentrating on Israel's view of the nature of peace," according to the Jerusalem Post.

President Sadat has said Egypt will not conclude a separate peace with Israel and that he is working toward an agreement that would include all the Arab states as well as the Palestinians. The Arab world, however, fears, and Israel anticipates, that is all else fails a separate agreement with Egypt may yet result.

[TEXT OMITTED FROM SOURCE] between Israeli and Syrian troops on the Golan Heights.

The 15-member council adopted the resolution by a vote of 12-0. China, Libya and Benin did not participate in the vote. Those three countries did the same on the last extension vote last May. China says it does not believe in the use of U.N. troops in peace operations.

The 1,249-man peacekeeping force, composed of troops from Austria, Canada, Iran and Poland, was established by the council in May 1974 to police a disengagement agreement between Israel and Syria following the 1973 Arab-Israeli war.

Its mandate was to expire at midnight Wednesday. It has been renewed until May 31.

The way was cleared for the seventh extension of the mandate when Syria notified Secretary-General Kurt Waldheim on Monday that it would accept a further six-month renewal.