JERUSALEM, OCT. 15 -- Israel's rejection Sunday of a U.N. mission to investigate the killing of Palestinian demonstrators, followed by an announcement of proposed new Jewish settlements in East Jerusalem, have forced to the surface deep tensions between the Bush administration and the right-wing government of Prime Minister Yitzhak Shamir that were obscured by the Persian Gulf crisis, officials said here today.

As a result of these actions, analysts said, Israel's "low profile" role in the crisis, which it successfully maintained for two months after Iraq's invasion of Kuwait, may now give way to a more problematic position as a target of international criticism and visible irritant for Washington as it tries to maintain its alliance with moderate Arab states.

After weeks of quiet but cordial exchanges between their two governments, senior U.S. and Israeli officials have returned to the bitter recriminations that passed between them earlier this year after the breakdown of the Israeli-Palestinian peace process.

In a speech to the parliament today, Shamir lashed out at the West, accusing it of hypocrisy and saying that "Israel will not pay the price of the lessons that the international community must extract from" its problems in the Arab world.

In an oblique reference to recent U.S. policy, he complained that Israel was "expected to put up with the renewed and massive supply of arms and advanced weapons to {Arab} states, to agree to negotiations with the terrorist organizations, and to ignore the words of incitement and hatred that are constantly voiced and written in the Arab states."

His statements came as the Israeli newspaper Yedioth Aharonoth published the text of a bluntly worded message from Secretary of State James A. Baker III to Foreign Minister David Levy that was delivered Sunday by U.S. Ambassador William Brown.

The message warned of harsh consequences for Israel if it rejected the U.N. mission mandated by the Security Council last Friday to probe the killing by Israeli police of at least 19, and possibly 21, Palestinian demonstrators during rioting Oct. 8 on Jerusalem's Temple Mount, known to Arabs as Haram Sharif.

According to an English translation of the Hebrew-language text published today by Yedioth Aharonoth, which official sources said was accurate, Baker told Levy that he was "worried that if you reject the mission that is due to go to Israel, Israel and not Iraq will be in the focus of world attention . . . and there will be some who will compare you, unjustly, to Saddam Hussein and to his rejection of Security Council resolutions."

Baker also said, according to the newspaper's text, that the Bush administration had decided to support a Security Council resolution against Israel "because honestly we thought that Israel should have been ready and able to handle violence and riots without killing 20 people and wounding 150." He added: "Because it was not ready, Israel played into the hands of Saddam Hussein."

In a meeting today with Seymour Reich, the visiting chairman of the Conference of Presidents of Major American Jewish Organizations, Shamir described the Baker message as impolite and refused to retreat from his staunch opposition to the U.N. mission, sources said.

Reich and other American Jewish leaders were exploring the possibilities of some kind of accommodation between Israel and the U.N. mission, but sources said it was unlikely Shamir would agree even to low-level contacts between the delegation and Jerusalem municipal and police officials.

"Shamir is leading the way on this, and he feels very strongly," a senior official said. "We are not going to be the sacrificial lamb of this coalition against Saddam Hussein."

Analysts here sympathetic to Israel agreed that the consequence of the Israeli position could be to create a recurring diplomatic distraction from U.S. efforts to mobilize support against Iraq in the Security Council and Arab world -- the opposite effect that Washington intended in negotiating the resolution on Israel last week. But they accused the United States of failing to anticipate that the resolution it drafted would touch off a strong backlash here.

"The government feels that for two months they played along with everything the U.S. asked it to do, and then this unplanned incident happened and it got this unprecedented response from the U.S.," said Alan Schneider, director of the B'nai B'rith World Center in Jerusalem.

"The Israeli government has now, in a sense, called the administration's bluff, and the result is that instead of getting the Israeli-Palestinian issue off the front pages as both sides want, it's going to come back to the Security Council and there is going to be a vicious circle of debates on the Israeli-Palestinian issue while the gulf crisis is going on," he said.

As officials here describe it, the trouble has been exacerbated because it touches on the issue of Israeli claims to sovereignty in Jerusalem, a recurring source of tension between the Bush administration and Shamir. Earlier this year, efforts by Baker to win Israeli agreement to a formula for negotiations with Palestinians broke down after Shamir refused to accept the participation of Arabs from East Jerusalem, which Israel annexed following its capture from Jordan in 1967. The United States never has recognized that annexation.

Now, Shamir's government is resisting the U.N. delegation in part because it contends that an international mission to probe events in East Jerusalem would undermine Israel's claim to the Arab half of the city -- a claim not recognized by the United Nations or the United States.

As earlier in the year, tensions have been further raised by the flaring of a subsidiary question: whether Israel has the right to settle some of the thousands of Soviet immigrants pouring into the country in East Jerusalem.

Earlier this month, in arranging U.S. guarantees for $400 million in loans for housing construction for immigrants, Levy promised Baker in a letter that the government would not encourage the Soviets to settle "beyond the Green Line" -- Israel's border up until 1967.

Since then, however, Shamir, Levy and Housing Minister Ariel Sharon have said that the government will continue to build housing in East Jerusalem and settle immigrants in it.

Sunday night, a ministerial committee headed by Sharon recommended that the government build 15,000 apartments for immigrants in Jerusalem over the next three years, most of them in areas outside Israel's pre-1967 border. Sharon's committee also recommended that a new Jewish neighborhood be founded in southeast Jerusalem.