DATE=7/15/98 TYPE=CORRESPONDENT REPORT NUMBER=2-235469 TITLE=KOREA / INFILTRATOR (L-ONLY) BYLINE=JOHN LARKIN DATELINE=SEOUL CONTENT= VOICED AT: INTRO: THE SOUTH KOREAN GOVERNMENT IS DEMANDING AN APOLOGY FROM COMMUNIST NORTH KOREA FOR RECENT SPY MISSIONS AIMED AT THE SOUTH. THIS, AS SOUTH KOREAN SECURITY FORCES CONTINUE SEARCHING FOR TWO INFILTRATORS BELIEVED TO BE STILL AT LARGE. JOHN LARKIN HAS MORE FROM SEOUL. TEXT: PRESIDENT KIM DAE-JUNG CONVENED HIS NATIONAL SECURITY COUNCIL WEDNESDAY AS A MANHUNT CONTINUED ON THE EAST COAST, AIMED AT TRACKING DOWN TWO MEN -- BELIEVED TO BE COMMUNIST INFILTRATORS -- IN THE AREA. AFTER A 90-MINUTE MEETING, THE COUNCIL ISSUED A STATEMENT DEMANDING THE NORTH PUT AN END TO ALL HOSTILE ACTS, APOLOGIZE AND PUNISH THOSE RESPONSIBLE FOR THE INFILTRATIONS. DESPITE THIS STERN MESSAGE, PRESIDENT KIM SAYS HE IS NOT SCRAPPING HIS POLICY OF SEEKING CLOSER TIES WITH PYONGYANG. THE HUNT FOR INFILTRATORS WAS STEPPED UP AFTER A SOUTH KOREAN VILLAGER REPORTED SIGHTING TWO MEN WEARING CAMOUFLAGE UNIFORMS AND CARRYING BACKPACKS. A DEFENSE MINISTRY SPOKESMAN SAYS THE SIGHTING IS BEING TAKEN SERIOUSLY, BUT NO TRACE OF THE TWO AGENTS HAS YET BEEN FOUND. THOUSANDS OF TROOPS HAVE BEEN SCOURING RUGGED MOUNTAINS NEAR THE NORTH KOREAN BORDER, AFTER A THE BODY OF A MAN BELIEVED TO BE A THIRD MEMBER OF THE SPY TEAM WASHED ASHORE SUNDAY AT THE EASTERN PORT OF DONGHAE. AN UNDERWATER PROPULSION DEVICE CAPABLE OF CARRYING UP TO FIVE MEN WAS FOUND NEARBY, INDICATING OTHER INFILTRATORS MAY HAVE MADE IT TO SHORE. THE LATEST SPY SCARE COMES LESS THAN THREE WEEKS AFTER A NORTH KOREAN SUBMARINE WAS CAPTURED ON WHAT AUTHORITIES IN SEOUL SAY WAS AN INFILTRATION MISSION. NORTH KOREA SAYS IT HAS NOTHING TO DO WITH THE SPY TEAM NOW BEING HUNTED IN THE SOUTH -- A STANCE THAT HAS ANGERED OFFICIALS IN SEOUL. THE SOUTH IS ASKING THE U-N SECURITY COUNCIL TO CONDEMN THE RECENT INCURSIONS. (SIGNED) NEB/JL/FC/WTW 15-Jul-98 3:37 AM EDT (0737 UTC) NNNN Source: Voice of America .