North Korea said it was searching for the body a South Korean man killed by its troops, but warned that South Korean naval operations in the area threatened to raise tensions, state media reported on Sunday.
North Korean leader Kim Jong Un issued a rare apology on Friday for the fatal shooting of the South Korean fisheries official in North Korean waters.
South Korea's military has accused the North's soldiers of killing the man, dousing his body in fuel and setting it on fire near the sea border.
The Korean Central News Agency said on Sunday that North Korean authorities were considering ways to hand over the body to the South if it is found.
The report called it an "awful case which should not have happened" but warned that South Korean naval operations near the site of the incident had crossed into North Korean waters.
"We urge the south side to immediately halt the intrusion across the military demarcation line in the west sea that may lead to escalation of tensions," the report said.
A spokesman for South Korea's Ministry of National Defense said he did not have an immediate comment on the North's accusations. North Korea was beginning its own search operation to recover the body, KCNA said.
"We also took more necessary security measures in order to make sure that no more incident spoiling the relations of trust and respect between the north and the south would happen in any case, true to the intention of our Supreme Leadership," the report added, without elaborating.
South Korea urged North Korea on Saturday to further investigate the fatal shooting and suggested it could be an joint probe by the two sides.
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