US Assistant Secretary of State for South Asia Christina Rocca met the king at his sprawling Narayantihy royal palace, in their first meeting since Gyanendra sacked the government, jailed politicians and imposed emergency rule on Feb. 1.

Although Gyanendra lifted the state of emergency on April 29, strict curbs remain on the media and on the right to hold protests. The king defends the measures as necessary to crush a Maoist insurgency in which more than 11,000 people have died.

Washington has welcomed the lifting of emergency rule but urged Gyanendra to restore civil liberties, free political leaders and work with squabbling political parties to fight the Maoists who it says threaten stability in South Asia.

On Tuesday Rocca warned aid-dependent Nepal to respect human rights in its battle against the Maoists or risk losing American money. "We will continue to stress this message to the king and to all political forces," she said.