SERBIA did not commit genocide against Bosnia during the 1992-5 war, the United Nation's highest court has ruled in a landmark case - but it said that the country had violated its responsibility to prevent genocide.

Bosnia had asked the International Court of Justice (ICJ), based in The Hague, to rule on whether Serbia had committed genocide through the killing, rapes and ethnic cleansing that overtook Bosnia during the war.

It was the first time a sovereign state had been tried for genocide, outlawed in a UN convention in 1948 after the Nazi Holocaust of the Jews.

A judgment in Bosnia's favour could have allowed the country to seek billions of pounds of compensation from Serbia.

Judge Rosalyn Higgins, the ICJ president, said the court concluded that the 1995 Srebrenica massacre of thousands of Bosnian Muslim men and boys did constitute genocide, but that other mass killings of Bosnian Muslims did not.

But she said the court ruled that the Serbian state could not be held directly responsible for genocide, so paying reparations to Bosnia would be inappropriate even though Serbia had failed to prevent genocide and punish the perpetrators.

"The court finds by 13 votes to two that Serbia has not committed genocide," she said. "The court finds that Serbia has violated the obligation to prevent genocide ... in respect of the genocide that occurred in Srebrenica."

Some 8,000 Muslims from Srebrenica and surrounding villages in eastern Bosnia were killed in July 1995. The bodies of almost half of them have been found in more than 80 mass graves nearby.

Radovan Karadzic, the Bosnian Serb wartime leader and his military commander, Ratko Mladic, both accused of genocide over Srebrenica, are still on the run.

Reacting to the ruling in Belgrade, the Serbian president, Boris Tadic, urged the country's parliament to condemn the massacre. "For all of us, the very difficult part of the verdict is that Serbia did not do all it could to prevent genocide," he told a news conference.