MOSCOW — India's navy was supposed to lease the brand-new Russian nuclear submarine that suffered an accident over the weekend which killed 20 people, news reports said today — a development that would unsettle the military balance of power in Asia.

An Indian naval spokesman would not comment on leasing this or any submarine from Russia — but his boss said previously India was interested.

The Akula-class sub was undergoing trials in the Sea of Japan when its fire-extinguishing system activated in error, spewing Freon gas that suffocated the victims and injured 21 others.

Russia's navy said the submarine itself was not damaged in Saturday's accident and returned to its Pacific coast port Sunday under its own power.

Russia's top business dailies Kommersant and Vedomosti reported today the Nerpa was to be handed over to India's navy next year under a 10-year, $650-million lease.

India previously leased a nuclear-powered submarine from the Soviet Union in 1988-1991, and India's navy chief, Adm. Sureesh Mehta, was quoted as saying India was negotiating with Moscow to lease two Russian nuclear submarines, the first of which could arrive next year.

CAMAGUEY, Cuba — Hurricane Paloma leveled hundreds of homes along Cuba's southern coast before rapidly losing steam over land Sunday, weakening from a dangerous Category 4 storm into a tropical depression in less than a day.Crashing surf and a powerful sea surge sent waves almost a mile (1½ kilometers) inland as the storm ravaged Santa Cruz del Sur, the coastal community where it roared ashore Saturday night.More than 10-foot-high waves washed away nearly all traces of about 50 modest houses in Santa Cruz del Sur. Altogether, 435 homes in the community were destroyed.Authorities said the storm toppled a major communications tower, interrupted electricity and phone service, but caused no deaths.