France is investigating allegations that two Lebanese banks transferred billions of dollars out of the country despite strict capital controls during a financial crisis, a source close to the case and lawyers said Monday.

Israel says it has established a "Yellow Line" in south Lebanon near the border, where its forces are operating despite a 10-day ceasefire with Iran-backed Hezbollah.

Hezbollah lawmaker Hassan Fadlallah said on Monday that it was in President Joseph Aoun's interest to withdraw from direct talks with Israel, while adding that his group wanted the current ceasefire to last.

"It is in the interest of the state, the interest of Lebanon, the president of the republic and the government to move away from the path of direct negotiation and return to a national understanding about the best option for Lebanon," he told AFP in an interview

Chinese President Xi Jinping told Saudi Arabia's Crown Prince Mohammed bin Salman in a phone call on Monday that "normal traffic" through the vital Strait of Hormuz "should be maintained", state media said.

Xi also stressed in the call that China "advocates for an immediate and comprehensive ceasefire", state broadcaster CCTV said.

Lebanon's state-run National News Agency (NNA) said Monday that Israel was destroying houses in several border villages including Qantara, al-Bayyada, Shamaa, Naqoura and Mais al-Jabal, amid shelling on Houla and airstrikes on al-Tiri and Burj Qalaway.

Israel said its military had been instructed to use "full force" against threats in Lebanon despite a truce, and vowed to level homes allegedly used by Hezbollah, with state media reporting demolitions were underway on Sunday.

Iran's foreign ministry said Monday that the United States was not serious about pursuing diplomacy, citing what it called "violations" of their two-week ceasefire.

"While claiming diplomacy and readiness for negotiations, the U.S. is carrying out behaviors that do not in any way indicate seriousness in pursuing a diplomatic process," said ministry spokesman Esmaeil Baqaei in a weekly press briefing.

Israeli Prime Minister Benjamin Netanyahu vowed "harsh action" Monday against a soldier caught on camera vandalizing a statue of Jesus Christ in southern Lebanon, as the image spread online.

The photo, which the military determined was authentic, shows an Israeli soldier using a sledgehammer to strike the head on a statue of a crucified Jesus that had fallen off a cross.

Israel's military on Monday warned Lebanese civilians against returning to dozens of villages in southern Lebanon, claiming Hezbollah's activities in the area were violating a ceasefire agreement struck last week.

Thousands of displaced residents have begun making their way back to parts of southern Lebanon since the truce between Israel and Lebanon took effect on Friday.

Israeli Defense Minister Israel Katz said Sunday that the military had been instructed to use "full force" in Lebanon -- even during the ongoing ceasefire -- should Israeli troops face any threat.

"Prime Minister Benjamin Netanyahu and I have instructed the IDF (army) to act with full force, both on the ground and from the air, including during the ceasefire, in order to protect our soldiers in Lebanon from any threat," Katz said at a function in the occupied West Bank.

Turkey on Sunday accused Israel of seeking to create a "fait accompli" in Lebanon despite an agreed ceasefire, with the foreign minister denouncing "Israeli expansionism".

"The ongoing Iran–United States negotiations seem to be overshadowing this situation (in Lebanon). Israel appears to be trying to take advantage of this distraction to create a fait accompli," Hakan Fidan said.