Nepal PM Prachanda resigns

I / Kathmandu May 4, 2009, 16:13 IST

 Nepal's Prime Minister Prachanda resigned today after his Maoist government's decision to sack the army chief was scuttled by the President, deepening the political crisis and raising the spectre of renewed rebel unrest in the country.     

"I have resigned from the post of prime minister from today for the protection of democracy and peace," 54-year-old Prachanda, who had taken the reins of the country eight months ago, said in a televised address to the nation.     

The announcement came after President Ram Baran Yadav directed Army Chief General Rukmangad Katawal to continue in office, saying his dismissal by the cabinet does not "meet the constitutional requirements and due process."     

The Maoist regime accused Katawal of defying the government's orders by reinstating eight Generals retired by the Maoist administration. "The move by the President is an attack on this infant democracy and the peace process," Prachanda said, accusing him of taking an "unconstitutional and undemocratic decision."