Tuesday, August 8 2006 10:19 Hrs (IST) - World Time -

Kathmandu: Maoist rebels yesterday (Aug 7,2006) said that peace talks with the Government were on the verge of collapse in the wake of the Nepalese Prime Minister's 'objectionable' remarks that the King should be given a space in democracy.

Senior Maoist leader Baburam Bhattarai also warned that the rebels would take to the streets and break the ongoing peace talks if the government and the parties kept their insistence on the rebels laying down their arms.

Prime Minister G P Koirala's remarks would create hindrance in the ongoing peace talks, he said addressing the annual general meeting of the Federation of Nepalese Chambers of Commerce and Industries (FNCCI) here.

Koirala yesterday said "All including the monarch should be given a role in democracy. Each class, institution including the King and the Maoists should be given a space in democracy, so that they did not get frustrated."

"The peace talks have reached a very critical stage and are on the verge of collapse," Bhattarai said while referring to Koirala's remarks.

He, however, said it does not mean the rebels would return to the jungle as in the past, but would launch peaceful agitation in the capital and other urban areas.

"You don't need to tame any kind of confusions here," he explained.

"Our chairman Prachanda too has pledged time and again that we would not go back to jungle again."

"Even if we have to carry on our struggle, we will do it peacefully here in the capital and cities," Bhattarai said.