Nepal's former rebels withdrew plans Tuesday to form the country's new government _ pushing the Himalayan nation into fresh political turmoil.
The ex-rebels, formally known as the Communist Party of Nepal (Maoist), said they could not lead a new government after their candidate for president was defeated Monday.
"After our candidate was defeated in the president election we have lost the moral grounds to lead the new government," Maoist leader Prachanda told reporters.
He said the party will act as the opposition even though it emerged as the largest political party in the April election. Since then, the political parties have not been …