Fiji's constitutional crisis worsened yesterday as military rulers bowed to coup leader Mr George Speight and scrapped a constitution that had allowed an ethnic Indian to become prime minister.
They also named as interim prime minister the son-in-law of sidelined President Ratu Sir Kamisese Mara, whose daughter is one of about 30 hostages still being held with the deposed Prime Minister, Mr Mahendra Chaudhry.
Military leader Commodore Frank Bainimarama said Mr Speight would have to be granted an amnesty despite his "criminal act" in taking Mr Chaudhry hostage along with most of his cabinet.
Commodore Bainimarama signed an official decree that revoked the multi-racial constitution and reverted to a 1990 constitution favouring indigenous Fijians.
"There was a definite bias (in the 1990 constitution) for Fijians, especially in allocating specific ministerial portfolios for Fijians, including the prime minister," army spokesman Capt Eroni Volavola said.
Mr Speight earlier told a news conference he was not happy with Commodore Bainimarama's rule, saying he was too close to Mr Mara and to 1987 coup leader Mr Sitiveni Rabuka.
Mr Speight has accused both men of betraying ethnic Fijians.
The state-owned Fiji Broadcasting Corporation said the military had named Mr Ratu Epeli Nailatikau as interim prime minister. His wife, Adi Nailatikau Mara, is among the 30 hostages.
Ms Adi Mara is Mr Mara's daughter and was Mr Chaudhry's tourism minister.
Military sources said that a formal announcement would be made at a media conference today.
Mr Nailatikau was Fiji's army commander until he was overthrown in a military coup in 1987 and later became Fiji's high commissioner to Britain.
Mr Speight and his gunmen stormed parliament on May 19th, seizing power in the name of ethnic Fijians and taking the hostages.
Mr Mara suspended the government on Saturday, claiming sole authority, and said he would appoint a caretaker prime minister.
The military declared martial law on Monday, sidelining Mr Mara. The president was believed to be safe off the country's coast after "stepping aside", the Australian Foreign Minister, Mr Alexander Downer, said.
"We understand that President Ratu Mara is safe and on a patrol boat, which is sailing off the coast of Fiji," Mr Downer told the parliament in Canberra.
The new military government annulled the country's 1997 multi-racial constitution and Commodore Bainimarama agreed to offer Mr Speight amnesty. Along with Mr Mara's departure, the two concessions meant that most of Mr Speight's demands had been met and there was growing speculation in Suva that the hostages would soon be freed.
Commodore Bainimarama told BBC World television that Mr Speight had been promised an amnesty before the army took over and his administration would fulfil that obligation.
Local media reported that negotiations continued between Mr Speight's self-styled civilian government and senior military officials on neutral territory - a theological college campus next to parliament.
FM96 radio station reported at one point that the release of at least some of the hostages appeared imminent but it later said the situation had changed.
The reimposition of the 1990 racially-based constitution was certain to antagonise foreign governments that had pressed Fijian authorities to reject Mr Speight's demands. Some countries have threatened trade sanctions or aid reductions.
The Commonwealth Secretary-General, Mr Don McKinnon, said it would be hard to find an effective way of pressing Fiji to abandon the new race-based constitution. He said the secretariat of the Commonwealth would meet next week.
One of the hostages held at Fiji's parliament was released earlier this morning to attend a funeral, local media reported. Independent radio station FM 96 said an assistant minister from the deposed government of Mr Mahendra Chaudhry, Ms Adi Ema Tagicakibau, was released temporarily through an agreement between the gunmen led by Mr George Speight and the interim military government that took power on Monday night.