Losing the battle against the army chief and compelled to quit after being deserted by its allies, Nepal's Maoist party on Tuesday said it would now take the fight to the floor of the interim parliament, in a retaliatory move that is bound to deal another blow to the wilting peace process.

"We have decided not to allow the interim parliament to conduct regular proceedings till army chief Gen Rookmangud Katawal is sacked and the unconstitutional step taken by the President, Dr Ram Baran Yadav, is rectified by the new government," Maoist spokesperson and lawmaker Dinanath Sharma said after the parliamentary wing of the party called a council of war on Tuesday to discuss its new strategy.