By Lindsay Beck
ULAN BATOR (Reuters) - Troops pulled back from the streetsof the Mongolian capital on Saturday and political leaderscalled for calm as authorities lifted emergency rule declaredthis week after rioting over alleged election fraud.
There was no sign of the tension that gripped the capital,Ulan Bator, when stone-throwing mobs set the ruling party'sheadquarters on fire in a night of violence on Tuesday thatkilled five people and prompted the president to declareemergency rule for the first time in Mongolia's history.
"The political parties do not want renewed violence," saidY. Otgonbayar, chairman of the ruling Mongolian People'sRevolutionary Party (MPRP). "The primary task at this moment isto keep people quiet and bring back normalcy."
Workers were shovelling charcoal debris out of the MPRP'sheadquarters and authorities had erected a fence around thesoot-covered building, but the security presence was light inUlan Bator.
Of some 700 people detained in Tuesday's riots 400 werereleased on Saturday ahead of end of emergency rule at 1530GMT, state television said.
Earlier, all parties held talks to discuss the impasse overlast week's election, which has delayed the formation of a newgovernment and dampened hopes for action to tackle double-digitinflation and pass mining agreements.
The opposition Democratic Party alleged fraud and pressedfor re-counting and a possible re-vote in some constituencies,after preliminary results showed the MPRP won a clear majorityin the 76-seat parliament, or Great Hural.
Democratic Party leader Tsakhiagiin Elbegdorj said smallerparties were also challenging the result in at least 19constituencies. According to Mongolian law, three-quarters ofthe seats -- 57 -- must be filled for parliament to convene.
The election commission said final results would probablybe made public on Monday at the earliest.
INVESTMENT
International observers say the vote in a country thatshook off decades of Soviet influence in 1990 and embraceddemocratic reform was largely free and fair.
"If irregularities were undertaken or breaches of the lawconfirmed, there should be recounting first, and then if thereis unfairness, a re-vote," said Otgonbayar.
"We were fair in these elections. We are not afraid ofre-voting or re-counting whatsoever."
The demand for a re-vote could spell more instability inthe Central Asian nation after four years of fractiouscoalition rule that has undermined economic growth and held upmining deals seen as key to lifting the country out of poverty.
Beneath the country's vast steppes and deserts lie hugereserves of copper, coal, uranium and other resources, butlarge-scale production has been held up by the lack of anagreement between the government and foreign investors.
One of the biggest projects at stake is Oyu Tolgoi, alsoknown as Turquoise Hill, a copper and gold mine backed byIvanhoe Mines of Canada and Rio Tinto.
But on Saturday, the key concern was maintaining law andorder following lifting of the state of emergency.
"I don't think there will be any more violence," said40-year-old Bold, a herder from western Mongolia.
But he added: "There's no hope unless the parties reallysit down and talk to each other. That's the only way there canbe a result that leads to some sort of better future."
(Editing by Sami Aboudi)
