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The 2000 coup left deep divisions in Fijian society.
The Qarase government pursued controversial legislation proposing to compensate victims and pardon persons convicted of involvement in the coup.
The legislation was presented as a way of laying the past to rest, but further antagonized the Indo-Fijian community as well as some sections of the indigenous Fijian community, including the Republic of Fiji Military Forces.
Tensions between the government and the Military kept the nation in suspense from 2004 onwards, and saw a major escalation around the turn of 2005 and 2006.
The Qarase government narrowly won reelection in May 2006, and subsequently formed a grand coalition with the rival Fiji Labour Party ( FLP ).
The coalition government failed to placate the Military, however, and in late November it became clear that the government could not enforce its authority when the Military began openly defying its orders.
The impasse culminated in a coup d ' état on 5 December.
Commodore Frank Bainimarama declared himself Acting President.
On 4 January 2007, Bainimarama announced that he was restoring executive power to President Iloilo (), who made a broadcast endorsing the actions of the military ().
The next day, Iloilo named Bainimarama as the interim Prime Minister (, ), indicating that the Military was still effectively in control.

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