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Paroubek Appointed New Prime Minister of Czech Republic

Czech President Vaclav Klaus has formally announced Jiri Paroubek as the country's new prime minister, in a move aimed at ending a lengthy political crisis.

Mr. Paroubek will replace former Prime Minister Stanislav Gross, who resigned hours earlier amid a three-month-old political crisis centering on his personal finances.

Mr. Gross's resignation came after the ruling Social Democratic Party and its two coalition partners signed an agreement to continue their cooperation and form a new government.

Under the deal, Mr. Paroubek, currently the Minister of Regional Development, will form a government with the same coalition, which includes the Christian Democrats and the Freedom Union.

The political crisis that led to Mr. Gross's resignation arose from a dispute over how he financed his luxury apartment in Prague six years ago. He has denied any wrongdoing.

Some information for this report provided by AP, AFP.