President Gen Pervez Musharraf will stay on as army chief if he is not re-elected president, the attorney general said on Tuesday, as the Supreme Court prepared for a ruling that could decide the fate of his bid for another five-year term.

Musharraf, a close US ally who seized power in a 1999 coup, has pledged to step down as military chief if lawmakers award him a new presidential mandate in a ballot on October 6.

At a Supreme Court hearing, a judge asked Attorney General Malik Mohammed Qayyum what would happen if Musharraf was not re-elected. Qayyum said Musharraf’s position was that, “If I am not elected, then I will remain chief of army staff”.

He said Musharraf could continue as army chief under a law that allows him to hold both positions at the same time and suggested he could retain the powerful military post as long as he remains president. The law expires at the end of 2007 although his presidential term ends on November 15. The remarks could sharpen criticism of Musharraf’s re-election plan and also of a crackdown on Opposition parties who argue that he is ineligible to run, particularly while he remains army chief. They also could fuel persistent talk — encouraged by hard-liners in Musharraf’s camp — that the General could impose a state of emergency or impose martial law if the court blocks his way.

Qayyum denied such plans. “There will be no martial law,” he said. “There will be no emergency.”

Meanwhile, security was tight for the second consecutive day near the Supreme Court building, with a ban on gatherings of more than five people and police checkpoints on roads leading into the capital. A nine-judge panel was considering several challenges to Musharraf's re-election bid after rejecting a few on Monday, mostly on technical grounds. A decision was expected within days. The Opposition claims Musharraf can't run as long as he also retains his role as chief of the army.

Musharraf has seen his popularity and power erode since his botched effort to fire the Supreme Court's chief justice earlier this year.