His successor, Lt-Gen Chhatraman Singh Gurung, will be handed over charge Sunday as Katawal goes on a month's leave, as per tradition.
'Katawal has been allowed to retire as per course,' Prachanda said. 'If the government had sacked him before due retirement to indicate it put civil supremacy above the military, that would have been a reconciliatory gesture.'
Prachanda said the resumed protests would continue whether Katawal retired or not. 'The issue is not Katawal the individual but whether civil supremacy prevails over the military,' he said.
The fresh disruptions come ahead of Madhav Kumar Nepal's first official trip to India since assuming office as premier. He is scheduled to leave for New Delhi on Aug 18 and the visit becomes even more significant due to the new turmoil.
The Maoists contend that the army chief was sacked for insubordination as well as trying to derail democracy. But they failed to fire the general because President Ram Baran Yadav came to his rescue and reinstated him.
The enraged Maoists say the president exceeded his constitutional powers by opposing the decision of the elected government and want to deliver a snub to the president through the parliamentary debate.
However, the other major parties in the house have been opposing a debate on the president's conduct.