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Although the president has the support of the Islamic Revolutionary Guards Corp (IRGC), the clerics still have considerable power over the country's charitable foundations (Bonyads). These multibillion dollar business organizations don't report their income or pay taxes. They report directly to Supreme Leader Ali Khamenei. Their participation in the economy is crucial. They could make life difficult for Ahmadinejad's presidency by increasing their business clout in areas where the IRGC is trying to muscle in. These industries include energy, construction and the import/export sector. Last year, these clerics scored a major victory. Bonyade Mostazafin (Charity foundation for the dispossessed) was allowed to buy and sell oil, allowing them to compete directly with Iran's National Oil Company. This raised the fury of Ahmadinejad's supporters. As means of checking Ahmadinejad's power, they could expand further into this sector, or compete in the lucrative construction sector. These companies also have huge financial assets. These can be used to finance new businesses which compete directly with the IRGC.

They could also side with Ayatollah Rafsanjani. It is an accepted fact that Rafsanjani financed part of Mousavi's campaign. This obviously dented Ahmadinejad's popularity. So much so, apparently, that Ayatollah Khamenei felt compelled to assist the president by allowing fraud. Rafsanjani is already a millionaire many times over. Should the clergy start helping him financially, using his political muscle in the Assembly of Experts and the Expediency Council, he could further challenge Ahmadinejad politically.

“I see the country’s political elite more divided than anytime in the Islamic Republic’s 30-year history,” said Karim Sadjadpour, a political analyst with the Carnegie Endowment for International Peace. “Rafsanjani, one of the republic’s founding fathers, the man who made Khameini Supreme Leader, is now in the opposition.”

“I see the country’s political elite more divided than anytime in the Islamic Republic’s 30-year history,” said Karim Sadjadpour, a political analyst with the Carnegie Endowment for International Peace. “Rafsanjani, one of the republic’s founding fathers, the man who made Khameini Supreme Leader, is now in the opposition.”

It seems clear that the 75-year-old is at the center of a fight for the future of the Islamic Republic. Mr. Rafsanjani’s vision of the state, and his position in his nation’s history, is being challenged by a new political elite led by Mr. Ahmadinejad and younger radicals who fought Iraq during the eight-year war.

the accusations and the insults that Ahmadinejad directed at some of the most senior politicians such as Hashemi Rafsanjani, Mohammed Khatami and even Natiq Nouri – who is one of the most senior advisers to the Supreme Leader whose children Ahmadinejad accused of accumulating wealth illicitly – not only deepens divisions between different branches of the government but also brought these divisions into public view for the first time and in an unprecedented manner.

In the letter, Rafsanjani requested that Khamanei break his silence but what happened on Saturday morning, a few hours after the elections, and even before the final results were announced, was that Khamanei rushed to congratulate Ahmadinejad and endorsed the results. That was not normal at all because usually after elections the Council of Guardians and the Ministry of Interior await complaints that may be raised by parties taking part in the elections, expecting there to have been irregularities. Presidential candidates have the right to raise complaints before the results are verified but the Supreme Leader did not wait for this process to take place and he quickly congratulated Ahmadinejad who in turn called on his supporters to celebrate in Vali Asr in Tehran and Iranian state television began to broadcast messages of congratulations from various leaders and presidents to Ahmadinejad on his reelection.

if the results weren’t final and the candidates could raise their complaints how could the Supreme Leader declare his support for the results? The Supreme Leader’s behavior caused a lot of serious questions to be raised by the grand Ayatollahs in Iran and members of the Assembly of Experts headed by Rafsanjani, which has the right to dismiss the Supreme Leader according to the Constitution. It raised many questions about the Supreme Leader’s validity.

"Like you, I believe the correct path is reforms that return to (Islamic) principles but refine them," Mousavi said Tuesday in a message to Khatami

"Mousavi is seeking to win the support of both reformers and moderate conservatives," said Tehran-based political analyst Hedayat Aghaei.

He clashed with Khamenei — then Iran's president — over political authority and powers. The prime minister post was eliminated after Mousavi's term.

A camp of pragmatic clerics and politicians led by Rafsanjani, while loyal to the revolution's principles, wants to build better ties with the West and a more friendly image of Iran."What is clear is that the leadership is far more polarized and splintered than has been clear in the past," said Anthony Cordesman, a former Pentagon analyst with the Washington-based Center for Strategic and International Studies.

"Now that the leader has made clear he was supportive of Ahmadinejad and sharing the same vision of the future of the Islamic Republic, it can be taken as a major defeat for Rafsanjani and for the political options he promotes," said Frederic Tellier, an Iran expert in the International Crisis Group, a Brussels-based think tank.

Rafsanjani was president between 1989 and 1997, but failed to win a third term when in 2005, losing to Ahmadinejad in a runoff. He was a close follower of the late Ayatollah Ruhollah Khomeini, father of Iran's Islamic Revolution. He now heads the Expediency Council, a body that arbitrates disputes between parliament and the unelected Guardian Council, which can block legislation.He also is the head of the powerful Assembly of Experts, which comprises senior clerics who can elect and dismiss the country's supreme leader.

The influential former Iranian Prime Minister, Mir Hossein Mousavi, will contest the Iranian presidential election on 12 June. Mr Mousavi, who speaks Persian, English and Arabic, held office during the Iran-Iraq War of 1980-1988. His candidacy may split voters opposed to Mahmoud Ahmadinejad, the current president who is likely to stand again. His rivals include ex-President Mohammad Khatami and Mahdi Karroubi, both of whom are leading moderates.

Mr Mousavi was the prime minister under the presidency of Ayatollah Ali Khamenei, who is now the Islamic Republic's supreme leader. He is also a member of Iran's Expediency Council which is the country's top political arbitration body.

t's rumble time in Tehran. At dozens of intersections in the capital of Iran thousands of students are protesting on a recent Friday around midnight, as they do nearly every night, chanting pro-democracy slogans and lighting bonfires on street corners. Residents of the surrounding middle-class neighborhoods converge in their cars, honking their horns in raucous support. Suddenly there's thunder in the air. A gang of 30 motorcyclists, brandishing iron bars and clubs as big as baseball bats, roars through the stalled traffic. They glare at the drivers, yell threats, thump cars. Burly and bearded, the bikers yank two men from their auto and pummel them. Most protesters scatter. Uniformed policemen watch impassively as the thugs beat the last stragglers.

These Hell's Angels are part of the Hezbollah militia, recruited mostly from the countryside. Iran's ruling mullahs roll them out whenever they need to intimidate their opponents. The Islamic Republic is a strange dictatorship. As it moves to repress growing opposition to clerical rule, the regime relies not on soldiers or uniformed police (many of whom sympathize with the protesters) but on the bullies of Hezbollah and the equally thuggish Revolutionary Guards. The powers that be claim to derive legitimacy from Allah but remain on top with gangsterlike methods of intimidation, violence and murder.

Who controls today's Iran? Certainly not Mohammad Khatami, the twice-elected moderate president, or the reformist parliament. Not even the Supreme Leader Ayatollah Ali Khamenei, a stridently anti-American but unremarkable cleric plucked from the religious ranks 14 years ago to fill the shoes of his giant predecessor, Ayatollah Khomeini, is fully in control. The real power is a handful of clerics and their associates who call the shots behind the curtain and have gotten very rich in the process.