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A row over an ancient Jewish cemetery discovered during redevelopment in Prague has exposed deep divisions within Judaism.

Discovery of human remains from a long-lost Jewish graveyard halted construction work. The local Jewish community regarded the disturbance as accidental, but Orthodox Jews around the world have been angered by the "desecration" of a cemetery closed in the 15th century.

An agreement designed to preserve the cemetery and allow building work to go ahead was reached between the Czech government and developers, insurance company Ceska Pojistovna. The Federation of Jewish Communities in the Czech Republic was satisfied, but Orthodox Jews in Britain, America, Israel and elsewhere were not. Orthodox groups began a campaign to halt further work.

Alarming messages alleging destruction of the famous Old Jewish Cemetery in Prague's Old Town were posted over the internet, and this month groups of Hassidic Jews began flying into Prague to demonstrate. An agreement guaranteeing the preservation of the cemetery and allowing access throughout construction work to an Orthodox rabbi may now prevent further protests.

Differences over the issue reflected age-old divisions within Judaism, scholars said. Jonathan Webber, fellow in Jewish social studies at the Oxford Centre for Hebrew and Jewish Studies, said the legacy of the Nazi Holocaust meant that surviving Jewish communities were small and largely secular.

"There is a wider question behind all this: what to do with the heritage of a people that has been murdered. For religious reasons Jews want to preserve their cultural heritage."

John Klier, professor of modern Jewish history at University College, London, said that in a decentralised religion, disputes over different interpretations of practice and law were inevitable. "The Hassidic protesters are a relatively small minority in the Jewish world, but they hold firm convictions and take an absolutist view.

"Many non-Orthodox Jews would take the view that, at the end of the day, it is appropriate for the local community to make the decision over the cemetery."