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The high court in Sharif's hometown of Lahore agreed with the petitions of his opponents that Sharif had been convicted in 1999, the year when the prime minister was ousted in a bloodless military coup led by current President Pervez Musharraf.

A favorable ruling would have allowed Sharif to contest in the election, set for Thursday. Sharif heads a faction of the Pakistan Muslim League in the ruling coalition led by the Pakistan People's Party (PPP).

The same court, however, allowed Sharif's brother Shahbaz to stay on as Punjab chief minister by keeping a similar petition against him pending until it is decided by an election tribunal.

The two brothers have faced legal challenges to their nomination to contest in elections, despite being allowed to stay in the contest by the election commission, Pakistan's Dawn newspaper reported.

It was not clear if Nawaz Sharif would appeal the decision to the Supreme Court.

There are sharp differences between the two major partners in the 5-month old coalition.

They deal mainly with when and how to reinstate senior judges dismissed last November by President Musharraf during his emergency rule. The two also are divided over how to deal with Musharraf's future.

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