Kathmandu, Aug. 17 -- A proposal to make Sanatan religion a national identity has deepened divisions within the faction of the Nepali Congress led by Sher Bahadur Deuba, preventing the party's national gathering from issuing its conclusions and forcing the postponement of a scheduled press conference on Monday.

Leaders opposed to the proposal argue that the Nepali Congress, which led the drafting and promulgation of the current constitution, should not adopt a new political line that could undermine the constitutional gains it helped establish.

At Deuba's urging, a five-point proposal calling for Sanatan Dharma to be promoted as Nepal's national identity was passed by the closed session on Monday. Leaders including Krishna Prasad Sitaul...