Bankrupted by a raft of defamation actions instigated by leaders of the ruling People's Action Party (PAP) and facing expulsion from Parliament, the 76-year-old campaigner was replaced as party general secretary at the weekend.

"I decided it was time to let someone else take over and run the party," he said yesterday. "But I'm not giving up politics. I will be standing for election again."

The veteran politician's ambitions to contest the general election expected later this year hinge on an appeal to be heard in July against a bankruptcy order issued after he failed to meet a repayment deadline on one of his numerous defamation judgments.

If he loses, he will be thrown out of parliament, barred from standing in the next election and prohibited from practising law.

Mr Jeyaretnam has been a thorn in the side of the government, and a relentless critic of his arch-rival, Senior Minister Mr Lee Kuan Yew, since he was elected general secretary of the Workers Party in 1971. He broke the PAP's 16-year monopoly on power when he was elected to Parliament in 1981.

But his outspoken stands have seen him lose several big libel actions brought by prominent members of the Government, including Mr Lee and the Prime Minister, Mr Goh Chok Tong, who have used the legal system with devastating effect to counter their opponents.

Mr Jeyaretnam says he has paid more than $1.6 million in damages and legal costs so far and still owes more than $600,000, which he has struggled to pay in instalments.

Seven other cases involving government ministers he criticised during the last elections are still pending.

The case that brought the bankruptcy order in January involved an article in the Workers Party journal, The Hammer, which accused leaders of a Tamil group of failing to look after the interests of the minority community.

"It was perfectly fair criticism and damages should never have been awarded against us, but in Singapore everything is defamatory," Mr Jeyaretnam said.

"I was only a few hours late with a payment and so I was declared bankrupt. If I lose my appeal I will have to vacate my seat and I can't stand for election again."

Despite the rising financial toll of speaking out, Mr Jeyaretnam is determined to maintain his rage and is optimistic about the prospects for the Opposition parties, which have never held more than four seats in the 83-seat legislature. He remains unimpressed with the view that Singapore is becoming more tolerant of political dissent. "I don't believe it. It's all eyewash. It's a sham."