Palestinian caretaker government with Salam Fayyad as PM replaces emergency cabinet.
Dozens of Palestinians from the list of 256 prisoners leave for West Bank.
Possible mediator
Malouh, 61, was arrested in 2003 and is said to be ill.
A member of the Palestine Liberation Organisation’s executive committee, he is considered close to Abbas and could serve as a mediator with Hamas.
Israel continues to hold about 10,500 Palestinian prisoners.