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This paper proposes a new scheduling scheme that exploits multiuser diversity to improve the shared channel utilization and the downlink capacity of the cell by reducing the intra cell interference in CDMA based cellular networks with relays. The scheduling algorithm accomplishes this by choosing a one hop (base station to mobile) or two hop(base station to relay and then from relay to mobile) path that yields the best channel throughput while using low transmission power for the shared channel. The reduction in transmission power(cost) for the shared channel reduces the total base station transmit power, thus reducing the multi-access interference and improving the downlink capacity. Simulation results show that by making use of relays the proposed scheduling scheme improves the throughput and channel conditions of the users on the shared channel and at the same time reduces the interference for other users.