Iran rejects US demand to halt atom work

Iran will not halt sensitive nuclear work as demanded by US President Barack Obama's administration, a close aide to President Mahmoud Ahmadinejad said yesterday.

The new administration has said Mr Obama would break from his predecessor by pursuing direct talks with Tehran but has also warned Iran to expect more pressure if it did not meet the UN Security Council demand to halt uranium enrichment.

Adviser to the President, Aliakbar Javanfekr said Iran had no intention of stopping its nuclear activities, which the United States and other western powers suspect are a front to build nuclear arms.

"We have no non-peaceful activities to suspend. All our activities are peaceful and under the supervision of the IAEA," he said in an interview in government offices in Tehran. Asked about UN resolutions demanding Iran suspend uranium enrichment, he said: "We have passed that stage. We have rejected resolutions. Those resolutions were issued under US pressure. We work in the framework of international laws."

"Obama should act realistically to avoid repeating (George W.) Bush's mistakes," he added.

Three rounds of UN sanctions have been imposed on Iran for not stopping and the Bush administration had sought a fourth.

Iran has repeatedly dismissed the impact of sanctions, and Mr Javanfekr echoed this by saying sanctions were "ineffective". Analysts say the measures are making it more costly for Iranian firms to do business and deterring foreign investors.

Mr Obama's administration has said it would use "all elements of our national power" to address concerns about Iran's nuclear programme and has not ruled out military action if needed.

Iran says it is prepared to defend the country if attacked.

Neither Mr Obama nor his top aides have said exactly how they may approach Iran. Mr Obama said in his first formal television interview that Washington was prepared to extend a hand of peace if Iran "unclenched its fist".

Mr Ahmadinejad said yesterday Iran would welcome Mr Obama's offer of a change in US policy but said it must involve withdrawing US troops stationed abroad and an apology for past "crimes" against Iran.

"America has always extended a clenched fist towards Iran ... If America unclenches its fist Iran will extend a hand of cooperation towards America," he added.

US Secretary of State Hillary Clinton has said Tehran had a "clear opportunity" to show the world it is willing to engage. The White House website also said Obama "supports tough and direct diplomacy with Iran without preconditions".

When Iran was offered talks with the US and world powers over its nuclear plans on condition it halted its atomic work, Iran said it did not accept preconditions.

But in response to the adminisration's suggestion of direct talks, Javanfekr said Iran had its own conditions.

"We are ready for talks with some preconditions ... including ending America's military presence in Iraq and Afghanistan," he said and repeated the demand for an apology.