Iranian Foreign Ministry spokesman Mohammad Ali Hosseini on Monday rejected U.S. allegations that Tehran had provided armor-piercing roadside bombs to Iraqi insurgents, terming it as "baseless and unacceptable."
"These accusations in the past several months cannot be trusted and are without any foundations, the American have a long history of fabricating evidence," Hosseini told reporters.
"They made the allegations in order to create propaganda, and these allegations are baseless and unacceptable," he added.
"We (Iranian leaders) believe any intervention in Iraq's internal affairs will destabilize the popular Iraqi government, and we are opposed to do that," the spokesman stressed.
A group of U.S. military officials in Baghdad on Sunday released some pictures, which they said were "proof" of Iranian agents' providing of "explosively formed penetrators" (a kind of roadside bomb) to Iraqi insurgents.
The officials said these bombs have killed 170 U.S. soldiers in Iraq since May 2004, adding that the "machining process" of making such bombs had been traced to Iran.
According to the reports of local Far news agency, Hosseini also addressed Iran's nuclear issue, saying that Tehran would continue its cooperation with the International Atomic Energy Agency (IAEA) within the boundaries of the Non-Proliferation Treaty (NPT).
Hosseini also dismissed possible more severe sanction resolution by the UN, saying that Iran had never welcomed sanction, adding that sanctions in the past 27 years were all aimed at undermining Iran's political independence.
"The Islamic Republic officials are striving to devise appropriate plans and decisions to lower costs and enhance national motives for resistance in a bid to encounter enemies' sanction option and make it null and void as before," he added.
Asked about a recent nuclear proposal made by Switzerland, the spokesman said "we don't have the contents of what the Swiss have proposed up to now, but if these proposal protect Iran's right to nuclear materials, this can be examined."
Switzerland represents U.S. interests in Tehran in the absence of an American embassy. This is the first time Iranian officials openly discuss such a proposal.
A few moments after Hosseini's remarks, the state media reported that Iran's chief negotiator Ali Larijani Monday would meet with Swiss President and Foreign Minister Micheline Calmy-Rey in Bern, Switzerland.
The UN Security Council last month passed Resolution 1737, imposing sanctions on Iran's nuclear and missile programs and calling on Tehran to suspend enrichment activities.
However, Iran rejected the resolution and vowed to install 3, 000 centrifuges by March of 2007.
The West has long accused Iran of trying to produce nuclear weapons under a civilian cover, a charge denied by Tehran.