Rafsanjani said that (with signing an agreement with the MKO terrorist organization in Iraq), the Americans indicated their insincerity in the international campaign against terrorism.

He said that the Iraqi people do not trust the Americans. The Americans are apprehensive about the people approaching them, and on the other hand, the Iraqis don't like the Americans.

He said that the heavy US bombings of residential areas and Iraqi schools and the magnitude of the high human casualties are too hefty to forget in a matter of months or years. The Americans have a difficult time ahead with the antagonist sentiment the Iraqis hold toward them for the human cost of getting rid of the deposed regime.

He described the ceasefire agreement between the US Army commander in Iraq with the terrorist MKO as a great scandal and said that in the wake of the terrorist attacks in the United States, Washington was portraying itself as anti-terrorist, but, it entered into a deal with the terrorist group which they have nurtured and given it a safe haven in Washington.

The US has currently signed cooperation agreement with the terrorist group that planted bombs at the Friday Prayers congregation, he said.

Ayatollah Rafsanjani said that the world doesn't accept such hypocrisy and the Iraqi nation also object to the deal allowing terrorist group to keep arms and pursue sabotage against neighboring Iran.

He hailed Iran's neutral diplomacy in the course of Iraq war and said that Iran was neutral during the war and sees fall of Saddam Hussein's regime and the Baath Party rule in the interest of the Iraqi people and the entire region.

He said that Iran has objection to continued presence of the American troops.

"If the US doesn't follow a colonialist approach, it would help the Iraqi people and Iran views it as positive. Washington should help the Iraqis pass the difficult time and Iran and other neighboring countries should help Iraq in its recovery and reconstruction drive and become self-reliant," Rafsanjani said.

Iran has objections to the US efforts to drive a wedge among neighboring states and creating tension in the region, he said.

"The Iraqi people are brave and capable of running their own administration. We all should cooperate to help form a national and democratic government for Iraq as quickly as possible," he said.

Khamenei: Situation in Iraq betrays true nature of American democracy

Leader of the Islamic Revolution Ayatollah Seyed Ali Khamenei said on Wednesday that situation in Iraq betrays the true nature of American democracy and British humanitarian slogans, IRNA reported.

In a meeting with thousands of workers and teachers on the eve the International Labor Day (May Day) and the national Teacher Day (May2), the Supreme Leader said that what is going on in Iraq serves as a lesson for other nations.

Referring to Washington's scenario on Iraq's future, the Supreme Leader said that Washington has made it clear that it will not allow establishment of an Islamic government in Iraq even if the Iraq people voted for it.

The Supreme Leader criticized actions of the coalition forces in Iraq in attacking homes of Iraqi people and firing at demonstrations as sigh of "the American and British democracy and humanitarian principles" and said that other nations should take lessons from the events in Iraq.

He described separation of Saddam Hussein's regime from the Iraqi people as the reason for the current situation in the country and said that the occupiers too don't hear the voice of the people and respond to them with bullets. Therefore, they will face the same fate as Saddam (Hussein) did.

The Supreme Leader said that opposition to Iraqi occupation is something normal adding that the occupation forces should not hold Iran responsible for the national protests in Iraq against the occupation.

Iran does not encourage the Iraqi people to hold demonstrations, the Supreme Leader said adding that the protests are a spontaneous reaction from the Iraqi nation to the occupation.

Elsewhere in his remarks, the Supreme Leader condemned the US commander in Iraq for signing a ceasefire agreement with the terrorist Mujahedeen Khalq Organization (MKO) and allowing them to keep arms for sabotage against Iran and said that the move revealed to what extent the United States has been sincere in the international campaign against terrorism.

"The hands of the terrorist MKO is stained with bloods of the Iranian and Iraqi Shias and they are proud of their terrorist record. So, the United States supports such a terrorist group, despite the international campaign against terrorism," the Supreme Leader said.

On Labor Day, the Supreme Leader said that the Prophet Mohammad (PBUH) as the greatest teacher of humanity, kissed the hands of workers which is an indication of status and value of laborers and teachers before God and Islam.

It is the responsibility of all officials to meet financial demands of laborers, teachers as well as various people from all walks of life adding that more concrete measures should be taken in this regard.

Economic improvident is the key to the problems of all laborers, teachers and people, said the Supreme leader adding that control of inflation, boosting national currency, preventing unnecessary expenses, administering justice and removal of discrimination can help improve people's living conditions.

Calling for avoiding slogans which may harm the dignity of laborers and teachers in society, he said the financial problems should be removed but one should not forget that the dignity of these social classes are among the most important issues which should be taken into consideration by Iranian officials.

The Supreme Leader called on people from all walks of life along with the country's officials to help attain dignity, welfare and civilization to encourage Islamic nations to proudly pursue the same pattern.

Prior to the Supreme Leader's remarks, Education Minister Morteza Haji and Minister of Labor Safdar Husseini offered reports on the performance of their ministries.