In a statement read to the US Senate Foreign Relations Committee, Richard Hermitage, the Under Secretary of State in charge of the Middle East said the United States intends to pursue a "flexible, dynamic and multifaceted" policy toward Iran in order to encourage the Iranian people's desire for greater freedom while countering negative policies of their government, such as pursuit of weapons of mass destruction and support for terrorism".

However, he warned that relations would not improve until Iran hand over to the American Justice the members of the al-Qa’eda organisation it held in its prisons, stops supporting terrorist groups and renounces to producing nuclear weapons.

In response, Mr. Abdollah Ramezanzadeh, the Iranian government official spokesman said that the United States must take "practical steps" to improve relations with Iran. "We are looking forward to the US practical measures", he said, adding that Washington must end sanctions it had enforced against the Islamic Republic, free Iranian assets it has blocked and ends baseless charges in order to build confidence.

For his part, President Mohammad Khatami found "nothing new" about the accusations made by Mr. Armitage.

Addressing reporters after attending a cabinet meeting Wednesday, in response to a question on US charges against Iran, the Chief Executive termed it as "baseless and outdated", IRNA reported.

"Iranian authorities use torture, arbitrary detention and excessive force to repress the freedoms of speech, association and religion", said Armitage, adding that Iran's pursuit and development of weapons of mass destruction have aroused international concern. Iran also continues to be the world's foremost state supporter of terrorism, not only through support of organizations such as Hizballah, Hamas, and Palestinian Islamic Jihad, but the United States also believes elements of the Iranian government have helped members of al-Qaida and Ansar al-Islam transit and find safe haven in Iran".

Though some Iranian political analysts shared Mr. Khatami’s views, however, they said Armitage’s latest statement was "encouraging", specially in regard of his assessments of the Iranian political situation.

In his prepared remarks, Armitage said the Iranian people were now "engaged in a very rich and lively debate about the kind of society they want for themselves and for their children", including the desire for substantial economic and democratic reforms.

"The agreement reached last week in Tehran between the Iranian authorities with the foreign affairs ministers of France, Germany and the United Kingdom concerning Iran’s atomic projects has had diminished Washington’s concern over Iranian atomic projects for a great deal and paved the way for a more amenable atmosphere in relations between Iran and the United States", observed Mr. Hooshang Amir Ahmadi, the Chairman of the American-Iranian Council, that encourages rapprochement between Tehran and Washington.

He said though Mr. Armitage did not mentioned the situation of human rights in his remarks to the Senate, but it does not mean that the issue is no more a matter of concern for Washington.

The deputy secretary listed U.S. concerns over what he termed the "negative and destructive policies and actions" taken by the Iranian government, namely its poor human rights record, its nuclear, biological and chemical weapons programs, and its support for terrorist organizations.

The United States, he said, does not seek conflict with Iran. However, to counter negative Iranian activities, the United States is employing sanctions, interdiction, law enforcement, diplomacy, and international public opinion, said Armitage. He said such measures "will be especially effective" if other countries participate in a sustained effort.

But Mr. Amir Ahmadi, who is also teaching Middle Eastern policies at New York universities, doubted the Iranian clerical-led regime could be more explicit in its conflictual relations with the United States.

Washington cut off all ties with the Islamic Republic and imposed unilateral sanctions after Iranian students stormed the American embassy in Tehran on 4 November 1979, taking 55 American diplomats and staff as hostages for 444 days.