The UN Security Council Resolution 1737 was adopted "upon the decision of certain countries and is legally inapplicable," said deputy chief of Iran's Atomic Energy Organization Mohammad Saeedi.

Saeedi said that since there is no indication of any diversion of Iran's peaceful nuclear activities in reports made by the International Atomic Energy Agency (IAEA), the resolution is thus void of any legal value.

No international authoritative body has ever referred to any diversion of Iran's nuclear program and the only reports claiming threatful nature of these activities are prepared by the U.S. intelligence services, the Iranian nuclear official said.

The resolution, adopted unanimously by the UN Security Councilon Saturday, demanded that Iran "suspend all enrichment-related and reprocessing activities, including research and development, and work on all heavy water-related projects."

The resolution called on all states to impose a ban on trade with Iran in goods related to its nuclear programs and ballistic missile delivery systems.

It also demanded that "all states shall freeze the funds, other financial assets and economic resources" owned or controlled by officials and companies in the country's nuclear and missile programs.

But Saeedi said that the sanctioned commodities have no bearing on the development of Iran's peaceful nuclear program, according to the IRNA report.

Iran's nuclear project would be carried out according to schedule under IAEA supervision, he said, referring to Iran's plan to install 3,000 centrifuges at its Natanz uranium enrichment plant by March 2007.

The United States has long accused Iran of trying to produce nuclear weapons under a civilian cover, a charge denied by Tehran.

Iran has said that it needs to use nuclear power as a peaceful, alternative energy source and has the right to do so under the nuclear Non-Proliferation Treaty.

The UN Security Council adopted a resolution in late July, urging Tehran to suspend by Aug. 31 all enrichment-related and reprocessing activities, including research and development, or face possible sanctions.

Due to Iran's refusal to suspend uranium enrichment, European countries and the United States had sought a new resolution to impose sanctions on Tehran.