Iran's new vice president denies resigning

"Certain Internet sites published a report about Mr Mashaie's resignation as first vice president in a coordinated action aimed at tarnishing the government," said a statement on his personal website www.mashaie.ir, AFP reported.

"This is a lie, and these rumours have been spread by the enemies... of the government," it said.

On Sunday, state-owned English-language channel Press TV reported that Mashaie, a close aide to Ahmadinejad, had resigned three days after his appointment, which was strongly opposed by hardliners among the newly-re-elected president's own support base.

Mashaie is an outspoken figure who last year earned the wrath of hardliners, including supreme leader Ayatollah Ali Khamenei, for saying Iran is a "friend of the Israeli people."