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Bush: US to Seek Sanctions Against Iran if Incentive Deal Fails


President Bush says he will refer Iran to the UN Security Council for possible sanctions, if it rejects a European offer to end nuclear enrichment in exchange for economic incentives.

Mr. Bush told reporters in Washington on Wednesday that he hopes Iran will realize that the world is clear about making sure Tehran's government does not develop nuclear weapons. But in an apparent rejection of the European offer, Iranian President Mohammed Khatami saidon Wednesday that no incentives would be enough to convince Tehran to renounce its uranium enrichment program. He also repeated his government's denial that it is seeking to build nuclear weapons. Meanwhile, in London, International Atomic Energy Agency chief Mohammed ElBaradei welcomed US support for the European plan, and urged Iran to be more transparent about its past nuclear activities.

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