London, Oct. 16 (Reuters): The US and its chief ally Britain have warned Iran over its possible involvement in insurgent bomb attacks in Iraq, top officials said today.

Iran denies meddling in Iraq and says the accusations against it are psychological warfare tied to efforts by Washington and London to report Tehran to the UN Security Council for possible sanctions over its nuclear programme.

British Prime Minister Tony Blair said this month there was evidence that Iran or its Lebanese Hizbollah allies were the source of sophisticated technology used in roadside bombs, known as improvised explosive devices, that have targeted British soldiers in southern Iraq.

US secretary of state Condoleezza Rice today said Washington had warned Tehran over the issue. Blair has said the Iraq bombings may have been an attempt by Iran to intimidate Britain over its tough stance in talks to limit Tehran’s use of nuclear technology.

Britain denial

Britain denied Iranian accusations that it was behind the twin bombings that killed five people in southwestern Iran.

Tensions between Tehran and London were exacerbated by deadly explosions in southwestern Iran yesterday which some state media blamed on Britain. Two homemade bombs, placed in garbage bins, detonated three minutes apart in Khuzestan’s capital Ahvaz.