A US official has denied Iranian media reports that $7 billion of Iran’s frozen funds in South Korea will be freed in exchange for the release of three American dual citizens held hostage.

The Wall Street Journal correspondent quoted an unnamed US official Monday as saying that “These negotiations have not been successfully concluded. Any reports, otherwise, including reports about the transfer of Iranians funds are false”.

Warning of Iran’s “propaganda campaign” that regularly suggests progress on a prisoner swap agreement, the source said that such reports usually appear whenever the Iranian rial is under strong market pressure, adding that there is “no reason to think any different this time” given denials by the US and South Korea.

Iran’s currency hit a new lowagainst the US dollar in over two months, as nuclear talks remained deadlocked.

“Given the sensitivity, we urge caution on anything other than official” US confirmation on this topic, the source added.

A senior Politico correspondent quoted her sources as saying that “contrary to Iranian claims, the US and Iran are NOT on the verge of an agreement to release American hostages and unfreeze funds for Iran”.

Iran official government news website, IRNA reported Mondaythat a senior foreign official would visit Iran on Tuesday to conclude a deal to free the frozen funds. The foreign ministry immediately denied the claim.

Source » iranintl