He was addressing a crowd of tens of thousands councillors in Tehran as his supporters marked the second anniversary of his surprise landslide election victory.

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In his speech, which was broadcast on Iranian television, Mr Khatami said differences of opinion should exist in society, and it was the duty and the skill of the government to consolidate such differences of opinion and allow them to flourish.

"No one should hide behind the principles of the 1979 revolution, or use them as a cover for ousting political rivals," he said.

Defend freedom

But the president warned against using freedom to spread anarchy and chaos, saying people should do their best to defend freedom, because it was compatible with Islam.

The sweeping success of Mr Khatami's supporters in recent local elections is widely seen as having paved the way for reformists to eventually win control of parliament, which is currently dominated by conservative elements.