Tehran, Sep 18 (DPA) Iranian President Mahmoud Ahmadinejad Friday called the mass murder of Jews by the Nazis a 'fairy tale' and urged continued resistance against Israel's 'Zionist regime'.

'The Holocaust is a false claim, a fairy tale, used as a pretext for crimes against humanity,' the Iranian president told an anti-Israel rally in Tehran.

If the Holocaust was true, then it was committed by Europeans who should, therefore, also be responsible for compensation, he said.

'When you (Europe) confess having committed such a crime, so also provide the Jews with lands in Europe, America or Canada,' Ahmadinejad said. 'Why should the Palestinians suffer from an incident in which they were not involved?'

Ahmadinejad made the comments on the occasion of 'Quds Day'.

Grand ayatollah Ruhollah Khomeini, the late supreme leader of the 1979 Islamic revolution, declared the last Friday of the fasting month of Ramzan as Quds or Jerusalem Day and called for mass rallies against Israel and in support of Palestinians.

Iran does not recognise Israel and considers its government as the main root of all problems in the Middle East.

'Even the crises in Afghanistan, Iraq and even Sudan are a plot by the Zionists,' the president said.

The Western world should realise that Israel had no future and was on the verge of collapse, Ahmadinejad told a Quds Day gathering.

He said Iran would never stop opposing Israel and would urge other Muslim states to join Iran against Israel.

'It is our national, religious and Islamic duty to continue confronting the Zionist regime as this regime has threatened the national security of all regional states,' the president said.