Palestinian president's spokesman on Saturday described Iran's delivering funds to Palestinians as a "flagrant intrusion into internal Palestinian and Arab affairs."

"It would have been better if Iran would send its funds to the Palestinian institution responsible for Palestine's heroes and their families, rather than resorting to crooked ways and illegal means," said the spokesman Nabil Abu Rudeinah, according to the official news agency WAFA.

He slammed the remarks of international adviser for the Iranian Shura Council Hussein Sheikh al-Islam, the one saying Iran will not transfer money to martyrs of the current uprising through the Palestinian National Authority (PNA) because it is dishonest.

The spokesman said the remarks are "unacceptable" as "not just an overriding of the Palestinian legitimacy, but a violation of all laws."

Sheikh al-Islam made the remarks on Saturday to the Palestinian Alresalah online news, which has a closely link with the Islamic Hamas movement.

"Previous experiences proved that the PNA is untrustworthy, so Tehran will transfer funds through its own way," he said, adding that his country "will not hesitate to support the Palestinian resistance."

Iranian Ambassador to Lebanon Mohammad Fatah Ali said on Wednesday that Iran will provide funds to the families of the Palestinians killed during the conflicts with Israel since last October.

The ongoing violence has left over 180 Palestinians and 30 Israelis dead.

The ambassador said each family will receive 7,000 US dollars, while each of those whose house was demolished would receive 30,000 dollars.

The funds are expected to be paid through an Iranian funded charity which is providing aids in several Islamic countries.