Justice for the American Diplomats Held Hostage in Tehran Act - Directs the Secretary of the Treasury to establish a common fund to be administered by the class representatives and agents for the former American hostages in Iran and their survivors (case number 1:08-CV-00487 (EGS) of the U.S. District Court for the District of Columbia) in order to pay claims to the American hostages and to family members identified as class members.
Finances the fund from: (1) fines and penalties for violations of activities with respect to any government or person by reason of a connection with Iran, and (2) seized or frozen Iranian assets or assets from persons or entities subject to Iran-related sanctions.
Sets forth payment priority and amount provisions.
States that the United States shall be fully subrogated with respect to payments to all rights of each individual paid under this Act against the government of Iran or the Iranian Revolutionary Guard Corps (IRGC).
[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5796 Introduced in House (IH)]
112th CONGRESS
2d Session
H. R. 5796
To establish a common fund to pay claims to the Americans held hostage
in Iran, and to members of their families, who are identified as class
members in case number 1:08-CV-00487 (EGS) of the United States
District Court for the District of Columbia, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 17, 2012
Mr. Braley of Iowa (for himself and Ms. Ros-Lehtinen) introduced the
following bill; which was referred to the Committee on the Judiciary,
and in addition to the Committee on Foreign Affairs, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee
concerned
_______________________________________________________________________
A BILL
To establish a common fund to pay claims to the Americans held hostage
in Iran, and to members of their families, who are identified as class
members in case number 1:08-CV-00487 (EGS) of the United States
District Court for the District of Columbia, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Justice for the American Diplomats
Held Hostage in Tehran Act''.
SEC. 2. FINDINGS.
Congress finds the following:
(1) In 1979, agents of the Islamic Republic of Iran stormed
the United States Embassy in Tehran, taking American military
and diplomatic personnel hostage.
(2) The Iranian Government then held United States Embassy
personnel as hostages for 444 days, subjecting them to profound
physical and mental abuse, and forcing the United States to
negotiate their release, under duress.
(3) In the resultant agreement (commonly known as the
Algiers Accords) the United States agreed, among other steps,
to bar and preclude the hostages from prosecuting any claim
against Iran in United States courts.
(4) The Algiers Accords were never submitted to Congress
for ratification and none of the hostages or their family
members was consulted by the United States Government or
consented to these provisions precluding prosecution of their
claims.
(5) Notwithstanding the applicability of legal principles
which allowed the United States to renounce this obligation to
bar and preclude the prosecution of claims in United States
courts because they were so clearly negotiated under duress,
the United States Government has repeatedly intervened in
United States courts to preclude the prosecution of any claim
by the hostages against Iran, arguing that, in its opinion,
compliance with this agreement served overriding national
security interests which justified the taking of the hostages'
right to pursue compensation from Iran in United States courts.
(6) The United States Government has failed to propose any
process by which the hostages and their family members could be
compensated for the injuries and damages suffered by them by
reason of the horrific and heinous treatment while in
captivity.
(7) Congress has determined that the provision of
compensation to the hostages and their families through, among
other sources, funds obtained by vesting and liquidating
property in which Iran and its surrogates claim an interest
(including any funds held by the United States, including in
trust) is fully consistent with the Algiers Accords.
(8) Congress has determined that, only upon the payment of
such compensation, should the agreement by the United States
Government to bar and preclude prosecution of such claims in
United States courts be confirmed and ratified by legislation,
notwithstanding the duress under which the United States
originally negotiated that agreement.
SEC. 3. JUSTICE FOR FORMER AMERICAN HOSTAGES IN IRAN.
(a) Common Fund for Hostages.--Not later than 90 days after the
date of the enactment of this Act, the Secretary of the Treasury, in
consultation with the Secretary of State, shall establish a common fund
to be administered by the class representatives and agents for the
former American hostages in Iran and their survivors (as identified in
case number 1:08-CV-00487 (EGS) of the United District Court for the
District of Columbia). Such common fund shall--
(1) be administered to pay claims to the Americans held
hostage in Iran, and to members of their families, who are
identified as class members in case number 1:08-CV-00487 (EGS)
of the United States District Court for the District of
Columbia; and
(2) be administered for purposes of satisfying such claims,
as approved by the class representatives and agents identified
in that case number.
(b) Funding.--
(1) Sources.--
(A) Fines and penalties.--
(i) In general.--The President shall pay to
the fund under subsection (a) an amount equal
to 50 percent of all amounts collected as fines
and penalties by reason of the application of
clause (ii) on or after the date of enactment
of this Act. The total amount of payments that
may be made into the fund under this clause may
not exceed the estimated total amount of
payments to be made under subsection (d).
(ii) Fines and penalties.--The maximum
fines and penalties authorized to be imposed,
in whole or in part, for violations of any
conduct or activities with respect to any
government or person by reason of their
connection with or sponsorship by Iran are
hereby increased by 100 percent.
(B) Seized or frozen assets.--The President is
authorized to pay to the fund under subsection (a)--
(i) any funds or property in which Iran has
an interest, and
(ii) any funds or property in which any
person or entity subject to any law providing
for sanctions against Iran by reason of such
person's or entity's relationship to or
connection with Iran has an interest,
held by the United States (including in the form of a
trust) or subject to any prohibition or regulation with
respect to any financial transactions in connection
therewith. The President is authorized to vest and
liquidate any property identified in this subparagraph
in order to make payment as provided in this
subparagraph.
(2) Timing of funding.--Payments of claims from the fund
under subsection (a)--
(A) using funds held by the United States or funds
that become subject to prohibition or regulation as of
the date of enactment of this Act shall be made not
later than 60 days of the date of enactment of this
Act; and
(B) using funds which come into the possession of
the United States or funds that become subject to
prohibition or regulation after the date of enactment
of this Act shall be paid not later 60 days after
coming into the possession of the United States or
funds that become subject to prohibition or regulation,
as the case may be.
(3) Satisfaction of claims.--Payments to the fund under
subsection (a) shall be made until the amounts described in
subsection (d) are satisfied in full. If the President
determines that the amounts can be fully satisfied within 1
year after the date of enactment of this Act from funds other
than those held by the United States as trustee, the President
may defer payment of funds held by the United States as trustee
until one year after such date of enactment, but shall ensure
during such 1-year period of deferral that any such funds held
by the United States as trustee shall not be disbursed,
transferred or otherwise constrained for payment as otherwise
may be required under this Act.
(c) Distribution of Funds.--
(1) In general.--Funds paid to the fund under subsection
(b) shall be distributed by the class representatives and
agents to the former American hostages in Iran and their
survivors (as identified in case number 1:08-CV-00487 (EGS) of
the United States District Court for the District of Columbia)
in the amounts described in subsection (d).
(2) Priority.--Subject to subsection (d), payments from
funds paid to the fund under subsection (b) shall be
distributed as follows:
(A) First, to each living former hostage identified
as a class member under subsection (a)(1).
(B) Second, to the estate of each deceased former
hostage identified as a class member under subsection
(a)(1).
(C) Third, to each spouse or child of a former
hostage identified as a class member under subsection
(a)(1) if the spouse or child is identified as a class
member under subsection (a)(1).
(d) Amount of Payments.--The amount of payments from funds paid to
the fund under subsection (b) shall be distributed as follows:
(1) For each former hostage described in subsection
(c)(2)(A), $10,000 for each day of captivity of the former
hostage.
(2) For the estate of each deceased former hostage
described in subsection (c)(2)(B), $10,000 for each day of
captivity of the former hostage.
(3) For each spouse or child of a former hostage described
in subsection (c)(2)(C), $5,000 for each day of captivity of
the former hostage.
(e) Subrogation.--The United States shall be fully subrogated, with
respect to payments under this Act, to all rights of each individual
paid under subsection (d) against the Government of Iran or the Iranian
Revolutionary Guard Corps or its affiliates or agents. The President
shall pursue these subrogated rights as claims or offsets of the United
States in appropriate ways until such subrogated claims have been
resolved to the satisfaction of the United States.
(f) Preclusion of Suit and Waiver of Claims.--Upon payment of all
amounts described in subsection (d), each person receiving such payment
shall be precluded from bringing suit against Iran of any claim arising
out of events occurring between November 3, 1979, and January 20, 1981,
and all such claims as against Iran shall be deemed waived and forever
released.
(g) Reimbursement of Seized or Frozen Assets.--Upon payment of all
amounts described in subsection (d), the President is authorized to
make payments from amounts paid to the fund under subsection (b)(1)(A)
to any person or entity described in subsection (b)(1)(B) for purposes
of reimbursing such person or entity for funds or property of such
person or entity held by the United States as identified in subsection
(b)(1)(B).
(h) Deposit of Funds in the Treasury.--Any amounts in the fund
under subsection (a) which remain after the date on which payments of
all amounts described in subsection (d) are made, or the date that is 2
years after the date of the enactment of this Act, whichever occurs
later, shall be deposited in the Treasury of the United States.
<all>
Introduced in House
Introduced in House
Referred to the Committee on the Judiciary, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on the Judiciary, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Subcommittee on the Constitution.
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