A Treasury spokeswoman told the Associated Press the cash payments were necessary because of the “effectiveness of USA and worldwide sanctions”, which isolated Iran from the global finance system.
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Congress is set to consider new legislation that would block the Obama administration from awarding Iran billions of US taxpayer dollars in what many describe as a ransom payment, according to a copy of the legislation obtained by the Washington Free Beacon.
The Obama administration acknowledged Tuesday that a $1.7 billion transfer to Iran earlier this year was paid entirely in foreign hard currency.
It would also forbid any future claims until Iran pays the more than $55 billion awarded by USA courts to American victims of Iranian-backed terror and to the Americans held hostage by Iran in 1979, and require certification that any funds provided to Iran will not be used for terrorism.
The news was delivered by the State, Defense and Treasury Departments in a private briefing to congressional staff who [sic] went into the meeting thinking they were learning more detail about the $400 million in payments originally reported in the news media. Congressional officials told the Wall Street Journal that the remaining $1.3 billion was paid in two more installments delivered on January 22 and February 5. The aide was not authorized to speak publicly and requested anonymity.
The money came from a little-known fund administered by the Treasury Department for settling litigation claims. The U.S. previously paid out $278 million in Iran-related claims by using the fund in 1991.
Rubio’s bill-a version of which is also being introduced in the House by Rep. Mike Pompeo (R., Kan.)-would mandate that Iran pay American victims of terrorism some billion in reparations for past attacks planned and coordinated by the Islamic Republic.
“The Obama Administration’s latest capitulation to the world’s largest state sponsor of terror is extremely risky”, said Senator Capito.
Senate Republicans are taking aim at the Obama administration’s settlement of an arms dispute with Iran, which GOP lawmakers believe was a ransom, amid lingering backlash over the agreement.
The No Ransom Payments Act was introduced on September 6 by Senator Marco Rubio (R-Fla.) and is co-sponsored by Senators Capito, John Cornyn (R-TX), Mark Kirk (R-IL), Kelly Ayotte (R-NH) and John Barrasso (R-WY).
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Rubio said that that Obama’s “misguided policies must be stopped”, adding that “the Iranians continue to take Americans hostage.Iran should not receive a penny, period”.
