[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 3878 Introduced in Senate (IS)]








109th CONGRESS
  2d Session
                                S. 3878

  To provide compensation for United States citizens taken hostage by 
               terrorists or State sponsors of terrorism.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

            September 7 (legislative day, September 6), 2006

Mr. Allen (for himself and Mr. Menendez) introduced the following bill; 
which was read twice and referred to the Committee on Foreign Relations

_______________________________________________________________________

                                 A BILL


 
  To provide compensation for United States citizens taken hostage by 
               terrorists or State sponsors of terrorism.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. COMPENSATION FOR UNITED STATES CITIZENS TAKEN HOSTAGE BY 
              TERRORISTS OR STATE SPONSORS OF TERRORISM.

    (a) In General.--In accordance with such procedures as the 
President may by regulation establish, the President or his designee 
shall receive the claims of, and pay compensation to, any national of 
the United States, or to the estate of any such national, who--
            (1) as of the date of enactment of this Act has a claim 
        pending in a court of the United States against a foreign state 
        seeking compensation for injuries caused by an act of hostage-
        taking or has obtained a judgment on such a claim that has not 
        been fully satisfied;
            (2) at any time on or after August 2, 1990, and while not 
        serving on active duty in the Armed Forces of the United 
        States, was taken hostage by a terrorist party; or
            (3) was a representative plaintiff or class member in Case 
        Number 1:00CV03110(EGS) in the United States District Court for 
        the District of Columbia.
    (b) Limit on Amount of Award.--The amount that may be awarded to 
any person seeking compensation under this section shall not exceed 
$500,000, adjusted to reflect the annual percentage change in the 
Consumer Price Index, from the date on which the hostage-taking 
occurred to the date on which compensation is paid.
    (c) Type of Award.--Subject to the limit in subsection (b), any 
person seeking compensation for hostage-taking under this section shall 
be awarded the following amounts with respect to which the United 
States shall enjoy full subrogation rights in the event such person 
obtains any recovery in litigation or otherwise as a result of such 
hostage-taking:
            (1) In the case of any person who has been issued a final 
        judgment for compensatory damages, the unsatisfied amount of 
        such judgment.
            (2) In the case of any person who survived his captivity 
        and who has not been issued a final judgment for compensatory 
        damages, $10,000 per day for each day that such person was held 
        or, if he died or was tortured during the course of his 
        captivity, the maximum amount in subsection (b).
    (d) Prohibition on Civil Actions Against Foreign States.--A person 
who has accepted compensation under subsection (c)(2) may not commence 
or maintain in a court of the United States a civil action seeking 
compensation for such injuries or damages associated with such hostage 
taking against a foreign state or its agencies or instrumentalities.
    (e) Definitions.--In this section:
            (1) Hostage taking.--The term ``hostage taking'' has the 
        meaning given that term in Article 1 of the International 
        Convention Against the Taking of the Hostages and includes any 
        act that caused a person to be in ``hostage status'' within the 
        meaning of section 599C(d)(1) of Public Law 101-513.
            (2) Terrorist party.--The term ``terrorist party'' has the 
        meaning given that term in the Terrorism Risk Insurance Act 
        (section 201(d)(4) of Public Law 107-297) and includes any 
        person, organization, or foreign state that was designated as 
        such either at the time or as a result of the act of hostage-
        taking for which compensation is sought.
    (f) Funding.--Funds sufficient to pay persons to whom compensation 
is due under this section shall be made available from the Hostage 
Victims Fund, into which the President shall direct deposits, in 
proportions the President so allocates in the discretion of the 
President, from--
            (1) the ``blocked assets'' of terrorist parties, as that 
        term is defined in the Terrorism Risk Insurance Act (section 
        201(d)(2) of Public Law 107-297);
            (2) amounts received by the United States by reason of any 
        legal action taken by the United States against any person 
        relating to improper conduct in connection with the Oil for 
        Food Program of the United Nations, including any fines, 
        forfeitures or disgorgements of amounts received through any 
        activity related to said Program; or
            (3) amounts received as a result of any fine or forfeiture 
        obtained from any person or entity in connection with a 
        violation of--
                    (A) the International Emergency Economic Powers Act 
                (50 U.S.C. 1701 et seq.);
                    (B) section 5(b) of the Trading With the Enemy Act 
                (50 U.S.C. App 5(b));
                    (C) the United and Strengthening America by 
                Providing Appropriate Tools Required to Intercept and 
                Obstruct Terrorism (USA PATRIOT) Act of 2001 (Public 
                Law 107-56; 115 Stat. 272);
                    (D) the Bank Secrecy Act (codified at title 12 
                U.S.C. 1829 (b) and 1951-1959 and 31 U.S.C. 5311-5313 
                and 5316-5332);
                    (E) the Export Administration Act (50 U.S.C. App. 
                2401-2410); or
                    (F) any regulations promulgated under an Act listed 
                in subparagraphs (A) through (E).
    (g) Additional Compensation for Victims of Iranian Hostage Taking 
in Tehran.--In addition to any amounts that may be awarded under 
subsection (c), the President or his designee shall from monies 
deposited for Iran in the Iran Foreign Military Sales Fund account 
within the Foreign Military Sales Fund (including any amounts accrued 
as interest thereon)--
            (1) pay any person who qualifies for payment under 
        subsection (a)(3) who was taken hostage by the Islamic Republic 
        of Iran on November 4, 1979 additional compensation of 
        $500,000, adjusted to reflect the annual percentage change in 
        the Consumer Price Index, from the date on which the hostage 
        taking occurred to the date on which the compensation is paid; 
        and
            (2) pay any person who was, at the time of such hostage-
        taking, the spouse or child of such person, 50 percent of the 
        total amount of compensation paid to the hostage.
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