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 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)has obtained a judgment on a claim filed prior to the date of enactment of this Act in a court of the United States against a foreign state seeking compensation for injuries caused by an act of hostage-taking, and such a claim 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 as a 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 or a plaintiff in Case Number 1:00CV00716 (HHK) 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 act of hostage-taking was initiated to the date on which such compensation is paid. (c)

Type of award

Subject to the limit in subsection (b), any person seeking compensation 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 the hostage-taking on which the claim under this section is based: (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 or her captivity and who has not been issued a final judgment for compensatory damages, $10,000 per day for each day during which the person was held or, if the person died or was tortured during the course of his or her captivity, the maximum amount specified 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 any court in the United States a civil action against a foreign state, or any agency or instrumentality of a foreign state, seeking compensation for injuries or damages associated with the act of hostage-taking on which the claim under this section is based. (e)

Funding

Not later than 60 days after the date of the enactment of this Act, the President shall establish in the Treasury of the United States a fund (in this section referred to as the Hostage Victims Fund) for payment of claims to persons to whom compensation is due under this section. The President shall direct deposits into the Hostage Victims Fund in amounts sufficient to pay persons to whom compensation is due under subsection (c), in such proportions as the President may determine, from— (1)the blocked assets of terrorist parties; (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 such 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)chapter 53 of title 31, United States Code, chapter 2 of title I of Public Law 91–508, and section 21 of the Federal Deposit Insurance Act; (E)the Export Administration Act of 1979 (50 U.S.C. App. 2401–2410); or (F)any regulations promulgated under an Act listed in any of subparagraphs (A) through (E). (f)

Additional compensation for victims of iranian hostage-taking in tehran

In addition to any amounts that may be awarded under subsection (c), the President 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 as a hostage by the Islamic Republic of Iran on November 4, 1979, or who was taken as a hostage in Lebanon by Hezbollah on December 4, 1984, and subsequently transferred to Iran, additional compensation of $500,000, adjusted to reflect the annual percentage change in the Consumer Price Index, from the date on which the act of hostage-taking was initiated to the date on which the compensation under this paragraph is paid; and (2)pay any person who was, at the time of the hostage-taking described in paragraph (1), the spouse or child of the person taken hostage, 50 percent of the total amount of compensation paid to the person taken hostage. (g)

Return of amounts in Hostage Victims Fund to certain foreign states

Upon exercising all authorities necessary to terminate the designation of a foreign state as a terrorist party and the status of the assets of such foreign state as blocked assets, the President may withdraw from the Hostage Victims Fund amounts not to exceed the value of the assets of that foreign state which have been deposited into such Fund and return such amounts to the control of such foreign state if, prior to such withdrawal, all claims received by the President prior to the exercise of such authorities have been adjudicated and paid in full or the President has determined that the remaining balance of the Fund after such withdrawal will be sufficient to make prompt payment on all such claims in the full amount provided for under the terms of this Act. (h)

Definitions

In this section: (1)

Blocked asset

The term blocked asset has the meaning given that term in section 201(d)(2) of the Terrorism Risk Insurance Act of 2002 (Public Law 107–297; 28 U.S.C. 1610 note). (2)

Hostage

The term hostage has the meaning given that term in Article 1 of the International Convention Against the Taking of the Hostages, signed at New York on December 17, 1979 (TIAS 11081), and includes any hostage taken before that date. (3)

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. (4)

Terrorist party

The term terrorist party has the meaning given that term in section 201(d)(4) of the Terrorism Risk Insurance Act of 2002 (Public Law 107–297; 28 U.S.C. 1610 note) 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.