You are here: Home » PTI Stories » National » News

House approves legislation prohibiting cash payments to Iran

The GOP-led House has approved legislation to prohibit the US from making cash payments to and require that be notified before any future claims settlements with Tehran are conducted.

The bill passed by a wide margin, 254-163.

The measure, an election-year broadside, won ample support from Republicans aiming to rebuke the Obama administration for paying USD 1.7 billion in cash earlier this year to settle a decades-old arbitration claim. Democrats have accused Republicans of trying to score political points with the bill.

Since the initial payment was made the same day Tehran agreed to release four American prisoners, GOP lawmakers decried the payments as ransom, a charge the has rejected.

Citing Iran's status as a leading state sponsor of terrorism, Republicans have contended the untraceable cash will be used to finance around the world.

Although the bill targets Iran, lawmakers also passed an amendment that would bar the US from paying cash to other designated sponsors of and North Korea.

"Cash does not leave a paper trail," said Rep. Ed Royce, R-Calif., the Foreign Affairs Committee chairman and the bill's sponsor. "Cash is the currency of terror."

The Obama administration has threatened a veto of the bill, calling it "an ill-advised attempt to respond to a problem so-called 'ransom' payments to that does not exist."

House Democrats accused Republicans of trying to score political points. Rep Eliot Engel of New York, the top Democrat on the Foreign Affairs Committee, said holding Tehran's money until released the Americans "was a pretty shrewd bargain." But by using the word ransom, Engel said, Republicans turned the bill "into a political hot button a poke in the eye of the administration."

An initial USD 400 million payment in euros, Swiss francs and other foreign currency was delivered on pallets on January 17, the same day Tehran agreed to release the prisoners.

The remaining USD 1.3 billion was paid in cash installments made on January 22 and February 5.

The administration has said the arbitration payment and prisoner release were separate, but later acknowledged that the cash was used as leverage until the Americans were allowed to leave Iran.

Republicans on a House panel pressed Treasury Secretary Jack Lew yesterday about the cash payments at a Financial Services Committee hearing on the condition of the financial system. The exchanges became heated.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

image
Business Standard
177 22
Business Standard

House approves legislation prohibiting cash payments to Iran

AP  |  Washington 

The GOP-led House has approved legislation to prohibit the US from making cash payments to and require that be notified before any future claims settlements with Tehran are conducted.

The bill passed by a wide margin, 254-163.



The measure, an election-year broadside, won ample support from Republicans aiming to rebuke the Obama administration for paying USD 1.7 billion in cash earlier this year to settle a decades-old arbitration claim. Democrats have accused Republicans of trying to score political points with the bill.

Since the initial payment was made the same day Tehran agreed to release four American prisoners, GOP lawmakers decried the payments as ransom, a charge the has rejected.

Citing Iran's status as a leading state sponsor of terrorism, Republicans have contended the untraceable cash will be used to finance around the world.

Although the bill targets Iran, lawmakers also passed an amendment that would bar the US from paying cash to other designated sponsors of and North Korea.

"Cash does not leave a paper trail," said Rep. Ed Royce, R-Calif., the Foreign Affairs Committee chairman and the bill's sponsor. "Cash is the currency of terror."

The Obama administration has threatened a veto of the bill, calling it "an ill-advised attempt to respond to a problem so-called 'ransom' payments to that does not exist."

House Democrats accused Republicans of trying to score political points. Rep Eliot Engel of New York, the top Democrat on the Foreign Affairs Committee, said holding Tehran's money until released the Americans "was a pretty shrewd bargain." But by using the word ransom, Engel said, Republicans turned the bill "into a political hot button a poke in the eye of the administration."

An initial USD 400 million payment in euros, Swiss francs and other foreign currency was delivered on pallets on January 17, the same day Tehran agreed to release the prisoners.

The remaining USD 1.3 billion was paid in cash installments made on January 22 and February 5.

The administration has said the arbitration payment and prisoner release were separate, but later acknowledged that the cash was used as leverage until the Americans were allowed to leave Iran.

Republicans on a House panel pressed Treasury Secretary Jack Lew yesterday about the cash payments at a Financial Services Committee hearing on the condition of the financial system. The exchanges became heated.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

RECOMMENDED FOR YOU

House approves legislation prohibiting cash payments to Iran

The GOP-led House has approved legislation to prohibit the US from making cash payments to Iran and require that Congress be notified before any future claims settlements with Tehran are conducted. The bill passed by a wide margin, 254-163. The measure, an election-year broadside, won ample support from Republicans aiming to rebuke the Obama administration for paying Iran USD 1.7 billion in cash earlier this year to settle a decades-old arbitration claim. Democrats have accused Republicans of trying to score political points with the bill. Since the initial payment was made the same day Tehran agreed to release four American prisoners, GOP lawmakers decried the payments as ransom, a charge the White House has rejected. Citing Iran's status as a leading state sponsor of terrorism, Republicans have contended the untraceable cash will be used to finance terrorism around the world. Although the bill targets Iran, lawmakers also passed an amendment that would bar the US from paying ... The GOP-led House has approved legislation to prohibit the US from making cash payments to and require that be notified before any future claims settlements with Tehran are conducted.

The bill passed by a wide margin, 254-163.

The measure, an election-year broadside, won ample support from Republicans aiming to rebuke the Obama administration for paying USD 1.7 billion in cash earlier this year to settle a decades-old arbitration claim. Democrats have accused Republicans of trying to score political points with the bill.

Since the initial payment was made the same day Tehran agreed to release four American prisoners, GOP lawmakers decried the payments as ransom, a charge the has rejected.

Citing Iran's status as a leading state sponsor of terrorism, Republicans have contended the untraceable cash will be used to finance around the world.

Although the bill targets Iran, lawmakers also passed an amendment that would bar the US from paying cash to other designated sponsors of and North Korea.

"Cash does not leave a paper trail," said Rep. Ed Royce, R-Calif., the Foreign Affairs Committee chairman and the bill's sponsor. "Cash is the currency of terror."

The Obama administration has threatened a veto of the bill, calling it "an ill-advised attempt to respond to a problem so-called 'ransom' payments to that does not exist."

House Democrats accused Republicans of trying to score political points. Rep Eliot Engel of New York, the top Democrat on the Foreign Affairs Committee, said holding Tehran's money until released the Americans "was a pretty shrewd bargain." But by using the word ransom, Engel said, Republicans turned the bill "into a political hot button a poke in the eye of the administration."

An initial USD 400 million payment in euros, Swiss francs and other foreign currency was delivered on pallets on January 17, the same day Tehran agreed to release the prisoners.

The remaining USD 1.3 billion was paid in cash installments made on January 22 and February 5.

The administration has said the arbitration payment and prisoner release were separate, but later acknowledged that the cash was used as leverage until the Americans were allowed to leave Iran.

Republicans on a House panel pressed Treasury Secretary Jack Lew yesterday about the cash payments at a Financial Services Committee hearing on the condition of the financial system. The exchanges became heated.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

image
Business Standard
177 22

Upgrade To Premium Services

Welcome User

Business Standard is happy to inform you of the launch of "Business Standard Premium Services"

As a premium subscriber you get an across device unfettered access to a range of services which include:

  • Access Exclusive content - articles, features & opinion pieces
  • Weekly Industry/Genre specific newsletters - Choose multiple industries/genres
  • Access to 17 plus years of content archives
  • Set Stock price alerts for your portfolio and watch list and get them delivered to your e-mail box
  • End of day news alerts on 5 companies (via email)
  • NEW: Get seamless access to WSJ.com at a great price. No additional sign-up required.
 

Premium Services

In Partnership with

 

Dear Guest,

 

Welcome to the premium services of Business Standard brought to you courtesy FIS.
Kindly visit the Manage my subscription page to discover the benefits of this programme.

Enjoy Reading!
Team Business Standard