U.S. paid $1.3 billion to Iran two days after cash delivery

CBS ^

[TigerClaws]

The Obama administration said Wednesday it paid $1.3 billion in interest to Iran in January to resolve a decades-old dispute over an undelivered military sale, two days after allowing $400 million in cash to fly to Tehran.

State Department spokeswoman Elizabeth Trudeau says the U.S. couldn’t say more about the Jan. 19 payments because of diplomatic sensitivities. They involved 13 separate payments of $99,999,999.99 and final payment of about $10 million. There was no explanation for the Treasury Department keeping the individual transactions under $100 million.

The money settles a dispute over a $400 million payment made in the 1970s by the U.S.-backed shah’s government for military equipment. The equipment was never delivered because of the 1979 Islamic Revolution that overthrew the shah and ended diplomatic relations between the U.S. and Iran.

On Jan. 17, the administration paid Iran the account’s $400 million principal in pallets of euros, Swiss francs and other foreign currency, raising questions about the unusual payment. The $1.3 billion covers what Iran and the U.S. agreed would be the interest on the $400 million over the decades.

Obama defends Iran cash payout, addresses ISIS threat Play VIDEO Obama defends Iran cash payout, addresses ISIS threat The deal has faced increased scrutiny since the administration’s acknowledgment this month that it used the money as leverage to ensure the release of four American prisoners.

Republican critics accuse the administration of paying a “ransom​.”

President Barack Obama and other officials deny such claims, though they’ve struggled to explain why the U.S. paid in cash. President Obama said it was because the United States and Iran didn’t have a banking relationship after years of nuclear-related sanctions, but that wouldn’t rule out using intermediary banks that maintain relationship with both.

Briefing reporters last week, a senior U.S. official involved in the negotiations said the interest payments were made to Iran in a “fairly above-board way,” using a foreign central bank. But the official, who wasn’t authorized to be quoted by name and demanded anonymity, wouldn’t say if the interest was delivered to Iran in physical cash, as with the $400 million principal, or via a more regular banking mechanism.

The money came from a little-known fund administered by the Treasury Department for settling litigation claims. The so-called Judgment Fund is taxpayer money Congress has permanently approved in the event it’s needed, allowing the president to bypass direct congressional approval to make a settlement. The U.S. previously paid out $278 million in Iran-related claims by using the fund in 1991.

[LucyT]

The Obama administration said Wednesday it paid $1.3 Billion in interest to Iran in January to resolve a decades-old dispute over an undelivered military sale, two days after allowing $400 million in cash to fly to Tehran.

State Department spokeswoman Elizabeth Trudeau says the U.S. couldn’t say more about the Jan. 19 payments because of diplomatic sensitivities. They involved 13 separate payments of $99,999,999.99 and final payment of about $10 million. There was no explanation for the Treasury Department keeping the individual transactions under $100 million.

[Joe Boucher]

Nahhh,
Just a loyal mooselimb soldier.

[Ethan Clive Osgoode]

Notice how it is against Islam for you to charge a muslim interest, but it is not against islam for them to charge YOU interest?

[Tallguy]

Yeah, this makes the stink over Iran-Contra look like small by comparison — yet the Media have been ignoring it. Almost fell over when I saw “CBS News” on the tagline.

[jughandle]

Now they’ll be able to throw around the phrase “irresponsible tax cuts we cannot afford” when we get a responsible president.

[HartleyMBaldwin]

Now that’s possible; I hadn’t thought of that.

[ConservativeWarrior]

“Years from now when we are having to live off the land with no place to call home we can remember this was all caused by naive Millenials”

---

There’s plenty of blame to go around. Who had those kids and then failed them as parents. Who failed to raise those parents properly?

I blame the greatest generation, who thought wwii was the final victory over evil, and went soft on their kids. That gave us the free love 60s, and it’s been downhill from there.

[silverleaf]

The GOP Congress
Paul Ryan’s Congress

[jsanders2001]

< There’s plenty of blame to go around. Who had those kids and then failed them as parents. Who failed to raise those parents properly?

You mean gave them just about everything they wanted and spoiled them turning them into self-entitled brats? I think that might have been a key factor. The schools / indoctrination camps didn't help either. Still they were the key demographic voting base that got him elected and because of that we've had to endure the madman and the Muslim invasion because of them do ai'm not letting them off the hook so easily.

[Incorrigible]

Bump

[ConservativeWarrior]

I agree they share plenty of the blame.

They are also likely the generation that will turn the tide on the jihadis, if it’s going to happen.

They aren’t all bad, but there are certainly more than enough useless millennials.

[jsanders2001]

> They aren’t all bad, but there are certainly more than enough useless millennials.

No. They're not all bad. Some now hate their decision to vote for hope and change now that they realize what that change was - the decimation of America as a superpower. You can forget the hope part that is... unless you're a Muslim.

[bgill]

And Congress does nothing.