I 

114TH CONGRESS 

1ST SESSION H. R. 3858 

To reauthorize the September 11th Victim Compensation Fund and to create 

a fund to compensate U.S. victims of state sponsored terrorism who 

hold final judgments from Article III courts and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

OCTOBER 29, 2015 

Mr. CHABOT (for himself, Mr. GOODLATTE, and Mr. SMITH of Texas) introduced the following bill; which was referred to the Committee on the Judiciary 

A BILL 

To reauthorize the September 11th Victim Compensation 

Fund and to create a fund to compensate U.S. victims 

of state sponsored terrorism who hold final judgments 

from Article III courts and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘September 11th VCF 

5 Reauthorization and U.S. Victims of State Sponsored Ter6 rorism Compensation Act’’. 


emcdonald on DSK67QTVN1PROD with BILLS
2 

•HR 3858 IH

1 TITLE I—REAUTHORIZATION OF 

2 THE SEPTEMBER 11TH VIC3 TIM COMPENSATION FUND 

4 SEC. 101. DEFINITIONS. 

5 Section 402 of the September 11th Victim Compensa6 tion Fund of 2001 (49 U.S.C. 40101 note) is amended— 

7 (1) by redesignating paragraphs (5), (6), (7), 

8 (8), (9), (10), (11), (12), (13), and (14) as para9 graphs (6), (7), (8), (9), (10), (11), (13), (14), (15), 

10 and (19), respectively; 

11 (2) by inserting after paragraph (4) the fol12 lowing: 

13 ‘‘(5) CERTIFIED-ELIGIBLE WTC SURVIVOR.— 

14 The term ‘certified-eligible WTC survivor’ has the 

15 meaning given such term in section 3321(a)(2) of 

16 the Public Health Service Act (42 U.S.C. 300mm– 

17 31(a)(2)).’’; 

18 (3) in paragraph (10), as so redesignated— 

19 (A) by striking ‘‘medical expense loss,’’; 

20 (B) by striking ‘‘and loss of business or 

21 employment opportunities’’ and inserting ‘‘, loss 

22 of business or employment opportunities, and 

23 past out-of-pocket medical expense loss’’; and 


emcdonald on DSK67QTVN1PROD with BILLS
3 

•HR 3858 IH

1 (C) by inserting ‘‘, but does not include fu2 ture medical expense loss’’ before the period at 

3 the end; 

4 (4) by inserting after paragraph (11), as so re5 designated, the following: 

6 ‘‘(12) ENROLLED WTC RESPONDER.—The term 

7 ‘enrolled WTC responder’ has the meaning given 

8 such term in section 3306 of the Public Health 

9 Service Act (42 U.S.C. 300mm–5).’’; 

10 (5) by inserting after paragraph (15), as so re11 designated, the following: 

12 ‘‘(16) WORLD TRADE CENTER HEALTH PRO13 GRAM.—The term ‘World Trade Center Health Pro14 gram’ means the program established by section 

15 3301 of the Public Health Service Act (42 U.S.C. 

16 300mm). 

17 ‘‘(17) WTC PROGRAM ADMINISTRATOR.—The 

18 term ‘WTC Program Administrator’ has the mean19 ing given such term in section 3306 of the Public 

20 Health Service Act (42 U.S.C. 300mm–5). 

21 ‘‘(18) WTC-RELATED PHYSICAL HEALTH CON22 DITION.— 

23 ‘‘(A) IN GENERAL.—The term ‘WTC-re24 lated physical health condition’— 


emcdonald on DSK67QTVN1PROD with BILLS
4 

•HR 3858 IH

1 ‘‘(i) means, subject to clause (ii), a 

2 WTC-related physical health condition as 

3 defined by section 3312(a) of the Public 

4 Health Service Act (42 U.S.C. 300mm– 

5 22(a)), including the conditions listed in 

6 section 3322(b) of such Act (42 U.S.C. 

7 300mm–32(b)); and 

8 ‘‘(ii) does not include any type of 

9 mental health condition. 

10 ‘‘(B) MEDICAL JUDGMENT OF WTC PRO11 GRAM ADMINISTRATOR.—For purposes of deter12 mining the conditions that meet the definition 

13 of a WTC-related physical health condition, the 

14 Special Master shall rely on the medical judg15 ment of the WTC Program Administrator.’’; 

16 and 

17 (6) in paragraph (19), as so redesignated, by 

18 amending subparagraph (C) to read as: 

19 ‘‘(C) the area in Manhattan that is south 

20 of the line that runs along Canal Street from 

21 the Hudson River to the intersection of Canal 

22 Street and East Broadway, north on East 

23 Broadway to Clinton Street, and east on Clin24 ton Street to the East River; and’’. 


emcdonald on DSK67QTVN1PROD with BILLS
5 

•HR 3858 IH

1 SEC. 102. PURPOSE. 

2 Section 403 of the September 11th Victim Compensa3 tion Fund of 2001 (49 U.S.C. 40101 note) is amended 

4 by inserting ‘‘, or the rescue and recovery efforts during 

5 the immediate aftermath of such crashes’’ before the pe6 riod at the end. 

7 SEC. 103. DETERMINATION OF ELIGIBILITY FOR COM8 PENSATION. 

9 Section 405 of the September 11th Victim Compensa10 tion Fund of 2001 (49 U.S.C. 40101 note) is amended— 

11 (1) in subsection (a)(3), by striking ‘‘during the 

12 period’’ and all that follows through the period and 

13 inserting ‘‘during either— 

14 ‘‘(i) the period beginning on October 

15 3, 2011, and ending on October 3, 2016; 

16 or 

17 ‘‘(ii) the period beginning on October 

18 4, 2016, and ending on October 4, 2021.’’; 

19 (2) in subsection (b)(6), by inserting ‘‘, or the 

20 rescue and recovery efforts during the immediate 

21 aftermath of such crashes’’ before the period; and 

22 (3) in subsection (c)(3)— 

23 (A) in subparagraph (A)— 

24 (i) in clause (i), by striking ‘‘the pe25 riod described in subsection (a)(3)(B)’’ and 


emcdonald on DSK67QTVN1PROD with BILLS
6 

•HR 3858 IH

1 inserting ‘‘a period described in clause (i) 

2 or (ii) of subsection (a)(3)(B)’’; 

3 (ii) in clause (i)(I)— 

4 (I) by striking ‘‘the date specified 

5 in clause (iii)’’ and inserting ‘‘October 

6 3, 2011’’; 

7 (II) by striking ‘‘before such 

8 specified date’’ and inserting ‘‘before 

9 such date’’; and 

10 (III) by striking ‘‘such specified 

11 date.’’ and inserting ‘‘October 3, 

12 2011.’’; 

13 (iii) in clause (i)(II)— 

14 (I) by striking ‘‘date specified in 

15 clause (iii)’’ and inserting ‘‘October 3, 

16 2011,’’; and 

17 (II) by striking ‘‘on or after such 

18 specified date’’ and inserting ‘‘on or 

19 after such date’’; and 

20 (iv) by striking clauses (ii) and (iii) 

21 and inserting the following: 

22 ‘‘(ii) WTC HEALTH PROGRAM RE23 QUIREMENTS FOR ELIGIBILITY.— 

24 ‘‘(I) IN GENERAL.—Subject to 

25 subclause (II), an individual may file 


emcdonald on DSK67QTVN1PROD with BILLS
7 

•HR 3858 IH

1 a claim during a period described in 

2 clause (i) or (ii) of subsection 

3 (a)(3)(B) only if the individual has a 

4 WTC-related physical health condition 

5 and with respect to such condition— 

6 ‘‘(aa) the individual is an 

7 enrolled WTC responder; 

8 ‘‘(bb) the individual is a cer9 tified-eligible WTC survivor; or 

10 ‘‘(cc) the individual is an in11 dividual described in section 

12 3323(b) of the Public Health 

13 Service Act (42 U.S.C. 300mm– 

14 33(b)). 

15 ‘‘(II) PERSONAL REPRESENTA16 TIVES.—An individual who is a per17 sonal representative described in para18 graph (2)(C) may file a claim during 

19 a period described in clause (i) or (ii) 

20 of subsection (a)(3)(B) only if the 

21 Special Master, with assistance from 

22 the WTC Program Administrator as 

23 necessary, determines that the Admin24 istrator would have determined that— 


emcdonald on DSK67QTVN1PROD with BILLS
8 

•HR 3858 IH

1 ‘‘(aa) the condition that 

2 caused the death of the decedent 

3 was a WTC-related physical 

4 health condition; and 

5 ‘‘(bb) on the date of the 

6 death of a decedent, the decedent 

7 would have qualified to be an en8 rolled WTC responder, a cer9 tified-eligible WTC survivor, or 

10 an individual described in section 

11 3323(b) of the Public Health 

12 Service Act (42 U.S.C. 300mm– 

13 33(b)).’’; and 

14 (B) in subparagraph (C)— 

15 (i) in clause (ii), by striking ‘‘the pe16 riod described in subsection (a)(3)(B)’’ and 

17 inserting ‘‘a period described in clause (i) 

18 or (ii) of subsection (a)(3)(B)’’; and 

19 (ii) in clause (iii), by striking ‘‘the 

20 date on which the James Zadroga 9/11 

21 Health and Compensation Act of 2010 was 

22 enacted’’ and inserting ‘‘January 2, 2011’’. 

23 SEC. 104. PAYMENTS TO ELIGIBLE INDIVIDUALS. 

24 Section 406 of the September 11th Victim Compensa25 tion Fund of 2001 (49 U.S.C. 40101 note) is amended— 


emcdonald on DSK67QTVN1PROD with BILLS
9 

•HR 3858 IH

1 (1) in subsection (b)— 

2 (A) by striking ‘‘This title constitutes’’ and 

3 inserting the following: 

4 ‘‘(1) FIRST EXTENDED PERIOD.—This title 

5 constitutes’’; 

6 (B) by striking ‘‘subsection (d)(1)’’ and in7 serting ‘‘subsection (d)(1)(A)’’; and 

8 (C) by adding at the end the following: 

9 ‘‘(2) FINAL EXTENDED PERIOD.—For claims 

10 submitted between October 4, 2016, and October 4, 

11 2021, amounts in the 9/11 Fund shall be available, 

12 without further appropriation, for the payment of 

13 amounts for compensation under this title subject to 

14 the limitations under subsection (d).’’; and 

15 (2) by amending subsection (d) to read as fol16 lows: 

17 ‘‘(d) LIMITATION.— 

18 ‘‘(1) IN GENERAL.— 

19 ‘‘(A) FIRST EXTENDED PERIOD.—The 

20 total amount of Federal funds paid for com21 pensation under this title, with respect to 

22 claims filed during the 5-year period described 

23 in section 405(a)(3)(B)(i), shall not exceed 

24 $2,775,000,000. Of such amounts, not to exVerDate Sep 11 2014 00:55 Oct 30, 2015 Jkt 059200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H3858.IH H3858

emcdonald on DSK67QTVN1PROD with BILLS
10 

•HR 3858 IH

1 ceed $875,000,000 shall be available to pay 

2 such claims during such 5-year period. 

3 ‘‘(B) FINAL EXTENDED PERIOD.—The 

4 total amount of Federal funds paid for com5 pensation under this title, with respect to 

6 claims filed during the 5-year period described 

7 in section 405(a)(3)(B)(ii), shall not exceed 

8 $2,775,000,000. Of such amounts, not to ex9 ceed $1,400,000,000 shall be available to pay 

10 such claims during such 5-year period. 

11 ‘‘(2) PRO-RATION AND PAYMENT OF REMAINING

12 CLAIMS.— 

13 ‘‘(A) IN GENERAL.—The Special Master 

14 shall ratably reduce the amount of compensa15 tion due claimants under this title in a manner 

16 to ensure, to the extent possible, that— 

17 ‘‘(i) all claimants who, before applica18 tion of the limitation under the second sen19 tence of subparagraph (A) or (B) of para20 graph (1), as applicable, would have been 

21 determined to be entitled to a payment 

22 under this title during the applicable 5- 

23 year period, receive a payment during such 

24 period; and 


emcdonald on DSK67QTVN1PROD with BILLS
11 

•HR 3858 IH

1 ‘‘(ii) the total amount of all such pay2 ments made during the applicable 5-year 

3 period do not exceed the amount available 

4 under the second sentence of subparagraph 

5 (A) or (B) of paragraph (1), as applicable, 

6 to pay claims during such period. 

7 ‘‘(B) PAYMENT OF REMAINDER OF CLAIM

8 AMOUNTS.— 

9 ‘‘(i) IN GENERAL.—In any case in 

10 which the amount of a claim is ratably re11 duced pursuant to subparagraph (A), on or 

12 after the first day after the 5-year period 

13 described in subparagraph (A) or (B) of 

14 paragraph (1), as applicable, but in no 

15 event later than 1 year after the applicable 

16 5-year period, the Special Master shall pay 

17 to the claimant the amount that is equal to 

18 the difference between— 

19 ‘‘(I) the amount that the claim20 ant would have been paid under this 

21 title during the applicable 5-year pe22 riod without regard to the limitation 

23 under the second sentence of subpara24 graph (A) or (B) of paragraph (1) apVerDate Sep 11 2014 00:55 Oct 30, 2015 Jkt 059200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H3858.IH H3858

emcdonald on DSK67QTVN1PROD with BILLS
12 

•HR 3858 IH

1 plicable to the 5-year period described 

2 in such applicable subparagraph; and 

3 ‘‘(II) the amount the claimant 

4 was paid under this title during the 

5 applicable 5-year period. 

6 ‘‘(ii) PRO RATA DISTRIBUTION.—The 

7 Special Master shall ratably reduce the 

8 payments made under this subparagraph 

9 to ensure that the total amount of pay10 ments made for claims submitted during 

11 the applicable 5-year period do not exceed 

12 the limitations under the first sentence of 

13 paragraph (1)(A) or paragraph (1)(B) as 

14 applicable. In addition, for payments made 

15 pursuant to this subparagraph for claims 

16 submitted during the 5-year period de17 scribed in section 405(a)(3)(B)(ii), the 

18 Special Master shall, if necessary, reduce 

19 such payments to ensure that the propor20 tional ratio for such payments does not ex21 ceed the proportional ratio for payments 

22 made on claims submitted during the 5- 

23 year period described in section 

24 405(a)(3)(B)(i). 


emcdonald on DSK67QTVN1PROD with BILLS
13 

•HR 3858 IH

1 ‘‘(iii) FINAL ALLOCATION.—If after 

2 all payments are made pursuant to sub3 paragraph (B) on claims submitted be4 tween October 4, 2016, and October 4, 

5 2021, funds remain in the 9/11 Fund and 

6 claims were ratably reduced pursuant to 

7 clause (ii), the Special Master shall dis8 tribute the remaining funds on a pro rata 

9 basis to claimants who submitted claims 

10 during either 5-year period described in 

11 section 405(a)(3)(B) whose claims were 

12 ratably reduced. If funds remain in the 9/ 

13 11 Fund after such payments, such funds 

14 shall be transferred into the United States 

15 Victims of State Sponsored Terrorism 

16 Fund created by title II of this Act. 

17 ‘‘(C) TERMINATION.—Upon completion of 

18 all payments pursuant to this subsection, the 

19 Victim’s Compensation Fund shall be perma20 nently closed.’’. 

21 SEC. 105. 9/11 FUND. 

22 The September 11th Victim Compensation Fund of 

23 2001 (49 U.S.C. 40101 note) is amended by adding at 

24 the end the following new section: 


emcdonald on DSK67QTVN1PROD with BILLS
14 

•HR 3858 IH

1 ‘‘SEC. 410. 9/11 FUND. 

2 ‘‘(a) ESTABLISHMENT OF THE 9/11 FUND.—There 

3 is established in the Treasury a fund, to be designated 

4 as the 9/11 Fund. 

5 ‘‘(b) FUNDING.—Beginning on the date of the enact6 ment of this Act, $2,775,000,000 of the funds paid to the 

7 United States Government by BNP Paribas S.A. (BNPP) 

8 as part of, or related to, a plea agreement dated June 27, 

9 2014, entered into between the United States Department 

10 of Justice and BNPP, and subject to a consent order en11 tered by the United States District Court for the Southern 

12 District of New York on May 1, 2015, in United States 

13 v. BNPP, No. 14 Cr. 460 (SDNY) to settle charges 

14 against BNPP for conspiracy to commit an offense 

15 against the United States in violation of section 371 of 

16 title 18, United States Code, by conspiring to violate the 

17 International Emergency Economic Powers Act (50 

18 U.S.C. 1701 et seq.), and the Trading with the Enemy 

19 Act (50 U.S.C. App. 1 et seq.) shall be deposited or trans20 ferred into the Fund for distribution for claims submitted 

21 between October 4, 2016, and October 4, 2021, under this 

22 Act. 

23 ‘‘(c) MANAGEMENT OF FUND.—The Fund shall be 

24 managed and invested in the same manner as a trust fund 

25 is managed and invested under section 9602 of the Inter26 nal Revenue Code of 1986.’’. 


emcdonald on DSK67QTVN1PROD with BILLS
15 

•HR 3858 IH

1 TITLE II—COMPENSATION FOR 

2 UNITED STATES VICTIMS OF 

3 STATE SPONSORED TER4 RORISM ACT 

5 SEC. 201. SHORT TITLE. 

6 This title may be cited as the ‘‘Justice for United 

7 States Victims of State Sponsored Terrorism Act’’. 

8 SEC. 202. ADMINISTRATION OF THE U.S. VICTIMS OF STATE 

9 SPONSORED TERRORISM FUND. 

10 (a) ADMINISTRATION OF THE FUND.— 

11 (1) APPOINTMENT AND TERMS OF SPECIAL

12 MASTER.— 

13 (A) INITIAL APPOINTMENT.—Not later 

14 than 60 days after the date of the enactment of 

15 this Act, the Attorney General shall appoint a 

16 Special Master. The initial term for the Special 

17 Master shall be 18 months. 

18 (B) ADDITIONAL TERMS.—Thereafter, 

19 each time the Attorney General determines suf20 ficient money is available in the Fund to com21 pensate eligible victims, the Attorney General 

22 shall appoint or reappoint a Special Master for 

23 such period as is appropriate, not to exceed one 

24 year. 


emcdonald on DSK67QTVN1PROD with BILLS
16 

•HR 3858 IH

1 (C) SPECIAL MASTER TO ADMINISTER

2 COMPENSATION FROM THE FUND.—The Special 

3 Master shall administer the compensation pro4 gram described in this title for United States 

5 persons who are victims of state sponsored ter6 rorism. 

7 (2) USE OF DEPARTMENT OF JUSTICE PER8 SONNEL.—The Special Master may utilize, as nec9 essary, no more than five full-time equivalent De10 partment of Justice personnel to assist in carrying 

11 out the duties of the Special Master under this title. 

12 (3) COMPENSATION OF SPECIAL MASTER.—The 

13 Special Master shall be compensated from the Fund 

14 at a rate not to exceed the annual rate of basic pay 

15 for level IV of the Executive Schedule, as prescribed 

16 by section 5315 of title 5, United States Code. 

17 (b) PUBLICATION OF REGULATIONS AND PROCE18 DURES.— 

19 (1) IN GENERAL.—Not later than 60 days after 

20 the date of the initial appointment of the Special 

21 Master, the Special Master shall publish in the Fed22 eral Register and on a website maintained by the 

23 Department of Justice a notice specifying the proce24 dures necessary for United States persons to apply 

25 and establish eligibility for payment. Such notice is 


emcdonald on DSK67QTVN1PROD with BILLS
17 

•HR 3858 IH

1 not subject to the requirements of section 533 of 

2 title 5, United States Code. 

3 (2) INFORMATION REGARDING OTHER SOURCES

4 OF COMPENSATION.—As part of the procedures for 

5 United States persons to apply and establish eligi6 bility for payment, the Special Master shall require 

7 applicants to provide the Special Master with infor8 mation regarding the amount of compensation from 

9 any source other than this Fund that the claimant 

10 (or, in the case of a personal representative, the vic11 tim’s beneficiaries) has received or is entitled to re12 ceive as a result of the act of international terrorism 

13 that gave rise to a claimant’s final judgment. 

14 (c) DECISIONS OF THE SPECIAL MASTER.—All deci15 sions made by the Special Master with regard to com16 pensation from the Fund shall be— 

17 (1) in writing and provided to the Attorney 

18 General, each claimant and, if applicable, the attor19 ney for each claimant; and 

20 (2) final and, except as provided in subsection 

21 (d), not subject to administrative or judicial review. 

22 (d) REVIEW HEARING.— 

23 (1) Not later than 30 days after receipt of a 

24 written decision by the Special Master, a claimant 

25 whose claim is denied in whole or in part by the SpeVerDate Sep 11 2014 00:55 Oct 30, 2015 Jkt 059200 PO 00000 Frm 00017 Fmt 6652 Sfmt 6201 E:\BILLS\H3858.IH H3858

emcdonald on DSK67QTVN1PROD with BILLS
18 

•HR 3858 IH

1 cial Master may request a hearing before the Special 

2 Master pursuant to procedures established by the 

3 Special Master. 

4 (2) Not later than 90 days after any such hear5 ing, the Special Master shall issue a written decision 

6 affirming or amending the original decision. This 

7 written decision is final and nonreviewable. 

8 SEC. 203. ELIGIBLE CLAIMS. 

9 (a) GENERALLY.—For the purposes of this title, a 

10 claim is an eligible claim if the Special Master determines 

11 that— 

12 (1) the judgment holder is a United States per13 son; 

14 (2) the claim is described in subsection (b); and 

15 (3) the requirements of subsection (c) are met. 

16 (b) IN GENERAL.—The claims referred to in sub17 section (a) are claims for— 

18 (1) compensatory damages awarded to a United 

19 States person in a final judgment— 

20 (A) issued by a United States district 

21 court under State or Federal law against a 

22 state sponsor of terrorism; and 

23 (B) arising from acts of international ter24 rorism, for which the foreign state was deter25 mined not to be immune from the jurisdiction 


emcdonald on DSK67QTVN1PROD with BILLS
19 

•HR 3858 IH

1 of the courts of the United States under section 

2 1605A, or section 1605(a)(7) (as such section 

3 was in effect on January 27, 2008), of title 28, 

4 United States Code; or 

5 (2) the sum total of $10,000 per day for each 

6 day that a United States person was taken and held 

7 hostage from the United States embassy in Tehran, 

8 Iran, during the period beginning November 4, 

9 1979, and ending January 20, 1981. 

10 (c) DEADLINE FOR APPLICATION SUBMISSION.— 

11 (1) The deadline for submitting an application 

12 for a payment under this section is as follows: 

13 (A) Not later than 90 days after the date 

14 of the publication required under section 

15 202(b)(2), with regard to an application based 

16 on— 

17 (i) a final judgment described in sub18 section (b)(1) obtained before that date of 

19 publication; or 

20 (ii) a claim described in subsection 

21 (b)(2). 

22 (B) Not later than 90 days after the date 

23 of obtaining a final judgment, with regard to a 

24 final judgment obtained on or after the date of 

25 that publication. 


emcdonald on DSK67QTVN1PROD with BILLS
20 

•HR 3858 IH

1 (2) For good cause shown, the Special Master 

2 may grant a claimant a reasonable extension of a 

3 deadline under this subsection. 

4 SEC. 204. PAYMENTS. 

5 (a) TO WHOM MADE.—The Special Master shall 

6 order payment from the Fund for each eligible claim of 

7 a United States person to that person or, if that person 

8 is deceased, to the personal representative of the estate 

9 of that person. 

10 (b) TIMING OF INITIAL PAYMENTS.—The Special 

11 Master shall authorize all initial payments to satisfy eligi12 ble claims under this title not later than 1 year after the 

13 date of the enactment of this Act. 

14 (c) PAYMENTS TO BE MADE PRO RATA.— 

15 (1) IN GENERAL.—Except as provided in para16 graph (2), the Special Master shall carry out sub17 section (a), by dividing all available funds on a pro 

18 rata basis, based on the amounts outstanding and 

19 unpaid on eligible claims, until all such amounts 

20 have been paid in full. In the event that a United 

21 States person has an eligible claim that exceeds 

22 $100 million, the Special Master shall treat that 

23 claim as if it were for $100 million for purposes of 

24 this section. 

25 (2) MINIMUM PAYMENTS.— 


emcdonald on DSK67QTVN1PROD with BILLS
21 

•HR 3858 IH

1 (A) Any applicant with an eligible claim 

2 described in section 203(b)(1) who has received, 

3 or is eligible or scheduled to receive, any pay4 ment that is equal to, or in excess of, 30 per5 cent of the total compensatory damages owed to 

6 such applicant on the applicant’s claim from 

7 any source other than this Fund shall not re8 ceive any payment from the Fund until such 

9 time as all other eligible applicants have re10 ceived from the Fund an amount equal to 30 

11 percent of the compensatory damages awarded 

12 to those applicants. For purposes of calculating 

13 the pro rata for these payments, the Special 

14 Master shall not include the total compensatory 

15 damages for applicants excluded from payment 

16 by this subparagraph. 

17 (B) To the extent that an applicant with 

18 an eligible claim has received less than 30 per19 cent of the compensatory damages owed that 

20 applicant under a final judgment described in 

21 section 203(b)(1) from any source other than 

22 this Fund, such applicant may apply to the 

23 Special Master for the difference between the 

24 percentage of compensatory damages the appli25 cant has received from other sources and the 


emcdonald on DSK67QTVN1PROD with BILLS
22 

•HR 3858 IH

1 percentage of compensatory damages to be 

2 awarded other eligible applicants from the 

3 Fund. 

4 (d) ADDITIONAL PAYMENTS.—On January 1 of the 

5 second calendar year that begins after the date of the ini6 tial payments described in subsection (a) if funds are 

7 available in the Fund, the Special Master shall authorize 

8 additional payments on a pro rata basis to those claimants 

9 with eligible claims under section 203(b)(1) and shall au10 thorize additional payments for eligible claims annually 

11 thereafter if funds are available in the Fund. 

12 (e) SUBROGATION AND RETENTION OF RIGHTS.— 

13 (1) UNITED STATES SUBROGATED TO CRED14 ITOR RIGHTS TO THE EXTENT OF PAYMENT.—The 

15 United States shall be subrogated to the rights of 

16 any person who applies for and receives payments 

17 under this title, but only to the extent and in the 

18 amount of such payments made under this title. The 

19 President shall pursue these subrogated rights as 

20 claims or offsets of the United States in appropriate 

21 ways, including any negotiation process that pre22 cedes the normalization of relations between the for23 eign state designated as a state sponsor of terrorism 

24 and the United States or the lifting of sanctions 

25 against such foreign state. 


emcdonald on DSK67QTVN1PROD with BILLS
23 

•HR 3858 IH

1 (2) RIGHTS RETAINED.—To the extent amounts 

2 of damages remain unpaid and outstanding under 

3 this section, each applicant shall retain that appli4 cant’s creditor rights in any unpaid and outstanding 

5 amounts of the judgment, including any prejudg6 ment or post-judgment interest, or punitive dam7 ages, awarded by the United States district court 

8 pursuant to a judgment. 

9 SEC. 205. UNITED STATES VICTIMS OF STATE SPONSORED 

10 TERRORISM FUND. 

11 (a) ESTABLISHMENT OF U.S. VICTIMS OF STATE

12 SPONSORED TERRORISM FUND.—There is established in 

13 the Treasury a fund, to be designated as the United States 

14 Victims of State Sponsored Terrorism Fund. 

15 (b) IN GENERAL.—Beginning on the date of the en16 actment of this Act, the following shall be deposited or 

17 transferred into the Fund for distribution under this title: 

18 (1) FORFEITED FUNDS AND PROPERTY.—All 

19 funds, and the net proceeds from the sale of prop20 erty, forfeited or paid to the United States after the 

21 date of enactment of this Act as a civil or criminal 

22 penalty or fine arising from a violation of any li23 cense, order, regulation, or prohibition issued under 

24 the International Emergency Economic Powers Act 

25 (50 U.S.C. 1701 et seq.) or the Trading with the 


emcdonald on DSK67QTVN1PROD with BILLS
24 

•HR 3858 IH

1 Enemy Act (50 U.S.C. App. 1 et seq.), or any re2 lated civil or criminal conspiracy, scheme, or other 

3 Federal offense arising from the actions of, or doing 

4 business with, a state sponsor of terrorism. 

5 (2) TRANSFER OF FORFEITED FUNDS RELATED

6 TO PLEA AGREEMENT AND SETTLEMENT BETWEEN

7 THE UNITED STATES AND BNP PARIBAS S.A.—All 

8 funds, excluding those funds transferred to the 9/11 

9 Fund by title I of this Act, paid to the United States 

10 Government by BNP Paribas S.A. (BNPP) as part 

11 of, or related to, a plea agreement dated June 27, 

12 2014, entered into between the United States De13 partment of Justice and BNPP, and subject to a 

14 consent order entered by the United States District 

15 Court for the Southern District of New York on 

16 May 1, 2015, in United States v. BNPP, No. 14 Cr. 

17 460 (SDNY) to settle charges against BNPP for 

18 conspiracy to commit an offense against the United 

19 States in violation of section 371 of title 18, United 

20 States Code, by conspiring to violate the Inter21 national Emergency Economic Powers Act (50 

22 U.S.C. 1701 et seq.), and the Trading with the 

23 Enemy Act (50 U.S.C. App. 1 et seq.). 


emcdonald on DSK67QTVN1PROD with BILLS
25 

•HR 3858 IH

1 (3) TRANSFER INTO FUND OF CERTAIN AS2 SIGNED ASSETS OF IRAN AND ELECTION TO PARTICI3 PATE IN FUND.— 

4 (A) DEPOSIT INTO FUND OF ASSIGNED

5 PROCEEDS FROM SALE OF PROPERTIES AND

6 RELATED ASSETS IDENTIFIED IN IN RE 650

7 FIFTH AVENUE & RELATED PROPERTIES.— 

8 (i) IN GENERAL.—Except as provided 

9 in clause (ii), if the United States receives 

10 a final judgment forfeiting the properties 

11 and related assets identified in the pro12 ceedings captioned as In Re 650 Fifth Av13 enue & Related Properties, No. 08 Civ. 

14 10934 (S.D.N.Y. filed Dec. 17, 2008), the 

15 net proceeds (not including the litigation 

16 expenses and sales costs incurred by the 

17 United States) resulting from the sale of 

18 such properties and related assets by the 

19 United States shall be deposited into the 

20 Fund. 

21 (ii) LIMITATION.—The following pro22 ceeds resulting from any sale of the prop23 erties and related assets identified in 

24 clause (i) shall not be transferred into the 

25 Fund: 


emcdonald on DSK67QTVN1PROD with BILLS
26 

•HR 3858 IH

1 (I) The percentage of proceeds 

2 attributable to any party identified as 

3 a Settling Judgment Creditor in the 

4 order dated April 16, 2014, in such 

5 proceedings, who does not make an 

6 election (described in subparagraph 

7 (C)) to participate in the Fund. 

8 (II) The percentage of proceeds 

9 attributable to the parties identified 

10 as the Hegna Judgment Creditors in 

11 such proceedings, unless and until a 

12 final judgment is entered denying the 

13 claims of such creditors. 

14 (B) DEPOSIT INTO FUND OF ASSIGNED AS15 SETS IDENTIFIED IN PETERSEN V. ISLAMIC RE16 PUBLIC OF IRAN.—If a final judgment is en17 tered in Peterson v. Islamic Republic of Iran, 

18 No. 10 Civ. 4518 (S.D.N.Y.), awarding the as19 sets at issue in that case to the plaintiffs, those 

20 assets shall be deposited into the Fund, but 

21 only to the extent, and in such percentage, that 

22 the rights, title, and interest to such assets 

23 were assigned through elections made pursuant 

24 to subparagraph (C). 


emcdonald on DSK67QTVN1PROD with BILLS
27 

•HR 3858 IH

1 (C) ELECTION TO PARTICIPATE IN THE

2 FUND.—Upon written notice to the Attorney 

3 General, the Special Master, and the chief 

4 judge of the United States District Court for 

5 the Southern District of New York within 60 

6 days of the date of enactment of this Act, a 

7 United States person, who is a plaintiff in the 

8 proceedings captioned Petersen v. Islamic Re9 public of Iran, No. 10 Civ. 4518 (S.D.N.Y.), or 

10 a Settling Judgment Creditor as identified in 

11 the proceedings captioned In Re 650 Fifth Ave12 nue & Related Properties, No. 08 Civ. 10934 

13 (S.D.N.Y. filed Dec. 17, 2008), shall have the 

14 right to elect to participate in the Fund and, to 

15 the extent any such person exercises such right, 

16 shall irrevocably assign to the Fund all rights, 

17 title, and interest to such person’s claims to the 

18 assets at issues in such proceedings. To the ex19 tent that a United States person is both a 

20 plaintiff in the proceedings captioned Petersen 

21 v. Islamic Republic of Iran, No. 10 Civ. 4518 

22 (SDNY) and a Settling Judgment Creditor in 

23 In Re 650 Fifth Avenue & Related Properties, 

24 No. 08 Civ. 10934 (S.D.N.Y. filed Dec. 17, 

25 2008), any election by such person to particiVerDate Sep 11 2014 00:55 Oct 30, 2015 Jkt 059200 PO 00000 Frm 00027 Fmt 6652 Sfmt 6201 E:\BILLS\H3858.IH H3858

emcdonald on DSK67QTVN1PROD with BILLS
28 

•HR 3858 IH

1 pate in the Fund pursuant to this paragraph 

2 shall operate as an election to assign any and 

3 all rights, title, and interest in the assets in 

4 both actions for the purposes of participating in 

5 the Fund. The Attorney General is authorized 

6 to pursue any such assigned rights, title, and 

7 interest in those claims for the benefit of the 

8 Fund. 

9 (D) APPLICATION FOR CONDITIONAL PAY10 MENT.—A United States person who is a plain11 tiff in the proceedings identified in subpara12 graph (C) and who does not elect to participate 

13 in the Fund may, notwithstanding such failure 

14 to elect, submit an application for conditional 

15 payment from the Fund, subject to the fol16 lowing limitations: 

17 (i) Notwithstanding any such claim18 ant’s eligibility for payment and the initial 

19 deadline for initial payments set forth in 

20 section 204(b), the Special Master shall al21 locate but withhold payment to an eligible 

22 claimant who applies for a conditional pay23 ment under this paragraph until such time 

24 as an adverse final judgment is entered in 


emcdonald on DSK67QTVN1PROD with BILLS
29 

•HR 3858 IH

1 both of the proceedings identified in sub2 paragraph (C). 

3 (ii) In the event that a final judgment 

4 is entered in favor of the plaintiffs in the 

5 proceedings identified in subparagraph (C), 

6 the payments allocated to claimants who 

7 applied for a conditional payment under 

8 this subparagraph shall be considered void, 

9 and any funds previously allocated to such 

10 conditional payments shall be made avail11 able and distributed to all other eligible 

12 claimants pursuant to section 204. 

13 (c) EXPENDITURES FROM FUND.—Amounts in the 

14 Fund shall be available, without further appropriation, for 

15 the payment of eligible claims and compensation of the 

16 Special Master in accordance with this title. 

17 (d) MANAGEMENT OF FUND.—The Fund shall be 

18 managed and invested in the same manner as a trust fund 

19 is managed and invested under section 9602 of the Inter20 nal Revenue Code of 1986. 

21 SEC. 206. AWARD OF COMPENSATION TO INFORMERS. 

22 (a) IN GENERAL.—Any United States person who 

23 holds a final judgment described in section 203(b)(1) and 

24 who meets the requirements set forth in subsection (b) of 

25 this section is entitled to receive an award of 10 percent 


emcdonald on DSK67QTVN1PROD with BILLS
30 

•HR 3858 IH

1 of the funds deposited in the Fund attributable to infor2 mation such person furnished to the Attorney General that 

3 leads to a forfeiture described in section 203(a)(1), which 

4 is made after the date of enactment of this Act pursuant 

5 to a proceeding resulting in forfeiture that was initiated 

6 after the date of enactment of this Act. 

7 (b) PERSON DESCRIBED.—A person meets the re8 quirements of this subsection if— 

9 (1) the person identifies and notifies the Attor10 ney General of funds or property— 

11 (A) of a state sponsor of terrorism, or held 

12 by a third party on behalf of or subject to the 

13 control of that state sponsor of terrorism; 

14 (B) that were not previously identified or 

15 known by the United States Government; and 

16 (C) that are subsequently forfeited directly 

17 or in the form of substitute assets to the United 

18 States; and 

19 (2) the Attorney General finds that the identi20 fication and notification under paragraph (1) by 

21 that person substantially contributed to the for22 feiture to the United States. 

23 SEC. 207. SPECIAL EXCLUSION FROM COMPENSATION. 

24 In no event shall an individual who is criminally cul25 pable for an act of international terrorism receive any 


emcdonald on DSK67QTVN1PROD with BILLS
31 

•HR 3858 IH

1 compensation under this title, either directly or on behalf 

2 of a victim. 

3 SEC. 208. REPORT TO CONGRESS. 

4 Within 30 days after authorizing the payment of 

5 compensation of eligible claims pursuant to section 204, 

6 the Special Master shall submit to the chairman and rank7 ing minority member of the Committee on the Judiciary 

8 of the House of Representatives and the chairman and 

9 ranking minority member of the Committee on the Judici10 ary of the Senate a report on the payment of eligible 

11 claims, which shall include— 

12 (1) an explanation of the procedures for filing 

13 and processing of applications for compensation; and 

14 (2) an analysis of the payments made to United 

15 States persons from the Fund and the amount of 

16 outstanding eligible claims, including— 

17 (A) the number of applications for com18 pensation submitted; 

19 (B) the number of applications approved 

20 and the amount of each award; 

21 (C) the number of applications denied and 

22 the reasons for the denial; 

23 (D) the number of applications for com24 pensation that are pending for which compen25 satory damages have not been paid in full; and 


emcdonald on DSK67QTVN1PROD with BILLS
32 

•HR 3858 IH

1 (E) the total amount of compensatory 

2 damages from eligible claims that have been 

3 paid and that remain unpaid. 

4 SEC. 209. DEFINITIONS. 

5 In this title the following definitions apply: 

6 (1) ACT OF INTERNATIONAL TERRORISM.—The 

7 term ‘‘act of international terrorism’’ includes— 

8 (A) an act of torture, extrajudicial killing, 

9 aircraft sabotage, or hostage taking as those 

10 terms are defined by section 1605A(h) of title 

11 28, United States Code; and 

12 (B) as defined by section 2339A of title 

13 18, United States Code, the provision of mate14 rial support or resources for an act described in 

15 subparagraph (A). 

16 (2) ADVERSE FINAL JUDGMENT.—The term 

17 ‘‘adverse final judgment’’ means a final judgment in 

18 favor of the defendant, or defendants, in the pro19 ceedings identified in section 205(b)(3)(C), or which 

20 does not order any payment from, or award any in21 terest in, the assets at issue in such proceedings to 

22 the plaintiffs or Settling Judgment Creditors in such 

23 proceedings. 


emcdonald on DSK67QTVN1PROD with BILLS
33 

•HR 3858 IH

1 (3) COMPENSATORY DAMAGES.—The term 

2 ‘‘compensatory damages’’ does not include pre-judg3 ment or post-judgment interest or punitive damages. 

4 (4) FINAL JUDGMENT.—The term ‘‘final judg5 ment’’ means an enforceable final judgment, decree 

6 or order on liability and damages entered by a 

7 United States district court that is not subject to 

8 further appellate review, but does not include a 

9 judgment, decree, or order that has been waived, re10 linquished, satisfied, espoused by the United States, 

11 or subject to a bilateral claims settlement agreement 

12 between the United States and a foreign state. 

13 (5) FUND.—The term ‘‘Fund’’ means the 

14 United States Victims of State Sponsored Terrorism 

15 Fund established by this title. 

16 (6) SOURCE OTHER THAN THIS FUND.—The 

17 term ‘‘source other than this Fund’’ means all col18 lateral sources, including life insurance, pension 

19 funds, death benefit programs, and payments by 

20 Federal, State, or local governments (including pay21 ments from the September 11th Victims Compensa22 tion Fund (49 U.S.C. 40101 note)), and court 

23 awarded compensation related to the act of inter24 national terrorism that gave rise to a claimant’s 

25 final judgment. 


emcdonald on DSK67QTVN1PROD with BILLS
34 

•HR 3858 IH

1 (7) STATE SPONSOR OF TERRORISM.—The term 

2 ‘‘state sponsor of terrorism’’ means a country the 

3 government of which the Secretary of State has de4 termined, for purposes of section 6(j) of the Export 

5 Administration Act of 1979 (50 U.S.C. App. 

6 2405(j)), section 620A of the Foreign Assistance 

7 Act of 1961 (22 U.S.C. 2371), section 40 of the 

8 Arms Export Control Act (22 U.S.C. 2780), or any 

9 other provision of law, is a government that has re10 peatedly provided support for acts of international 

11 terrorism. 

12 (8) UNITED STATES PERSON.—The term 

13 ‘‘United States person’’ means a natural person en14 titled to a private right of action under section 

15 1605A(c) of title 28, United States Code. 

16 SEC. 210. SEVERABILITY. 

17 The provisions of this title are severable. If any provi18 sion of this title, or any application thereof, is found un19 constitutional, that finding shall not affect any provision 

20 or application of the Act not so adjudicated. 

Æ 


emcdonald on DSK67QTVN1PROD with BILLS