IB 
Union Calendar No. 600 
114TH CONGRESS 
2D SESSION 
H. R. 5931 
[Report No. 114–767] 
To provide for the prohibition on cash payments to the Government of 
Iran, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
SEPTEMBER 6, 2016 
Mr. ROYCE (for himself, Mr. ZELDIN, Ms. ROS-LEHTINEN, Mr. NUNES, Mr. 
MEADOWS, Mr. THORNBERRY, Mr. SESSIONS, Mr. DONOVAN, Mr. 
MCCAUL, Mr. DENT, Mr. CHAFFETZ, Mr. CONAWAY, Mr. ROHR-
ABACHER, Mr. RIBBLE, Mr. TROTT, Mr. YOUNG
of Iowa, Mr. 
DESJARLAIS, Mr. COOK, Mr. PITTENGER, Mr. DESANTIS, Mr. DUFFY, 
Mr. STIVERS, Mr. FITZPATRICK, Mr. YOHO, Mr. ROTHFUS, Mr. CHABOT, 
and Mr. WILLIAMS) introduced the following bill; which was referred to 
the Committee on Foreign Affairs 
SEPTEMBER 20, 2016 
Additional sponsors: Mr. SALMON, Mr. BARR, Mr. EMMER of Minnesota, Mr. 
ABRAHAM, Mr. GARRETT, Mr. MARINO, Mr. GIBSON, Mr. POSEY, Mr. 
KELLY of Mississippi, Mr. MESSER, Mr. BURGESS, Mr. WEBER of Texas, 
Mr. FLORES, Mr. HUIZENGA of Michigan, Mr. KING of New York, Mr. 
OLSON, Mrs. WAGNER, Mr. BLUM, Mr. LAMALFA, Mr. GOODLATTE, Mr. 
JODY B. HICE of Georgia, Mr. COLLINS of New York, Mr. ROSS, Mr. 
POMPEO, Mr. ALLEN, Mr. MULVANEY, Mr. ROKITA, Mr. BOST, Mr. HAR-
PER, Mr. BUCSHON, Mr. VALADAO, Mr. BISHOP of Michigan, Mr. SMITH 
of New Jersey, Mr. WILSON of South Carolina, Mr. RATCLIFFE, Mr. 
MARCHANT, Mr. ROE of Tennessee, Mr. CALVERT, Mr. SHIMKUS, Mr. 
SMITH of Texas, Mr. MURPHY of Pennsylvania, Mr. GOSAR, Mr. TUR-
NER, and Mr. WENSTRUP 
SEPTEMBER 20, 2016 
Reported with an amendment, committed to the Committee of the Whole 
House on the State of the Union, and ordered to be printed 
[Strike out all after the enacting clause and insert the part printed in italic] 
[For text of introduced bill, see copy of bill as introduced on September 6, 2016] 
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A BILL 
To provide for the prohibition on cash payments to the 
Government of Iran, and for other purposes. 
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Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Prohibiting Future Ran-
som Payments to Iran Act’’. 
SEC. 2. FINDINGS. 
Congress makes the following findings: 
(1) Since 1979, when it held more than 50 
United States citizens for 444 days, Iran has repeat-
edly held United States citizens hostage. 
(2) Presidential Policy Directive 30 issued by 
President Barack Obama on June 24, 2015, states 
that ‘‘It is United States policy to deny hostage-takers 
the benefits of ransom, prisoner releases, policy 
changes, or other acts of concession.’’. 
(3) On January 17, 2016, the President an-
nounced that Iran would release several United States 
citizens while the United States would grant clemency 
to and release seven Iranian nationals serving sen-
tences or awaiting trial in the United States for seri-
ous crimes. 
(4) Senior officials of the Department of State 
have acknowledged that these United States citizens 
were released as part of a ‘‘prisoner swap’’ and Ira-
nian negotiators reportedly asked for a cash payment. 
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(5) On January 17, 2016, the President also an-
nounced that ‘‘The United States and Iran are now 
settling a longstanding Iranian government claim 
against the United States Government.’’. 
(6) The overall amount of the settlement is ap-
proximately $1,700,000,000. 
(7) 
Subsequent 
reports 
revealed 
that 
$400,000,000 of this $1,700,000,000 settlement was se-
cretly flown to Iran, in cash, simultaneously with the 
release of these United States citizens. 
(8) One of the United States citizens released 
that night, Pastor Saeed Abedini, has stated that Ira-
nian officials explained a delay in their departure 
was due to the status of another plane. 
(9) Senior officials at the National Security Di-
vision of the Department of Justice reportedly ob-
jected to the $400,000,000 cash payment, warning 
that Iran would see it as a ransom. 
(10) On August 18, 2016, a Department of State 
spokesman admitted that the $400,000,000 cash pay-
ment was ‘‘leverage’’ to gain the release of Americans 
held hostage by Iran. 
(11) Iranian State Television quoted General 
Mohammad Reza Naghdi, commander of the Basij 
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militia, as claiming ‘‘Taking this much money back 
was in return for the release of the American spies.’’. 
(12) According to Presidential Policy Directive 
30, the United States policy against paying ransom 
and releasing prisoners ‘‘protects United States na-
tionals and strengthens national security by removing 
a key incentive for hostage-takers to target United 
States nationals, thereby interrupting the vicious 
cycle of hostage-takings, and by helping to deny ter-
rorists and other malicious actors the money, per-
sonnel, and other resources they need to conduct at-
tacks against the United States, its nationals, and its 
interests.’’. 
(13) Since the United States released Iranians 
serving sentences or awaiting trial in the United 
States for serious crimes and provided Iran with 
$400,000,000 in cash, Iran has taken several more 
United States citizens hostage. 
(14) On August 22, 2016, the Department of 
State issued an ‘‘Iran Travel Warning’’ noting that 
‘‘Iranian authorities continue to unjustly detain and 
imprison U.S. citizens, particularly Iranian-Ameri-
cans, including students, journalists, business trav-
elers, and academics, on charges including espionage 
and posing a threat to national security.’’. 
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(15) The Government of the United States has 
designated Iran as a state sponsor of terrorism since 
1984 and a jurisdiction of primary money laun-
dering concern since 2011. 
(16) The Department of State’s most recent 
Country Reports on Terrorism makes clear that ‘‘Iran 
continued its terrorist-related activity in 2015, in-
cluding support for Hizballah, Palestinian terrorist 
groups in Gaza, and various groups in Iraq and 
throughout the Middle East.’’. 
(17) In announcing Iran’s designation as a ju-
risdiction of primary money laundering concern, the 
Department of the Treasury made clear that ‘‘any 
and every financial transaction with Iran poses grave 
risk of supporting’’ Iran’s ongoing illicit activities, 
including terrorism. 
(18) On March 17, 2016, the Department of 
State acknowledged in a letter to Congress that there 
remain some ‘‘large claims’’ pending before the Iran- 
United States Claims Tribunal, ‘‘many of which are 
against the United States’’. 
SEC. 3. STATEMENT OF POLICY. 
It shall be the policy of the United States Government 
not to pay ransom or release prisoners for the purpose of 
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securing the release of United States citizens taken hostage 
abroad. 
SEC. 4. PROHIBITION ON CASH PAYMENTS TO THE GOVERN-
MENT OF IRAN. 
(a) PROHIBITION.—Notwithstanding any other provi-
sion of law, beginning on the date of the enactment of this 
Act, the United States Government may not provide, di-
rectly or indirectly, promissory notes (including currency) 
issued by the United States Government or promissory 
notes (including currency) issued by a foreign government, 
to the Government of Iran. 
(b) LICENSING REQUIREMENT.— 
(1) IN GENERAL.—Beginning on the date of the 
enactment of this Act, the conduct of a transaction or 
payment in connection with an agreement to settle a 
claim or claims brought before the Iran-United States 
Claims Tribunal may be made only— 
(A) on a case-by-case basis and pursuant to 
a specific license by the Office of Foreign Assets 
Control of the Department of the Treasury; and 
(B) in a manner that is not in contraven-
tion of the prohibition in subsection (a). 
(2) PUBLICATION IN FEDERAL REGISTER.—The 
President shall publish in the Federal Register a list 
of transactions and payments, including the amount 
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and method of each such transaction and payment, by 
the United States Government to the Government of 
Iran in connection with the agreement described in 
paragraph (1). 
(c) TERMINATION.—The prohibition in subsection (a) 
and the licensing requirement in subsection (b) shall re-
main in effect until the date on which the President certifies 
to the appropriate congressional committees that— 
(1) the President has rescinded a preliminary 
draft rule or final rule (as in effect on the day before 
the date of the enactment of this Act) that provides 
for the designation of Iran as a jurisdiction of pri-
mary money laundering concern pursuant to section 
5318A of title 31, United States Code; and 
(2) the Secretary of State has removed Iran from 
the list of countries determined to have repeatedly 
provided support for acts of international terrorism 
under section 6(j) of the Export Administration Act 
of 1979 (as continued in effect pursuant to the Inter-
national Emergency Economic Powers Act), section 
40 of the Arms Export Control Act, section 620A of 
the Foreign Assistance Act of 1961, or any other pro-
vision of law. 
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(d) APPROPRIATE CONGRESSIONAL COMMITTEES DE-
FINED.—In this section, the term ‘‘appropriate congres-
sional committees’’ means— 
(1) the Committee on Foreign Affairs and the 
Committee on Financial Services of the House of Rep-
resentatives; and 
(2) the Committee on Foreign Relations and the 
Committee on Banking, Housing, and Urban Affairs 
of the Senate. 
SEC. 5. REPORT ON OUTSTANDING CLAIMS BEFORE THE 
IRAN-UNITED STATES CLAIMS TRIBUNAL. 
(a) REPORT.—The President shall submit to the ap-
propriate congressional committees a report that lists and 
evaluates each outstanding claim before the Iran-United 
States Claims Tribunal. 
(b) MATTERS TO BE INCLUDED.—The report required 
under subsection (a) shall include the following: 
(1) The total value of each outstanding claim. 
(2) The current status of each outstanding claim. 
(3) The likelihood that each claim will be re-
solved in the next 6 months. 
(c) SUBMISSION TO CONGRESS.—The report required 
under subsection (a) shall be submitted to the appropriate 
congressional committees not later than 30 days after the 
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date of the enactment of this Act and every 180 days there-
after for a period not to exceed 3 years. 
(d) APPROPRIATE CONGRESSIONAL COMMITTEES DE-
FINED.—In this section, the term ‘‘appropriate congres-
sional committees’’ means— 
(1) the Committee on Foreign Affairs of the 
House of Representatives; and 
(2) the Committee on Foreign Relations of the 
Senate. 
SEC. 6. NOTIFICATION AND CERTIFICATION RELATING TO 
SETTLEMENTS OF OUTSTANDING CLAIMS BE-
FORE THE IRAN-UNITED STATES CLAIMS TRI-
BUNAL. 
(a) NOTIFICATION.—The President shall notify the ap-
propriate congressional committees not later than 30 days 
prior to conducting a transaction or payment from the Gov-
ernment of the United States to the Government of Iran 
in connection with an agreement to settle a claim or claims 
brought before the Iran-United States Claims Tribunal. 
(b) MATTERS TO BE INCLUDED.—The notification re-
quired under subsection (a) shall include the following: 
(1) The total amount of the settlement, including 
the total principal and interest, and an explanation 
of the calculation of the interest. 
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(2) A legal analysis of why the settlement was 
made, including a detailed description of all claims 
and counter-claims covered by the settlement. 
(3) A certification by the President that the set-
tlement is not a ransom for the release of individuals 
held hostage by Iran. 
(4) An identification of each entity of the Gov-
ernment of Iran that will receive amounts from the 
settlement. 
(5) A certification that the funds provided to 
Iran under the settlement will not be used to provide 
support to foreign terrorist organizations, the regime 
of Bashar al-Assad, or other destabilizing activities. 
(6) Whether an equal amount of Iranian funds 
are available and accessible in the United States to 
satisfy judgments against Iran by victims of Iranian- 
sponsored terrorism. 
(7) A copy of the settlement agreement. 
(8) A description of the disposition of any re-
lated claims that have been subrogated to the United 
States Government. 
(9) A certification that the settlement is in the 
best interest of the United States. 
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(c) APPROPRIATE CONGRESSIONAL COMMITTEES DE-
FINED.—In this section, the term ‘‘appropriate congres-
sional committees’’ means— 
(1) the Committee on Foreign Affairs of the 
House of Representatives; and 
(2) the Committee on Foreign Relations of the 
Senate. 
SEC. 7. EXCLUSION OF CERTAIN ACTIVITIES. 
Nothing in this Act shall apply to any activities sub-
ject to the reporting requirements of title V of the National 
Security Act of 1947. 
SEC. 8. RULE OF CONSTRUCTION. 
Nothing in this Act shall be construed to authorize any 
payment by the Government of the United States to the 
Government of Iran. 
SEC. 9. DEFINITIONS. 
In this Act: 
(1) GOVERNMENT OF IRAN.—The term ‘‘Govern-
ment of Iran’’ means— 
(A) the state and the Government of Iran, 
as well as any political subdivision, agency, or 
instrumentality thereof; 
(B) any entity owned or controlled directly 
or indirectly by the foregoing; 
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(C) any person to the extent that such per-
son is, or has been, or to the extent that there is 
reasonable cause to believe that such person is, or 
has been, acting or purporting to act directly or 
indirectly on behalf of any of the foregoing; and 
(D) any person or entity identified by the 
Secretary of the Treasury to be the Government 
of Iran under part 560 of title 31, Code of Fed-
eral Regulations. 
(2) IRAN-UNITED STATES CLAIMS TRIBUNAL.— 
The term ‘‘Iran-United States Claims Tribunal’’ 
means the tribunal established pursuant to the Algiers 
Accords on January 19, 1981, to resolve certain 
claims by nationals of one party against the other 
party and certain claims between the parties. 
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Union Calendar No. 600 
114TH CONGRESS 
2D SESSION 
H. R. 5931 
[Report No. 114–767] 
A BILL 
To provide for the prohibition on cash payments to 
the Government of Iran, and for other purposes. 
SEPTEMBER 20, 2016 
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union, 
and ordered to be printed 
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