I
107TH CONGRESS
2D SESSION
H. R. 4647
To provide for satisfaction of judgements from frozen assets of terrorists,
terrorist organizations, and State sponsors of terrorism, and for other
purposes.
IN THE HOUSE OF REPRESENTATIVES
MAY 2, 2002
Mr. FOSSELLA (for himself, Mr. CANNON, and Mr. KING) introduced the fol-
lowing bill; which was referred to the Committee on the Judiciary, and
in addition to the Committee on International Relations, for a period to
be subsequently determined by the Speaker, in each case for consider-
ation of such provisions as fall within the jurisdiction of the committee
concerned
A BILL
To provide for satisfaction of judgements from frozen assets
of terrorists, terrorist organizations, and State sponsors
of terrorism, and for other purposes.
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 ‘‘Justice for Victims
of Terrorism Act of 2002’’.
SEC. 2. SATISFACTION OF JUDGMENTS FROM FROZEN AS-
SETS OF TERRORISTS, TERRORIST ORGANI-
ZATIONS, AND STATE SPONSORS OF TER-
RORISM.
(a) IN GENERAL.—Notwithstanding any other provi-
sion of law, and except as provided in subsection (b), in
every case in which a person has obtained a judgment
against a terrorist party on a claim based upon an act
of terrorism or for which a terrorist party is not immune
under section 1605(a)(7) of title 28, United States Code,
the blocked assets of that terrorist party (including the
blocked assets of any agency or instrumentality of that
terrorist party) shall be subject to execution or attachment
in aid of execution in order to satisfy such judgment to
the extent of any compensatory damages for which such
terrorist party has been adjudged liable.
(b) PRESIDENTIAL WAIVER.—
(1) IN GENERAL.—Subject to paragraph (2),
upon determining on an asset-by-asset basis that a
waiver is necessary in the national security interest,
the President may waive the requirements of sub-
section (a) in connection with (and prior to the en-
forcement of) any judicial order directing attach-
ment in aid of execution or execution against any
property subject to the Vienna Convention on Diplo-
matic Relations or the Vienna Convention on Con-
sular Relations.
(2) EXCEPTION.—A waiver under this sub-
section shall not apply to—
(A) property subject to the Vienna Conven-
tion on Diplomatic Relations or the Vienna
Convention on Consular Relations that has been
used by the United States for any nondiplo-
matic purpose (including use as rental prop-
erty), or the proceeds of such use; or
(B) the proceeds of any sale or transfer for
value to a third party of any asset subject to
the Vienna Convention on Diplomatic Relations
or the Vienna Convention on Consular Rela-
tions.
(c) SPECIAL RULE FOR CASES AGAINST IRAN.—Sec-
tion 2002 of the Victims of Trafficking and Violence Pro-
tection Act of 2000 (Public Law 106–386; 114 Stat.
1542) is amended—
(1) in subsection (a)(2)(A)(ii), by inserting
after ‘‘July 27, 2000’’ the following: ‘‘or before Oc-
tober 28, 2000,’’;
(2) in subsection (b)(2)(B)(i), by inserting after
‘‘the date of enactment of this Act’’ the following:
‘‘(less amounts therein as to which the United
States has an interest in subrogation pursuant to
subparagraph (C) arising prior to the date of entry
of the judgment or judgments to be satisfied in
whole or in part hereunder).’’;
(3) by redesignating subsections (d), (e), and
(f) as subsections (e), (f), and (g), respectively; and
(4) by inserting after subsection (c) the fol-
lowing new subsection (d):
‘‘(d) DISTRIBUTION OF FOREIGN MILITARY SALES
FUNDS INADEQUATE
TO SATISFY FULL AMOUNT
OF
COMPENSATORY AWARDS AGAINST IRAN.—
‘‘(1)(A) In the event that the Secretary deter-
mines that the amounts available to be paid under
subsection (b)(2) are inadequate to pay the entire
amount of compensatory damages awarded in judg-
ments issued as of the date of the enactment of the
Justice for Victims of Terrorism Act of 2002 in
cases identified in subsection (a)(2)(A), the Sec-
retary shall, not later than 60 days after such date,
make payment from the account specified in sub-
section (b)(2) to each party to which such judgment
has been issued a share of the amounts in that ac-
count which are not subject to subrogation to the
United States under this Act.
‘‘(B) The amount so paid to each such person
shall be calculated by the proportion that the
amount of compensatory damages awarded in a
judgment issued to that particular person bears to
the total amount of all compensatory damages
awarded to all persons to whom judgments have
been issued in cases identified in subsection
(a)(2)(A) as of the date referred to in subparagraph
(A).
‘‘(2) Nothing herein shall bar, or require delay
in, enforcement of any judgment to which this sub-
section applies under any procedure or against as-
sets otherwise available under this section or under
any other provision of law.
‘‘(3) Any person receiving less than the full
amount of compensatory damages awarded to that
party in judgments to which this subsection applies
shall not be required to make the election set forth
in subsection (a)(2)(C) in order to qualify for pay-
ment hereunder.’’.
(d) DEFINITIONS.—In this section:
(1) The term ‘‘terrorist party’’ means a ter-
rorist, a terrorist organization, or a foreign state
designated as a state sponsor of terrorism under sec-
tion 6(j) of the Export Administration Act of 1979
(50 U.S.C. App. 2405(j)) or section 620A of the
Foreign Assistance Act of 1961 (22 U.S.C. 2371).
(2) The term ‘‘blocked asset’’ means any asset
seized or frozen by the United States in accordance
with law, or otherwise held by the United States
without claim of ownership by the United States.
(3) The term ‘‘property subject to the Vienna
Convention on Diplomatic Relations or the Vienna
Convention on Consular Relations’’ and the term
‘‘asset subject to the Vienna Convention on Diplo-
matic Relations or the Vienna Convention on Con-
sular Relations’’ mean any property or asset, respec-
tively, the attachment in aid of execution or execu-
tion of which would result in a violation of an obliga-
tion of the United States under the Vienna Conven-
tion on Diplomatic Relations or the Vienna Conven-
tion on Consular Relations, as the case may be.
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