It but dont know. We cant prevent them from doing the terrible things they do, so lets not talk about the form of the payment when i think our real concern is that we dont like what iran does with money that it legally obtains. Additionally, my understanding is that this requires an immediate payment. As much as it might be counterintuitive, electronic wire payments to iran have taken months to complete while the cash option method terms of the settlement. Its not something we like to do but, again, we signed an agreement called the algiers accords and each president in terms of giving money back to iran which was legally their money has used the rules of the accords. President obamas not the first president to do that. As i pointed out before, both president reagan and president george h. W. Bush did it as well. It takes a long time to make a Wire Transfer to iran because u. S. Sanctions against iran are so powerful and so comprehensive that there are virtually no banking relationships between the United States and iran. Therefore, Wire Transfer was not an option it would have taken too long. In order to abide by the settlement, the u. S. Government had to make an immediate payment. So mr. Chairman, thats the reason i will have to oppose this amendment even though i appreciate that the chairman is seeking to clarify and make clarify the bill and make it better. And i reserve the balance of my time. The chair the gentleman reserves. The gentleman from california is recognized. , royce reclaiming my time mr. Chairman. I will just make the following points. Did have another way to ansfer any agreed upon settlement without transferring palettes of cash. We know that because the administration had made other transfers to iran, so this bill does not withdraw the u. S. From the claims tribunal or algiers accords. It doesnt impact that. Nor does it effectively prevent the United States from paying out awards rendered by the tribunal. As ive indicated, we simply with this bill prohibit cash from being used as a payment method. If the United States has to pay iran a tribunal award in the future, the payment should be processed through the formal Financial System as the other payments to iran have been, and thats how the Hague Tribunal payments have been handled for 35 years and thats how it should work in the future. But our sanctions system was designed with tribunal payments in mind. The iran transaction sanctions regime contains a number of exemptions from the rules so that certain transactions can go forward and in this case transactions for tribunal settlements are explicitly authorized and would shield any entity involved in such a transaction from liability under u. S. Law. So going back to the original argument, were trying po perfect the bill but at the end of the day we cant collapse the effort because weve now had three plane loads full of cash with pallets of cash transferred to the regime and we can bet iran will angle for more. Just last night, the iranian president asserted that considerable sums of money are under discussion to be returned in iran. This cant happen again. This cannot happen by another pallets of cash shipment to the Iranian Regime or the irgc, and so this amendment is important and i reserve the balance of my time. The chair the gentleman reserves. Mr. Royce i yield back the balance of my time. The chair the gentleman yields. The gentleman from new york is recognized. Mr. Engel yeah, let me respond just to some of the things that we heard from some of our colleagues. This was not a ransom payment. This was payment for a 30yearold claim over a weapons shipment that was never delivered, and the United States actually got pretty good deal on the settlement. We might have had to pay more interest if we had settled and the judgment would have gone to the u. S. Claims tribunal. En the prisoners plane was sitting on the tarmac, the administration, as i mentioned before, held up the settlement payment. Couldnt find the Administration Officials feared that as one was being released, his ranians were holding family. They felt the settlement was being held up. Leveraging money, money that belonged to iran in the first place and was going to be paid to iran under the algiers accords was smart. Can you imagine if they paid the settlement anyway even if the prisoner release was stalled . Hat didnt happen. Some people are saying that the Administration Made payments to iran via Wire Transfer before and after the ransom so why did the ransom have to be cash . Well, the payments made before and after the settlement payments were months in the making. It takes a long time to make a Wire Transfer to iran because u. S. Sanctions against iran are so powerful and so comprehensive, as i mentioned before, that there are virtually no banking relationships between the u. S. And iran. It takes a long time to wire money to iran, but the requirement of the settlement was that the payment had to be immediate. Therefore, a Wire Transfer, instead of cash, was not an option. It would have taken too long. Let me say this. I said it before and ill say it again. Money is fungible whether cash, Wire Transfer, check, gold or any other form of payment. Once it gets to iran we have no way of tracking to. So i believe this thing about cash is beside the point. Money can be used for nefarious purposes once it gets to iran no matter what the method, but when we are going to make a payment to iran pursuant to a settlement or a judgment, congress should know about it and i am offended that we didnt know about it and thats why when i introduced my amendment a little bit introduce my amendment a little bit later on we will require that congress be informed of any kind of transfer, not only to iran, but to any other rogue nation at least five days before. So we should have greater oversight of these payments. I agree with that. The chair the gentlemans time has expired. Mr. Engel i dont think we should worry about whether it was cash or some other method. I yield back. The chair the gentleman yields back. The question is on the amendment offered by the gentleman from california. Those in favor say aye. Those opposed, no. In the opinion of the chair, the ayes have it. He amendment is agreed to. It is now ause in order to consider amendment number 2 printed in house report 114781. For what purpose does the gentleman from kansas seek recognition . Mr. Pompeo mr. Chairman, i have an amendment at the desk. The chair the clerk will designate the amendment. The clerk amendment number 2 printed in house report 114781 offered by mr. Pompeo of kansas. The chair pursuant to House Resolution 879, the gentleman from kansas, mr. Pompeo, and a member opposed, each will control five minutes. The chair recognizes the gentleman from kansas. Mr. Pompeo thank you, mr. Chairman. My amendment in short prohibits ransom payments to any country. Although the American People consider this to be u. S. Policy, given the administrations recent actions, we have to make this prohibition explicit. This amendment will support and strengthen the good work of chairman royce in h. R. 5931. Think about this timeline. The u. S. Wires 400 million in cash from the Swiss National bank and then physically transports it to another city to hand off to iranian officials all in three days. Three days. Three days before iran releases four american hostages. But it gets worse. Less than a week after this, the u. S. Again sends hordes of cash to iran. We only know this timeline thanks to multiple and consistent inquiries from myself and other members of congress and yet there are so many details we still dont know. For instance, on april 5, 2016, white house spokesman josh earnest in response to a reportarys question on whether the Obama Administration misled congress about the iran deal stated, quote, i dont there is any evidence to substantiate this claim. I think you should take a rather dim view of this congress because congressman pompeo didnt approve this bill and he certainly didnt favor it. Of course, my personal view of the jcpoa is irrelevant if the administration stonewalls congress. The state department admitted that the payments of millions of dollars and pallets of cash to iranians would not have been made if they did not release hostages. It doesnt explain months of lying to the American People. Mr. Chairman, ransom payments put a price on the head of every american. This bill prohibits the United States government from making a ney to secure the release of unjustly detained u. S. Residents or residents. I reserve the balance of my time. The chair the gentleman reserves. Does anyone seek recognition for opposition . Mr. Engel yes, i rise to claim time in opposition to the amendment. The chair the gentleman is recognized. Mr. Engel let me just the chair for five minutes. Mr. Engel let me say first of all, on the face of it the amendment makes sense. Its already u. S. Policy not to pay ransom. On june 24, 2015, president obama issued a directive, quote, it is the United States policy to deny hostage takers the benefits of ransom, prisoner releases, policy changes. Codifying this policy, though, without giving the president any flexibility is not what we should be doing. There is no waiver in this bill. Things like this usually have waivers so any president , this president and future president s would have flexibility. But, again, this whole issue i believe is a red herring. The United States did not pay a ransom for the four americans detained in iran. We were paying iran back its own money, money it had given us to buy weapons before the iranian revolution. Ive never heard of paying a ransom using the cap tores own money. Its galing bus its not a ransom. Every its galling but its not a ransom. We should not be criticizing the president. We should be putting our Heads Together and finding a solution. These issues are too important to get caught in partisan fights. Its not how we do things on the Foreign Affairs committee. I reserve the balance of my time. The chair the gentleman reserves. The gentleman from kansas is recognized. Pomp pomp mr. Chairman, i yield two minutes mr. Pompeo mr. Chairman, i yield two minutes to the gentleman from new york, mr. Zeldin. The chair the gentleman is recognized. Mr. Zeldin i thank the distinguished gentleman from kansas for offering this amendment to an important underlying bill from the chairman of the house Foreign Affairs committee, ed royce. Its really important to point out as a matter of policy and what unfortunately is very necessary for this congress to take action on to make it very clear that we dont pay ransom. Now, with regards to the 1. 7 billion that has been paid to iran to secure the release of the four iranian hostages, other terms have been used, the one most often used lately is called leverage. The fact is if the money did not arrive immediately, the hostages wouldnt have been released. No money, no hostage release. Why are we debating as if this wasnt a ransom . If the money didnt show up, 400 million in cash, the hostages wouldnt have been released. Why do we not put a price on release, a financial price . Because now more americans are being unjustly imprisoned by iran. Shehini in ey in california visiting his mother is being held accused of, quote, cooperating with hostile governments, actions against National Security and communication with antirevolutionary agents and media, end quote. This is an american visiting his mom in iran, and why do we not pay ransom . Why do we not give money to secure the release of an american hostage is that now more americans have been taken hostage. Thank you, mr. Pompeo. The chair who seeks recognition . Mr. Pompeo mr. Chairman, im prepared to close, finish. The chair the gentleman from kansas is recognized. Mr. Pompeo mr. Chairman, i this is an important amendment. We need to codify what we have known for years has been american policy, under a under democrat president s and a republican president that we simply wont pay ransom to get americans back. Id urge my colleagues to support this amendment and the underlying bill and i yield back the balance of my time. The chair the gentleman yields back the balance of his time. The gentleman from new york. Mr. Engel yes. Let me say, first of all, that the Iranian Regime is bad is bad regime. They hold american is a bad regime. They hold american prisoners, before we paid them the money, and theyll hold prisoners after. Has no basis whatsoever the easy to put out the word ransom. But this was not a ransom. Its a reprehensible regime, they do reprehensible things. The United States fulfills its obligation. Again, the algiers accord, by the logic that this should not have been done, then when george h. W. Bush did it, it should not have been done. When Ronald Reagan did it, it should not have been done. They did it because we maintain our obligations in the United States. So, any of us can get up and give a litany of things that we dont like about the iranian government, believe me, i take second to none when it comes to that. But the United States needs to fulfill its obligations. And the Iranian Regime needs to be checked. But its not a ransom and thats just the problem. By calling it a ransom, by calling names, by trying to poke a finger in front of the eyes of the administration, we dont get to the real issue and the real issue, which i hope well get to later, is, again, to give Congress Notice before this happens. Thats the issue. To just say ransom and throw that word out, anybody can do that. But this wasnt a ransom. We are fulfilling our obligations under the accords that we signed, that each american president facing the same type of thing has sent money to iran, because we fulfill our obligations. Doesnt matter from which party the president comes, president obama did nothing more than other president s have done before him. I oppose the amendment and i yield back the balance of my time. The chair the gentleman yields back the balance of his time. The question is on the amendment offered by the gentleman from kansas. Those in favor say aye. Those opposed, no. In the opinion of the chair, the ayes have it. He amendment is agreed to. It is now in order to consider amendment number 3 printed in house report 114781. For what purpose does the gentleman from kansas seek recognition . Mr. Pompeo mr. Chairman, i have an amendment at the desk. The chair the clerk will designate the amendment. The clerk amendment number 3 printed in house report 114781 offered by mr. Pompeo of kansas. The chair pursuant to House Resolution 879, the gentleman from kansas, mr. Pompeo, and a member opposed will each control five minutes. The chair recognizes the gentleman from kansas. Mr. Pompeo mr. Chairman, i ask unanimous consent that amendment number three printed in house 3 printed in the house report be modified in the form i have placed at the desk. The chair the clerk will report the modification. The clerk modification to amendment number 3 printed in house report 114land 71 offered by mr. Pompeo of kansas. Page 11, after line 21, add the following. S. E. C. 10, sanctions with respect to iranian persons that hold or detain United States nationals or aliens lawfully admitted for a permanent residence. A, imposition of sanctions. Not later than 60 days after the date of the enactment of this act, the President Shall impose the sanctions described in subs. E. C. B with respect to, one, any iranian person involved in the kidnapping or unjust detention of any individual who is a national of the United States. Mr. Pompeo i ask unanimous consent to dispense with the reading. The chair the reading is dispensed with. Is there objection to the modification . Without objection, the member is recognized. Mr. Pompeo thank you, mr. Chairman. The amendment that ive offered today places comprehensive sanctions on individuals who hold americans hostage. This amendment will support and strengthen the good work of chairman royce on h. R. 5931. This week marks one year the iranian government has been holding hostage a u. S. Legal permanent resident and International DevelopmentInternet Development expert. Mr. Zacha this week was sentenced to 10 years in prison and millions of dollars in fines. His only crime was to bring greater Internet Access to the women of iran. He joins two other americans held hostage and one who is missing. Mr. Chairman, i yield back the balance of my time. The chair the gentleman yields back the balance of his time. The gentleman from new york is recognized. Mr. Engel mr. Chairman, i rise in opposition to the amendment. I do appreciate the sentiment behind what the gentleman is seeking to do. Of course we want to punish anyone who is unjustly Holding American citizens behind bars. But there are so many potential unintended consequences in this amendment. I simply dont know where to start. First, the amendment requires sanctions against any iranian who unjustly detains a u. S. Citizen. But the term unjustly detained does not define is not defined, so who defines it . The white house, congress, iran . Its very difficult. Secondly, as anyone who has worked on sanctions policy knows, and we work on sanctions a lot on the Foreign Affairs committee, it is typically not the use of sanctions that encourages the change in behavior, it is the threat of sanctions that encourages a change in behavior. That means that the iranians have to believe that we w