ABSTRACT

Iran's Central Bank Asks Supreme Court to Consider Whether the Bank's Assets Abroad Are Immune from Attachment to Satisfy Terror Judgments [May 30, 2018]   [open pdf - 391KB]

"Iran's central bank, Bank Markazi, has asked the Supreme Court to reverse a decision by the U.S. Court of Appeals for the Second Circuit (Second Circuit) , which concluded that the bank's assets held in Luxembourg may be ordered transferred to New York for possible satisfaction of terrorism judgments obtained under the Foreign Sovereign Immunities Act (FSIA). At issue is Bank Markazi's right to payment of bond proceeds of about $1.68 billion being held by, reflected on the books of, and recorded as a debt owed by Clearstream Banking, S.A. (Clearstream), a financial institution in Luxembourg specializing in bond and equity investments. The plaintiffs are a group of judgment creditors against Iran who prevailed in actions they brought under the terrorism exception to the FSIA, including the victims of the 1983 Marine Corps barracks bombing in Beirut, Lebanon (awarded damages in Peterson v. Islamic Republic of Iran), as well as victims of other terrorist attacks supported by Iran. They are owed approximately $3.8 billion in compensatory damages. Iran defaulted in each of their cases."

Report Number:
CRS Legal Sidebar, LSB10140
Author:
Publisher:
Date:
2018-05-12
Copyright:
Public Domain
Retrieved From:
Federation of American Scientists: http://www.fas.org/sgp/crs/index.html
Format:
pdf
Media Type:
application/pdf
URL:
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