# Iran hostages for money -2016

**URL:** <https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643>\
**Category:** In My Humble Opinion\
**Created:** [August 3, 2016, 3:59pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643 "2016-08-03T15:59:21Z")\
**Posts on this page:** 20\
**Page:** 1

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**Author:** ![Omar\_Little](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/omar_little/32/269_2.png) [@Omar\_Little](https://boards.straightdope.com/u/Omar_Little)\
**Post date:** [August 3, 2016, 3:59pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/1 "2016-08-03T15:59:21Z")

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So it’s finally being reported that this past January when the US hostages were being released from Iran, that the US also had $400 million equivalent in Euros, Swiss francs, etc. (no US dollars) flown to Tehran, as the initial payment of a $1.7 billion settlement over a failed arms deal from 1979.

Pundits from the right are claiming it was payment of a ransom for the release of the hostages, which is against US policy and would have required approval from Congress.

The administration is claiming that the hostage release and the settlement were negotiated by different teams, etc. and that the simultaneous release and payment are coincidental. 😉 So did Obama not approve and was not ultimately responsible both of these plans?

Regardless of whether you believe it was just a coincidence, isn’t this supposed to be the “transparency” administration? Why wasn’t this disclosed back in January when the hostages were released?

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**Author:** ![iiandyiiii](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/iiandyiiii/32/7924_2.png) [@iiandyiiii](https://boards.straightdope.com/u/iiandyiiii)\
**Post date:** [August 3, 2016, 4:36pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/2 "2016-08-03T16:36:29Z")

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[Here’s a link.](http://www.nydailynews.com/news/politics/u-s-delivered-400m-iran-day-american-hostages-freed-article-1.2736294)

Sounds like it should have been disclosed, whether or not it is linked to the hostage exchange. The article also explains the details of why it’s money that we actually did reasonably owe Iran.

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**Author:** ![Omar\_Little](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/omar_little/32/269_2.png) [@Omar\_Little](https://boards.straightdope.com/u/Omar_Little)\
**Post date:** [August 3, 2016, 4:45pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/3 "2016-08-03T16:45:10Z")

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> [@iiandyiiii](#):
>
> The article also explains the details of why it’s money that we actually did reasonably owe Iran.

Money that we haven’t paid for 36+ years. So apparently it has been subject to considerable debate on whether we owed it.

It is not uncommon when two parties are seeking resolution to use whatever issues that are at hand between the two parties to bring that resolution forward.

Obama to Rhouhani: _You know very well we can’t pay a ransom for the hostages._  
Rhouhani to Obama: _Yes, but we believe you still owe us the $2 billion for the 1979 arms deal that never went through._  
Obama: \* Now you’re talking.\*

The non-disclosure of the other deal in January, is what makes this scenario seem much more plausible.

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**Author:** ![iiandyiiii](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/iiandyiiii/32/7924_2.png) [@iiandyiiii](https://boards.straightdope.com/u/iiandyiiii)\
**Post date:** [August 3, 2016, 4:53pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/4 "2016-08-03T16:53:56Z")

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> [@Omar\_Little](#):
>
> Money that we haven’t paid for 36+ years. So apparently it has been subject to considerable debate on whether we owed it.
> 
> It is not uncommon when two parties are seeking resolution to use whatever issues that are at hand between the two parties to bring that resolution forward.
> 
> Obama to Rhouhani: _You know very well we can’t pay a ransom for the hostages._  
> Rhouhani to Obama: _Yes, but we believe you still owe us the $2 billion for the 1979 arms deal that never went through._  
> Obama: \* Now you’re talking.\*
> 
> The non-disclosure of the other deal in January, is what makes this scenario seem much more plausible.

I definitely agree that it’s plausible that these are related.

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**Author:** ![iiandyiiii](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/iiandyiiii/32/7924_2.png) [@iiandyiiii](https://boards.straightdope.com/u/iiandyiiii)\
**Post date:** [August 3, 2016, 5:56pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/5 "2016-08-03T17:56:12Z")

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By the way, the payment isn’t a new story at all – it wasn’t hidden and was widely reported [in January](http://thehill.com/policy/national-security/266318-white-house-payment-to-iran-not-ransom). The only new part of the story is that a chunk of the payment was cash.

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**Author:** ![Jophiel](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/jophiel/32/66_2.png) [@Jophiel](https://boards.straightdope.com/u/Jophiel)\
**Post date:** [August 3, 2016, 7:09pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/6 "2016-08-03T19:09:51Z")

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[New York Times, Jan 17 2016](http://www.nytimes.com/2016/01/18/world/middleeast/three-freed-americans-depart-iran-one-remains-us-officials-say.html?_r=0):

> [@](#):
>
> By the end of the weekend, the three Americans — a Washington Post reporter, a former Marine and a pastor — were at an American air base in Germany undergoing medical examinations, almost home after languishing in Iran’s worst prisons.  
> […]  
> Mr. Obama also announced the resolution of another argument between Tehran and Washington that dates to the Iranian revolution, this one over $400 million in payments for military equipment that the United States sold to the shah of Iran and never delivered when he was overthrown. The Iranians got their money back, with $1.3 billion in interest that had accumulated over 37 years.

We must have different definitions of “undisclosed”.

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**Author:** ![Omar\_Little](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/omar_little/32/269_2.png) [@Omar\_Little](https://boards.straightdope.com/u/Omar_Little)\
**Post date:** [August 3, 2016, 10:43pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/7 "2016-08-03T22:43:42Z")

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Thanks for the clarification

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**Author:** ![levdrakon](https://avatars.discourse-cdn.com/v4/letter/l/49beb7/32.png) [@levdrakon](https://boards.straightdope.com/u/levdrakon)\
**Post date:** [August 3, 2016, 11:24pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/8 "2016-08-03T23:24:28Z")

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$400 million becomes $2 billion. What was the interest rate? When was this interest rate agreed upon?

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**Author:** ![mcgato](https://avatars.discourse-cdn.com/v4/letter/m/ac8455/32.png) [@mcgato](https://boards.straightdope.com/u/mcgato)\
**Post date:** [August 4, 2016, 1:16pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/9 "2016-08-04T13:16:21Z")

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[More details over at snopes.](http://www.snopes.com/2016/08/03/obama-bribed-iran-400-million-to-release-u-s-prisoners/) I think part of the reason that it has resurfaced is a right wing effort to discredit Obama and other democrats and rile up their right wing supporters.

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**Author:** ![Count\_Blucher](https://avatars.discourse-cdn.com/v4/letter/c/c5a1d2/32.png) [@Count\_Blucher](https://boards.straightdope.com/u/Count_Blucher)\
**Post date:** [August 4, 2016, 2:19pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/10 "2016-08-04T14:19:05Z")

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> [@mcgato](#):
>
> [More details over at snopes.](http://www.snopes.com/2016/08/03/obama-bribed-iran-400-million-to-release-u-s-prisoners/)

“Helmsman, why isn’t this ship moving…?”  
“Somebody took the wind out of our sails.”  
“Damned Fact-Checkers…”

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**Author:** ![Tom\_Tildrum](https://avatars.discourse-cdn.com/v4/letter/t/e95f7d/32.png) [@Tom\_Tildrum](https://boards.straightdope.com/u/Tom_Tildrum)\
**Post date:** [August 4, 2016, 2:33pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/11 "2016-08-04T14:33:47Z")

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> [@Omar\_Little](#):
>
> So it’s finally being reported that this past January when the US hostages were being released from Iran, that the US also had $400 million equivalent in Euros, Swiss francs, etc. (no US dollars) flown to Tehran, as the initial payment of a $1.7 billion settlement over a failed arms deal from 1979.
> 
> Pundits from the right are claiming it was payment of a ransom for the release of the hostages, which is against US policy and would have required approval from Congress.

I think the narrower allegation is that payments of US dollars to Iran are illegal and thus would have required an act of Congress, so pallets of foreign currency were shipped over specifically to avoid triggering the need for such action.

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**Author:** ![Tim\_T-Bonham.net](https://avatars.discourse-cdn.com/v4/letter/t/46a35a/32.png) [@Tim\_T-Bonham.net](https://boards.straightdope.com/u/Tim_T-Bonham.net)\
**Post date:** [August 4, 2016, 6:38pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/12 "2016-08-04T18:38:46Z")

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> [@iiandyiiii](#):
>
> The only new part of the story is that a chunk of the payment was cash.

In US Dollars, mostly. Which will eventually have to be spent buying something from the US. Thus feeding our economy.

Just like a business that instead of giving you a discounted sale price, offers store credit redeemable on your next purchase – gets you back into the store one more time, to buy more items.

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**Author:** ![Jophiel](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/jophiel/32/66_2.png) [@Jophiel](https://boards.straightdope.com/u/Jophiel)\
**Post date:** [August 4, 2016, 8:07pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/13 "2016-08-04T20:07:10Z")

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> [@t-bonham@scc.net](#):
>
> In US Dollars, mostly.

Actually, the cash portion was in Euros and Swiss Francs because it’s illegal to trade US dollars directly to Iran. Iran negotiated to have this portion of the payment in cash because Iran is largely shut out of the international banking system (might be easier now with sanctions relief from the nuclear arms deal, I don’t know).

That said, it’s really just pearl-clutching over optics. $400mil bank transfer, who cares. $400mil in cash on a pallet and OMG must be ransom money. Thank God it wasn’t delivered in four hundred briefcases.

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**Author:** ![Dr.Strangelove](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dr.strangelove/32/6613_2.png) [@Dr.Strangelove](https://boards.straightdope.com/u/Dr.Strangelove)\
**Post date:** [August 4, 2016, 8:17pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/14 "2016-08-04T20:17:26Z")

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> [@levdrakon](#):
>
> $400 million becomes $2 billion. What was the interest rate?

4%. $400m \* 1.04[sup]37[/sup] = $1.7B

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**Author:** ![sleestak](https://avatars.discourse-cdn.com/v4/letter/s/919ad9/32.png) [@sleestak](https://boards.straightdope.com/u/sleestak)\
**Post date:** [August 4, 2016, 10:59pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/15 "2016-08-04T22:59:10Z")

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> [@Jophiel](#):
>
> Actually, the cash portion was in Euros and Swiss Francs because it’s illegal to trade US dollars directly to Iran. Iran negotiated to have this portion of the payment in cash because Iran is largely shut out of the international banking system (might be easier now with sanctions relief from the nuclear arms deal, I don’t know).
> 
> That said, it’s really just pearl-clutching over optics. $400mil bank transfer, who cares. $400mil in cash on a pallet and OMG must be ransom money. Thank God it wasn’t delivered in four hundred briefcases.

Well, the optics get even worse when the Commander of the Basij militia states to the Iranian state media:

> [@](#):
>
> Taking this much money back was in return for the release of the American spies

[Linky](http://www.wsj.com/articles/u-s-sent-cash-to-iran-as-americans-were-freed-1470181874).

If a foreign government holds your citizens, you give the foreign government money, the foreign government releases your citizens and at least part of the foreign government believe that the money given was to secure the release of your citizens, you’ve got a problem.

I believe that this was what Obama claims, a coincidence. However, one ought to avoid these types of coincidences.

Slee

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**Author:** ![Trinopus](https://avatars.discourse-cdn.com/v4/letter/t/2bfe46/32.png) [@Trinopus](https://boards.straightdope.com/u/Trinopus)\
**Post date:** [August 4, 2016, 11:12pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/16 "2016-08-04T23:12:51Z")

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> [@sleestak](#):
>
> . . . I believe that this was what Obama claims, a coincidence. However, one ought to avoid these types of coincidences. . . .

If the administration had taken steps to ensure the two actions happened on different days, they would be condemned for manipulating events and for a cover-up.

We’re facing conspiracy theorists here: there is no right answer.

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**Author:** ![Jophiel](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/jophiel/32/66_2.png) [@Jophiel](https://boards.straightdope.com/u/Jophiel)\
**Post date:** [August 5, 2016, 1:20am UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/17 "2016-08-05T01:20:19Z")

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> [@sleestak](#):
>
> Well, the optics get even worse when the Commander of the Basij militia states to the Iranian state media

Sure, Iran has their own optics to worry about after handing off four Americans. They need to spin it as a win even if the “win” was getting money owed to them.

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**Author:** ![Magiver](https://avatars.discourse-cdn.com/v4/letter/m/4491bb/32.png) [@Magiver](https://boards.straightdope.com/u/Magiver)\
**Post date:** [August 6, 2016, 4:12pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/18 "2016-08-06T16:12:27Z")

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> [@Jophiel](#):
>
> Sure, Iran has their own optics to worry about after handing off four Americans. They need to spin it as a win even if the “win” was getting money owed to them.

So now we’re calling it optics?

The President of the United states didn’t transfer money through normal banking methods that can be legitimately traced. Instead he sent a plane full of money to a terrorist state which held the hostages at the airport until the plane arrived. they then bragged about it.

It was ransom money. Obama jut gave 400 million dollars to a terrorist group that routinely calls for the destruction of the United States. The FBI is working night and day to stop the support of terrorists and this fool does everything possible to accelerate Iran’s nuclear program.

Nothing good will come of this.

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<div class="post-metadata">

**Author:** ![running\_coach](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/running_coach/32/15836_2.png) [@running\_coach](https://boards.straightdope.com/u/running_coach)\
**Post date:** [August 6, 2016, 4:22pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/19 "2016-08-06T16:22:37Z")

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> [@Jophiel](#):
>
> Sure, Iran has their own optics to worry about after handing off four Americans. They need to spin it as a win even if the “win” was getting **money owed to them.**

> [@Magiver](#):
>
> So now we’re calling it optics?
> 
> The President of the United states didn’t transfer money through normal banking methods that can be legitimately traced. Instead he sent a plane full of money to a terrorist state which held the hostages at the airport until the plane arrived. they then bragged about it.
> 
> It was ransom money. **Obama jut gave 400 million dollars** to a terrorist group that routinely calls for the destruction of the United States. The FBI is working night and day to stop the support of terrorists and this fool does everything possible to accelerate Iran’s nuclear program.
> 
> Nothing good will come of this.

It was Iran’s money to begin with.  
[Buying jet fighters.](http://www.vox.com/2016/8/4/12370848/ransom-iran-400-million)

> [@](#):
>
> The Wall Street Journal story is actually describing a payment that President Obama announced back in January. What’s more, the payment was the result of a 35-year case in international court — and had nothing to do with any “hostage” payments.
> 
> Crucially for the present issue, it also halted a delivery of fighter jets that Iran’s pre-revolution government had already paid $400 million for. Normally the US would return the money if it wasn’t going to deliver the planes — countries don’t just break formal agreements like that. But it had frozen Iranian assets in the US as punishment for the hostage-taking — and that included the $400 million.

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<div class="post-metadata">

**Author:** ![DigitalC](https://avatars.discourse-cdn.com/v4/letter/d/ebca7d/32.png) [@DigitalC](https://boards.straightdope.com/u/DigitalC)\
**Post date:** [August 6, 2016, 4:28pm UTC](https://boards.straightdope.com/t/iran-hostages-for-money-2016/761643/20 "2016-08-06T16:28:09Z")

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> [@Magiver](#):
>
> So now we’re calling it optics?
> 
> The President of the United states didn’t transfer money through normal banking methods that can be legitimately traced. Instead he sent a plane full of money to a terrorist state which held the hostages at the airport until the plane arrived. they then bragged about it.
> 
> It was ransom money. Obama jut gave 400 million dollars to a terrorist group that routinely calls for the destruction of the United States. The FBI is working night and day to stop the support of terrorists and this fool does everything possible to accelerate Iran’s nuclear program.
> 
> Nothing good will come of this.

Your version of reality is very scary.

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