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USIS Washington File

28 October 1999

Congress Clashes with Administration over Terrorism Victims

(Mulls legislation to allow payments to victims)  (1010)
By Phillip Kurata
Washington File Staff Writer
Washington -- Members of the U.S. Senate are sponsoring legislation to
force the administration to stop obstructing efforts by victims of
state terrorism to receive court-ordered compensation.
Nineteen senators from both parties have signed on as co-sponsors of
the Justice for Victims of Terrorism bill. The purpose of the
legislation is to enable the families of people killed in terrorist
attacks, one backed by Iran and the other backed by Cuba, to obtain
court-ordered compensation. The payments would be drawn from Cuban and
Iranian assets, which the U.S. government has blocked in retaliation
for acts of state terrorism.
Stephen Flatow has won a $247.4 million award by a U.S. district court
for the murder of his daughter, Alisa, by Islamic Jihad in a bomb
attack on a bus in the Gaza Strip in 1995.
Islamic Jihad, a terrorist organization sponsored by Iran, was found
to have been the guilty party.
The families of three Cuban Americans killed by Cuban Mig fighters
while flying in international air space in 1996 have won a $187.6
million judgment in a U.S. court against the Cuban government. The
fourth victim was not a U.S. citizen, disqualifying his relatives from
compensation.
Armando Alejandre, Carlos Costa, Mario de la Pena and Pablo Morales
were members of Brothers to the Rescue, a Florida-based group involved
in rescuing Cubans paddling in rafts and inner tubes across the
Florida Straits to escape their home island.
After the shootdown, Cuban Military Air Control congratulated the Mig
pilots for a successful operation. President Clinton expressed outrage
and pledged to seek legislation to enable the families to receive
compensation from blocked Cuban assets.
"I am asking that Congress pass legislation that would provide
immediate compensation to the families, something to which they are
entitled under international law, out of Cuba's blocked assets here in
the United States," Clinton said February 26, 1996.
Stephen Flatow and Maggie Khuly Alejandre, Armando Alejandre's sister,
say the Clinton administration urged them to bring suit against the
Iranian and Cuban governments.
Congress passed and the president signed legislation to enable the
plaintiffs to receive compensation. But to the astonishment and
outrage of Flatow and Khuly, the Clinton administration has taken
legal action to prevent them from obtaining the compensation.
"The memory of Americans killed by terrorists requires us to continue
to protest against administration attempts to stifle our efforts to
collect that which has been awarded to us," Flatow said before the
Senate Judiciary Committee October 27.
Flatow requested the administration to stop "sending lawyers to court
at taxpayer expense to defend the interests of state sponsors of
terrorism."
"No words can possibly explain our shock when we went to court and
found U.S. attorneys sitting down at the same table as Cuba's
attorneys," Khuly at the same hearing.
"How can you explain to a mother who has lost her son, to a wife who
has lost her husband, to a daughter who has lost her father, that
their own government is taking the murderers' side?" Khuly added.
Senator Connie Mack, one of the original sponsors of the bill, said,
"The pain of their losses has been compounded by the betrayal of their
own government."
Deputy Treasury Secretary Stuart Eizenstat says the Justice for
Victims of Terrorism bill is fundamentally flawed because it impedes
on the ability of the administration to conduct foreign policy.
He said if the bill becomes law, it would damage U.S. interests in
five ways by:
-- undermining "the president's ability to combat international
terrorism and other threats to national security by permitting the
attachment of blocked property, thereby depriving the United States of
a source of leverage, such as was used to gain the release of our
citizens held hostage in Iran."
-- causing the United States "to violate our obligations to protect
diplomatic property of other nations, and would put our own diplomatic
property around the world at risk."
-- benefiting "one small group of Americans over a far larger group of
Americans ... many of whom have waited decades to be compensated by
Cuba and Iran for both loss of property and the loss of the lives of
their loved ones, and would leave no assets for their claims and
others that may follow."
-- directing "courts to ignore the separate legal status of states and
their agencies and instrumentalities, overturning Supreme Court
precedent and basic principles of corporate and international law by
making state-owned corporations liable for the debts of the state."
Eizenstat said more than 5,900 U.S. citizens have claims against the
Cuban government totaling about $6,000 million with interest, dating
back to the early 1960's. These cases include wrongful death claims
and the Castro government's seizure of homes and businesses from U.S.
nationals.
"These claimants have waited over 35 years without yet receiving
compensation for their losses. This bill will not help them at all,"
Eizenstat said.
Eizenstat said the same situation applies to Iran, which has judgments
totaling $65 million arising from three men -- David Jacobsen, Joseph
Cicippio, and Frank Reed -- being held hostage in Lebanon. Similar
suits against Iran, including one brought by former Associated Press
correspondent Terry Anderson who was held hostage in Lebanon, are
pending in U.S. courts, Eizenstat said.
"Satisfaction of the judgments in the Brothers to Rescue and Flatow
cases would come at the expense of all other claimants against Cuba
and Iran, both past and future. This would be fundamentally unfair,"
Eizenstat said.
Eizenstat recommended that Congress and the administration form a
joint commission to study all aspects of the problem and devise ways
to help the families receive compensation in a way that is consistent
with overall U.S. interests and international obligations.
Eizenstat said the proposed commission would be charged to make
recommendations within 12 months after its formation.
(The Washington File is a product of the Office of International
Information Programs, U.S. Department of State.)



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