H.R. 1530 — American Victims of Terrorism Compensation Act

This section amends Section 404 of the Justice for United States Victims of State Sponsored Terrorism Act by (1) requiring the Special Master to distribute all fifth-round payments authorized on or before January 1, 2025, to eligible claimants not later than March 14, 2025 (or as soon as practicable after receipt of required payment information); and (2) requiring deposits into the United States Victims of State Sponsored Terrorism Fund (Fund) of (a) $898,619,225 already deposited from the Binance Holdings Limited plea agreement (U.S. v. Binance Holdings Limited, No. 2:23-cr-00178 (W.D. Wash.)), plus $1,912,031,763 in additional funds and net proceeds from that case or related proceedings, plus interest on both (with $1,505,475,575 of such funds instead deposited into the Crime Victims Fund and remaining amounts transferred to the Fund within 30 days of agency receipt or 15 days of enactment, whichever is later); (b) 50% annually of the excess unobligated balance (per 28 U.S.C. 524(c)(8)) of the Department of Justice Assets Forfeiture Fund, determined as of the later of January 31 or final FY appropriations enactment, plus 50% of interest earned thereon (transferred within 30 days, excluding certain rescissions per 1 U.S.C. 105 and not counting against appropriations limits); and (c) 50% annually of the excess unobligated balance of the Department of the Treasury Forfeiture Fund (per 31 U.S.C. 9705), plus 50% of interest earned thereon (transferred within 30 days under similar terms). (The Fund compensates U.S. victims of state-sponsored terrorism.)

This section amends deposit requirements into the United States Victims of State Sponsored Terrorism Fund—which compensates eligible U.S. persons who are victims of state-sponsored terrorism—under Section 404(e)(2)(A) of the Justice for United States Victims of State Sponsored Terrorism Act by (1) striking “forfeited or” from clauses (i) and (ii), limiting those clauses to penalties and fines from International Emergency Economic Powers Act (IEEPA, 50 U.S.C. 1701 et seq.) and Trading with the Enemy Act (TWEA, 50 U.S.C. App. 1 et seq.) violations; (2) adding clause (iii) to require deposit of all funds and net proceeds from property forfeited to the United States after enactment of the American Victims of Terrorism Compensation Act in proceedings arising from IEEPA or TWEA violations or involving, relating to, or arising from actions of a state sponsor of terrorism (regardless of offense nature, if the sponsor was designated at the time of the penalty or fine, during related proceedings, or for related conduct), without limiting court-ordered restitution to direct crime victims or affecting the scope of penalties and fines under clauses (i) or (ii) as addressed in pending litigation; and (3) adding clause (iv) to require U.S. agencies to deposit or transfer such amounts not later than the later of 60 days after receipt or 30 days after enactment of this provision.

This section revises the distribution process for the United States Victims of State Sponsored Terrorism Fund—which compensates eligible U.S. persons who are victims of state-sponsored terrorism—by requiring the Special Master or Attorney General to authorize pro rata payments to claimants with eligible claims under subsection (c)(2) on January 1, 2026, and January 1 of each year thereafter. Payments are to be made as soon as practicable in the calendar year of authorization (or within one year if authorized earlier) from all qualifying amounts received by U.S. agencies for deposit or transfer into the Fund, plus related interest earned, excluding funds needed for administrative costs or Special Master compensation as specified in subsection (b)(1)(B) and (C).

This section establishes new annual, one-time, and triennial reporting requirements on the United States Victims of State Sponsored Terrorism Fund. (1) Annual Special Master report.—Requires the Special Master to submit to the chairmen and ranking minority members of the Senate and House Judiciary Committees by January 31 each year a report on the Fund's balance and prior fiscal year activity, including year-end balance, deposits by source (e.g., case name and amount, subject to sealing orders), disbursements (e.g., for victim compensation, administrative costs, DOJ personnel), transfers from the DOJ Assets Forfeiture Fund and Department of the Treasury Forfeiture Fund with calculation basis, and explanations for non-deposits due to statutory rules, inter-agency credits, or other reasons; requires the Attorney General to publish the report on the Fund's website by March 1. (2) One-time GAO report.—Directs the Comptroller General to submit to Congress by April 1, 2025, a report listing all funds and net proceeds from property sales forfeited or paid to the U.S. since January 1, 2020, exceeding $10 million as criminal or civil penalties or fines (identifying sources such as case name and amount, subject to sealing orders), their deposit locations (e.g., Fund or Crime Victims Fund) with statutory basis, and interest earned. (3) Triennial GAO reports.—Directs the Comptroller General to submit to Congress by January 1, 2027, and every three years thereafter, reports evaluating Fund administration and funding sufficiency, analyzing funding and payment trends, and describing outstanding unpaid eligible claims overall (disaggregated by victim group and victim entry date into the Fund).

This section increases, from 5 to 10, the maximum number of full-time equivalent Department of Justice personnel that the Special Master may utilize to administer the United States Victims of State Sponsored Terrorism Fund, which compensates U.S. persons who are victims of state-sponsored terrorism. (Thus, this establishes a permanent limit of 10 full-time equivalent personnel paid from the fund and eliminates prior temporary authorizations for an additional 5 personnel during specified one-year periods.)

This section revises the treatment of remaining amounts in the lump sum catch-up payment reserve fund under the Justice for United States Victims of State Sponsored Terrorism Act by requiring their deposit—along with all interest earned—into the United States Victims of State Sponsored Terrorism Fund (the Fund) within 30 days of enactment of the American Victims of Terrorism Compensation Act. (The Fund, administered by a Special Master, compensates U.S. persons who are victims of state-sponsored terrorism.) Those amounts, in excess of specified prior uses, must be included in a supplemental fifth-round distribution authorized by the Special Master no later than April 1, 2025, and distributed no later than June 30, 2025, to all claimants for whom the Special Master authorized fifth-round distributions.