Hostage release: What US, Iran agreed to do
Washington — The following are th mian elements of the hostage release agreement reached between the United States and Iran through Algerian intermediaries: * The US pledges that it will not intervene, directly or indirectly, politically or militarily, in Iran's internal affairs.
* Private American claims against Iran will be settled through arbitration by an international tribunal composed of equal numbers of Amercian, Iranian, and independent members. The US will end all legal actions being undertaken in US courts against Iran.
* The US will freeze all assets in the US belonging to the former Shah of Iran and his close relatives until litigation brought by Iran to recover those assets is ended.
* The US will transfer to accounts controlled by Algeria all Iranian assets held in banks in the US (an estimated $1 billion to $2 billion), Iranian gold bullion and securities held by the Federal Reserve Bank of New york (about $2.5 billion), and Iranian deposits and securities held by overseas branches of US banks (about $4.8 billion).
* Iran will repay immediately loans (believed to total about $3.6 billion) made by US and European banks to the government of the late Shah.
* The funds transferred to Algerian control will be divided, with one-half to go to Iran as the hostages are released. The other half is to be held by the Algerians to be used to pay the claims against Iran which are to be adjudicated by an international tribunal.
* The US will also transfer to Iran Iranian assets held by the US government itself. But it is still not clear whether Iran will get the $500 million worth of US military supplies that it has already paid for or whether it will simply get the funds that it paid out for those supplies.