Iran only getting its own cash back—U.S.

Press, 20 January 1981, Page 8

Iran only getting its own cash back —U.S.

NZPA Washington Officials of President Carter’s Administration said yesterday that the proposed agreement for return of the 52 American hostages came down to a straightforward deal — the freeing of the imprisoned diplomats for return of Iranian assets. “The basic exchange is ■we’re getting back what they took from us and giving back to them what we took from them, as a result,” said the State Department’s spokesman, John Trattner.Dollars for people, or as Vice-President Walter Mondale put it: “We are returning to the status quo.” Mr Mondale said the preteise amount of/frozen Iranian assets was one. of the

remaining "quibbles” that delayed a final agreement, but he emphasised: “We are not paying a dime of American money for the return of these hostages.” • After the November 4, 1979, seizing of American hostages by Iranian militants in Teheran, Mr Carter froze Iran’s assets held in United States banks. He did so for two reasons: retaliation for the hostages incident, and protection of United' States commercial interests after Iran said it might not pay its debts. In an interview on ABCTV’s “Issues and Answers,’’ Mr Mondale said the frozen Iranian assets totalled about $8 billion although previous estimates had put the figure at $9.5 billion. 1 "What we did when we

froze these assets was to say we’re going to hold Iranian assets — their gold, their dollars in American banks a,.d American-owned banks overseas — until our hostages are returned,” Mr Mondale said. “In other words, the Iranians are not receiving anything that is ours. We are returning to the status quo.” Besides the amount of the assets, Mr Mondale said the other remaining “quibble” was over ‘.‘court jurisdiction” on outstanding claims against Iranian wealth held by American banks.

Representatives of 12 big American banks are reported to have agreed to drop lawsuits seeking repayment of money they contend Iran owes them.