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June 30, 1998 in
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Iran Found Guilty of Supporting Terrorism (March 11, 1998)

Court Finds Iran Guilty of Supporting Terrorism: Awards $247.5 Million in Largest Ever Judgment to Send Message to State Sponsors of Terror Groups

FOR IMMEDIATE RELEASE Contact: James Colbert (202) 833-0020

WASHINGTON, D.C. - March 11, 1998 - In a landmark ruling, Judge Royce Lamberth of the U.S. District Court in Washington, D.C. has found the government of the Islamic Republic of Iran guilty of supporting the terrorist group that murdered American student Alisa Flatow. That group, the Shikaki Faction of the Palestinian Islamic Jihad, was shown to have received an average of $2 million annually from Iran at the time of the murder. Judge Lamberth awarded the family of Miss Flatow $225 million in punitive damages and $22.5 million in compensatory damages, the largest personal injury suit ever awarded in the United States.

“JINSA has long been active in the fight for tougher and more comprehensive laws against terrorism and the states that sponsor terrorist groups, said Thomas Neumann, executive director of the Jewish Institute for National Security Affairs (JINSA). “We are extremely pleased by the court’s decision. This judgment strengthens the hand of justice in the fight against terrorism,” Neumann added. “It is something for which JINSA has long worked.”

The suit was brought before Judge Lamberth by Washington lawyer Steven Perles, representing the family of Miss Flatow. On April 9, 1996, Alisa Flatow, a 20-year-old honor student at Brandeis University in Waltham, MA, was traveling by public bus from Israel to the beach town of Kfar Darom in the Gaza Strip. In a premeditated act, a member of the Shikaki Faction detonated an explosives-packed van next to the bus killing and grievously wounding the bus’s occupants. Miss Flatow was among those killed in the explosion which also included the van’s driver.

In the trial, clear and convincing evidence was presented to establish Iran as the principal financial backer of the Shikaki Faction. Furthermore, it was demonstrated that Iran maintains a line item for external terrorism in the budget of the Ministry of Information and Security. The documents that prove that the ministry maintains such a budget are sealed by court order but they indicate that the amount set aside for terror operations by the Iranian government fluctuates between $75 and $100 million annually.

The Iranian government was found guilty of sponsoring a terrorist organization under the Foreign Sovereign Immunities Act. That act was amended in April 1996 to provide for civil jurisdiction for citizens to initiate a lawsuit against responsible foreign nations. The so-called Flatow Amendment, attached to the Act in September 1996, provided for punitive damages and made the Act a viable tool in the war against terrorism by deterring foreign nations from continuing their support.

The strengthening of the Foreign Sovereign Immunities Act became a reality due to the tireless efforts of chief sponsor Representative Jim Saxton (R-NJ), the chairman of the House Task Force on Terrorism and Unconventional Warfare. Rep. Henry Hyde (R-IL), Chairman of the House Judiciary Committee, joined Rep. Saxton in the fight for congressional passage of the amendments. In the Senate, success was due to Senators Frank Lautenberg (D-NJ) and Alfonse D’Amato (R-NY).

“We have long worked closely with Congressman Saxton and his terrific staff on the terrorism issue,” Neumann said. “His courageous and farsighted efforts were crucial in convincing his congressional colleagues to make these jurisdiction and sentencing changes to the law.”

JINSA is a nonprofit, nonpartisan, nonsectarian organization devoted to educating the American public about the vital importance of a capable U.S. defense policy. It is also committed to explaining the link between U.S. national security and Israel’s security, and to strengthening both.

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