Donald Trump is right: The U.S. did pay Iran $1.7 billion in cash

Fact checks
Oct. 19, 2016, 7:50 p.m.

Donald Trump is right: The U.S. did pay Iran $1.7 billion in cash

Brian Bennett

Yes. Donald Trump is right on this one.

The Obama administration allowed $1.7 billion in cash to go to Iran earlier this year. The money, however, was a settlement of a decades-old legal claim between the two countries. An initial payment of $400 million was handed over on Jan. 17, the same day Iran’s government agreed to release four American prisoners.

Obama administration officials had initially denied the two transactions were linked. But later, officials acknowledged the U.S. had withheld the cash to pressure Iran to move forward with the releases and guarantee the Americans were allowed to leave Iran.

The remaining $1.3 million, apparently interest on Iranian cash held in the U.S. since the 1970s,was handed over in two later payments in January and February.