Justice Department to Distribute $2 Billion to Terrorism Victims by 2026

The United States Department of Justice has announced plans to distribute at least $2 billion to victims of state sponsored terrorism in the sixth round of payments from the United States Victims of State Sponsored Terrorism Fund. This distribution, set to take place by 1 January 2026, represents the largest general disbursement in the Fund’s history.

Special Master Mary Patrice Brown confirmed that all eligible claims will be paid in this round, marking a significant milestone in the Fund’s mission to compensate victims and their families. The upcoming payout will be financed through qualifying federal enforcement actions and the closure of the Beirut barracks and Khobar Towers reserve fund.

Since its inception, the Fund has delivered over $7 billion in compensation to thousands of victims and their families across five previous rounds and two lump-sum catch-up payment rounds. The forthcoming distribution builds on this legacy and demonstrates the US government’s continued commitment to supporting victims of international terrorism.

Matthew R Galeotti, Head of the Justice Department’s Criminal Division, emphasised the importance of the initiative, stating:

"It is a privilege for the Criminal Division to administer the United States Victims of State Sponsored Terrorism Fund. Today’s announcement of a distribution of at least $2 billion to victims in 2026 is the largest general distribution in the Fund’s history and will make a significant difference in victims’ lives. Victims are at the heart of everything we do at the Criminal Division, and we are proud to support them through our administration of the Fund."

Administered by the Criminal Division’s Money Laundering and Asset Recovery Section (MLARS), the Fund was created by Congress to provide financial compensation to those harmed by acts of terrorism supported by hostile nation states. While Congress provided an initial appropriation of $1 billion, the majority of funds distributed to date have been generated through Department of Justice prosecutions and other federal enforcement actions.

Applications for new claims are still being accepted. Prospective claimants must submit their applications by 1 June 2025 in order to be considered for the sixth distribution. Individuals who were previously approved do not need to reapply.

This historic $2 billion disbursement underscores the Department of Justice’s ongoing dedication to recognising the enduring impact of terrorism on victims and delivering long-awaited compensation.

Read the press release here.