Trump Orders Iranian Central Bank Reserves Released to Pay U.S. Ship Repairs
The president said the U.S. holds billions in frozen Iranian assets and will redirect them to cover damage to American vessels hit in the Strait of Hormuz, bypassing Congress.
- The posts cite “billions of dollars” held under sanctions, part of roughly $6 billion frozen since the Biden administration.
- At least two U.S.-flagged merchant ships have been struck as the Iran conflict enters its second week.
- Trump invoked emergency economic powers under IEEPA, avoiding the usual appropriations process and any legislative vote.
Why it matters: Taking a rival’s frozen sovereign reserves to fund a war without congressional approval turns international sanctions into a presidential slush fund, and the precedent will outlast this confrontation by decades.