S. 198: PLO and PA Terror Payments Accountability Act of 2025

This bill requires the President to impose sanctions on foreign persons (individuals and entities) that are involved with the Palestinian Liberation Organization (PLO) or Palestinian Authority (PA) system of compensation supporting acts of terrorism. The bill defines this system of compensation as payments to an individual who (1) has been imprisoned for terrorist acts against Israeli or U.S. citizens after being fairly tried, (2) died while committing such terrorist acts, or (3) is a family member of such individuals. The definition also includes compensation for individuals imprisoned for terrorism where the level of compensation is based on the length of incarceration.

Specifically, the President must impose visa- and property-blocking sanctions on any foreign person that has facilitated this compensation system, including PLO and PA officials as well as entities such as the Institute for the Care of the Families of the Martyrs and the Wounded. The President must also impose visa- and property-blocking sanctions on foreign persons who knowingly provide significant support to, or engage in significant transactions with, any of the aforementioned persons.

The President must sanction foreign financial institutions that facilitate payments or benefits related to this compensation system by (1) prohibiting them from opening correspondent or payable-through accounts in the United States, and (2) prohibiting or imposing strict conditions on the maintenance of such accounts.

Written by the Congressional Research Service, Library of Congress.