There is no spin. Just facts. Yes, 400 million. It was Iran's money. I believe it was deposited in 1978. Carter froze Iran's assets in the US. From my understanding the 400 million was deposited with the New York Federal Reserve. As part of the hostage negotiations the Algier's Accords were signed, that included the unfreezing of those assets, elimination of all lawsuits against Iran in US courts, and a promise that the Shah, nor any members of his family, would receive anything.
There were years of litigation. Here is good, accurate, explanation.
The latest victim in the presidential race’s assault on truth — to say nothing of nuance — came last week in the flurry of accusations surroundi
law.stanford.edu
The $400 million itself was the balance in a “trust fund” account into which Iran, under the shah, had made advance payments on military contracts with the United States. In a claim before the tribunal, Iran had demanded return of these funds plus 35 years of accumulated interest. U.S. diplomats negotiated the interest amount down to $1.3 billion (much less than they feared the tribunal would award if the case proceeded to a final judgment) to generate a $1.7 billion total.