The Amman-based Arab Bank on Tuesday agreed to settle a class action lawsuit brought by the families of terror victims killed in attacks the plaintiffs say the Arab Bank helped fund.
The settlement stems from a 2014 decision by a New York jury finding the bank liable for damages. According to the lawsuit, the bank knowingly maintained accounts for Hamas terrorists and transferred payments to relatives of suicide bombers from 2000 to 2005.
Bank officials said in January that $1 billion had been set aside for “expected obligations” related to the lawsuits, according to a report by Reuters.
The agreement covers 527 plaintiffs, who sued the Arab Bank under the Anti-Terrorism Act.
While the settlement ensures that the victims’ relatives will receive compensation, the precise figure has yet to be decided, and will depend heavily on the outcome of an upcoming appeal of the 2014 verdict.
“The recovery will be substantially affected by the outcome of the appeal,” said Gary Osen, who represented the plaintiffs in the case.
Following the signing of the confidential agreement, the two parties issued a joint statement saying a "prompt appeal will avoid any unnecessary delay in the plaintiffs' recovery and result in a definitive resolution of liability issues for all 527 plaintiffs."