Korean Air Lines Victims Claims Act

Korean Air Lines Victims Claims Act - Directs the President to prohibit all transactions involving assets of the Soviet Union in the United States or any other transactions described in a specified section of the International Emergency Economic Powers Act pending voluntary settlement of the claims of the survivors of U.S. citizens on board the Korean Air Lines plane that was shot down by the Soviets. Directs the President to direct the Secretary of State to initiate negotiations as soon as practicable to conclude an agreement with the Soviet Union which would provide for the payment of awards certified by the Foreign Claims Settlement Commission of the United States. Authorizes the Secretary of the Treasury to seize and liquidate Soviet assets in the United States and pay such funds into a claims fund if no agreement with the Soviet Union is reached by the time all the claims have been certified.

Amends the International Claims Settlement Act of 1949 to direct the Foreign Claims Settlement Commission of the United States to determine the validity and amounts of the claims of the survivors of the U.S. citizens on board the downed Korean Air Lines plane. Requires the claims to be submitted to the Commission within one year of the publication of notice of the right to file. Requires the Commission to certify the amount determined to be the loss suffered by each claimant. Provides for consolidated awards.

Directs the Secretary of the Treasury to establish in the Treasury a Claims Fund for payment of unsatisfied claims of U.S. citizens against the Soviet Union. Requires the Claims Fund to consist of: (1) sums paid to the United States pursuant to a claims settlement agreement between the Soviet Union and the United States; or (2) in the absence of such agreement, the sums acquired by the seizure and liquidation of Soviet assets in the United States. Sets forth the claim payment procedures. Requires the Commission to complete its affairs in connection with the settlement of claims within six months of the final date for the filing of such claims. Provides that necessary records and documents shall be made available to the Commission. Authorizes appropriations. Limits the fees that may be charged for services rendered on behalf of a claimant.