Victims of Terrorism Compensation Act

(Reported to House from the Committee on Foreign Affairs with amendment, H. Rept. 99-201 (Part II))

Victims of Terrorism Compensation Act - Provides for payments to Federal employees, citizens, nationals, or resident aliens who are in captive status while in active Federal service as a result of hostile action taken against the United States.

Directs the Secretary of the Treasury to establish a savings fund to which the pay and allowance of an individual in a captive status may be allotted.

Directs that the following payments be made to individuals held in captive status (or, where appropriate, to their beneficiaries): (1) medical and health care expenses incident to the employee's captive status; (2) direct cash payments for captive status as of November 4, 1979; (3) certain benefits provided by the Soldiers' and Sailors' Relief Act of 1940; and (4) payments to the spouse or child of a captive for expenses incurred while attending an educational or training institution.

Authorizes the President to defer payments to individuals charged with certain criminal offenses and to deny payment to individuals convicted of such offenses.

Declares that any cash payment that is later denied because of a criminal conviction is a claim of the United States Government under Federal collection laws.

Authorizes the head of an agency, in order to respond to special circumstances, to pay a captive for educational and training expenses.

Directs the President to prescribe regulations under which disability or death compensation may be paid by an agency head to an employee or family member of such employee if the death or disability was caused by hostile action and was a result of the individual's relationship with the Government.

Prohibits leave from being charged to the account of an alien employee while serving abroad for absence due to injuries incurred as a result of hostile action directed against the United States.

Provides for payments to members of the uniformed services who are held as captives similar to those for civilians.