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Charles Krauthammer reacted to news that the Obama Administration paid $1.3 billion in interest to Iran in January to resolve a decades-old dispute over an undelivered military sale, two days after sending $400 million in cash to Tehran.

"The question is, can they not stop lying about this?" he asked, pointing out that President Obama had said the $400 million had to be in cash because of sanctions, while the subsequent payment was sent by check or wire.

"The sanctions were still in place two days later. This is is one lie after another. And it's an administration attempting to cover its tracks, not because anything illegal happened here, although that's possible, but because it's hugely embarrassing."

He said that Iran knows it can antagonize this administration with impunity, and pointed to news of Iranian vessels harassing a U.S. Navy destroyer in the Strait of Hormuz.

"Our ships could blow them out of the water, but of course we're not going to do that," he said.

"But there's a psychological warfare happening here and Iran wants to show the region that it's in charge with its Russian allies, with Hezbollah with Syria on the ground, with its 100,000 militia in Iraq, and it doesn't have to pay any attention to the United States. And we have a president who goes along with it in every detail."

Watch the commentary above.


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