The Iraq Property Claims Commission (IPCC) was established in 2004 by CPA Regulation 12 as an independent governmental commission designed to resolve claims for real property that was confiscated, forcibly acquired, or otherwise taken for less than fair value by the former regime between July 17, 1968, and April 9, 2003, for reasons other than land reform or lawfully applied eminent domain, and between March 18, 2003, and June 30, 2005 by persons whose property was taken for ethnic or religious reasons or by individuals whose property had previously been confiscated by the former regime. The statute establishing the IPCC was amended in July to extend the time limit for the filing of claims until June 30, 2007, which was expected to benefit primarily out-of-country claimants who had not yet heard about the claims process.

There were approximately 1,200 IPCC employees in offices located in all 18 governorates and led by Ahmed al-Barrak, a former member of the Iraqi Governing Council, who replaced Suhail al-Hashimi in July as the head of the national secretariat.

At year-end, the IPCC had received nearly 130 thousand claims nationwide. Of those claims, its regional commissions have adjudicated only approximately 14 percent nationwide, with geographic variations.

There was no information that claimants had yet received compensation through the IPCC. The government budget for 2006 included $200 million (300 trillion dinars) to fund compensation awards in IPCC cases. However, by the end of the year the government had not established a mechanism to transfer funds to successful claimants. After adjudication, the IPCC's only role in enforcement is to send an official letter to the real estate registry office ordering transfer of title in appropriate cases.