Iran Opposition Group Loses Court Battle

WASHINGTON—Supporters of an Iranian opposition group lost a Supreme Court appeal yesterday that was intended to let them challenge America's designation of the group as a foreign terrorist organization.

Justices declined to review the case of seven people who were indicted in 2001 on charges that they raised money for the People's Mujahedeen, also known as the MEK. The State Department first said in 1997 that the group engaged in terrorist activities.

In 2002, 150 members of Congress called on the State Department to withdraw the designation.

The seven people have sought to dismiss the charges against them by demonstrating that the Iranian group has no terrorism ties. The 9th Circuit U.S. Court of Appeals said the indictment could proceed.

They were accused of soliciting money from travelers at Los Angeles International Airport. The indictment, in March 2001, followed a three-year FBI investigation.