The Iran–Contra affair (, ), popularized in Iran as the McFarlane affair, the Iran–Contra scandal, or simply Iran–Contra, was a political scandal in the United States that occurred during the second term of the Reagan Administration. Senior administration officials secretly facilitated the sale of arms to the Khomeini government of the Islamic Republic of Iran, which was the subject of an arms embargo. The administration hoped to use the proceeds of the arms sale to fund the Contras in Nicaragua. Under the Boland Amendment, further funding of the Contras by the government had been prohibited by Congress.