On this day in 1979, student followers of the Ayatollah Khomeini sent shock waves across America when they stormed the U.S. embassy in Tehran. The radical Islamic fundamentalists took 90 hostages. The students were enraged that the deposed Shah had been allowed to enter the U.S. to seek medical attention. Just a few days later, the provincial leader of Iran resigned and the Ayatollah Khomeini took full control of the country. Two weeks later, all non-U.S personnel as well as female and minority Americans began to be released. The remaining 52 hostages were held for 14 months until the election of President Reagan.
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If I am not mistaken the hostages were not released untill the day President Reagen took office, as they knew President Carter would not do anything to them. But were afraid Pres. Reagen would launch a massive attack as soon as he was sworn in. Pretty much they were thumbing their nose at Pres. Carter.
I know that was the narrative, but it probably has more to do with the fact that on the day of the inauguration, the U.S. freed up nearly $3 billion in Iranian assets that had been frozen and promised another $5 billion more in aid.