Today 20 years ago Iran mourns the 290 passengers and crew board including 66 children of flight 655 that were brutally murdered by "reckless and aggressive US military commanders" of US. Navy's guided missile cruiser (USS Vincennes) between Bandar Abbas and Dubai. Ranking it seventh among the deadliest airliner fatalities. Vincennes was traversing the Straits of Hormuz, inside Iranian territorial waters, at the time of the attack and IR655 was within Iranian airspace.

According to the US government, the crew mistakenly identified the Iranian Airbus A300 as an attacking F-14 Tomcat fighter. However, the Iranian government maintained that the Vincennes knowingly shot down a civilian aircraft. The event generated a great deal of controversy and criticism of the US. Some analysts have blamed US military commanders and the captain of the Vincennes for reckless and aggressive behavior in a tense and dangerous environment.

In 1996, the United States and Iran reached "an agreement in full and final settlement of all disputes, differences, claims, counterclaims" relating to the incident at the International Court of Justice.  As part of the settlement, the United States agreed to pay $61.8 million in compensation for the Iranians killed. The United States did not admit responsibility or apologize to the Iranian government.

As of January 2008, Iran Air still uses the flight number IR655 on the Tehran-Dubai route.

Check this link for further reading http://en.wikipedia.org/wiki/Iran_Air_Flight_655