Even though Congress cut funding for military aid to the contra rebels, the Reagan administration continued to fund them through other means. One of the ways they did this was by selling weapons to Iran. This was done through an intermediary (aka a middle man) because this was illegal, as Congress passed an embargo and declared Iran a sponsor of terrorism as of 1979. When it was discovered that the Reagan administration was continuing to support the contra rebels by breaking the law, it negatively impacted America's perception of his administration.