diff --git a/subsys/bluetooth/controller/hci/hci.c b/subsys/bluetooth/controller/hci/hci.c
index 8ab84015fa5..14b58ddd928 100644
--- a/subsys/bluetooth/controller/hci/hci.c
+++ b/subsys/bluetooth/controller/hci/hci.c
@@ -41,6 +41,7 @@
 #include "ll_sw/lll_sync.h"
 #include "ll_sw/lll_conn.h"
 #include "ll_sw/lll_conn_iso.h"
+#include "lll/lll_df_types.h"
 
 #include "ll_sw/ull_adv_types.h"
 #include "ll_sw/ull_scan_types.h"
@@ -5735,6 +5736,11 @@ static void encode_control(struct node_rx_pdu *node_rx,
 	case NODE_RX_TYPE_SYNC_LOST:
 		le_per_adv_sync_lost(pdu_data, node_rx, buf);
 		break;
+#if defined(CONFIG_BT_CTLR_DF_SCAN_CTE_RX)
+	case NODE_RX_TYPE_IQ_SAMPLE_REPORT:
+		/* ToDo change to actual handling of the report */
+		break;
+#endif /* CONFIG_BT_CTLR_DF_SCAN_CTE_RX */
 #endif /* CONFIG_BT_CTLR_SYNC_PERIODIC */
 #endif /* CONFIG_BT_CTLR_ADV_EXT */
 #endif /* CONFIG_BT_OBSERVER */
@@ -6185,7 +6191,6 @@ uint8_t hci_get_class(struct node_rx_pdu *node_rx)
 #if defined(CONFIG_BT_CTLR_PROFILE_ISR)
 		case NODE_RX_TYPE_PROFILE:
 #endif /* CONFIG_BT_CTLR_PROFILE_ISR */
-
 			return HCI_CLASS_EVT_DISCARDABLE;
 #endif
 
@@ -6208,6 +6213,9 @@ uint8_t hci_get_class(struct node_rx_pdu *node_rx)
 		case NODE_RX_TYPE_SYNC:
 		case NODE_RX_TYPE_SYNC_REPORT:
 		case NODE_RX_TYPE_SYNC_LOST:
+#if defined(CONFIG_BT_CTLR_DF_SCAN_CTE_RX)
+		case NODE_RX_TYPE_IQ_SAMPLE_REPORT:
+#endif /* CONFIG_BT_CTLR_DF_SCAN_CTE_RX */
 #endif /* CONFIG_BT_CTLR_SYNC_PERIODIC */
 #endif /* CONFIG_BT_OBSERVER */
 
diff --git a/subsys/bluetooth/controller/ll_sw/ull.c b/subsys/bluetooth/controller/ll_sw/ull.c
index 400ae0e35f2..c9e6a7176a6 100644
--- a/subsys/bluetooth/controller/ll_sw/ull.c
+++ b/subsys/bluetooth/controller/ll_sw/ull.c
@@ -831,7 +831,12 @@ void ll_rx_dequeue(void)
 			    (void **)&rx);
 	LL_ASSERT(link);
 
-	mem_release(link, &mem_link_rx.free);
+#if defined(CONFIG_BT_CTLR_DF_SCAN_CTE_RX)
+	if (rx->type != NODE_RX_TYPE_IQ_SAMPLE_REPORT)
+#endif /* CONFIG_BT_CTLR_DF_SCAN_CTE_RX */
+	{
+		mem_release(link, &mem_link_rx.free);
+	}
 
 	/* handle object specific clean up */
 	switch (rx->type) {
@@ -920,6 +925,13 @@ void ll_rx_dequeue(void)
 	}
 	break;
 #endif /* CONFIG_BT_BROADCASTER */
+#if defined(CONFIG_BT_CTLR_DF_SCAN_CTE_RX)
+	case NODE_RX_TYPE_IQ_SAMPLE_REPORT:
+	{
+		ull_df_iq_report_link_release(link);
+	}
+	break;
+#endif /* CONFIG_BT_CTLR_DF_SCAN_CTE_RX */
 #endif /* CONFIG_BT_CTLR_ADV_EXT */
 
 #if defined(CONFIG_BT_CONN)
@@ -1304,6 +1316,15 @@ void ll_rx_mem_release(void **node_rx)
 			ull_sync_release(sync);
 		}
 		break;
+#if defined(CONFIG_BT_CTLR_DF_SCAN_CTE_RX)
+		case NODE_RX_TYPE_IQ_SAMPLE_REPORT:
+		{
+			ull_iq_report_link_inc_quota(1);
+			ull_df_iq_report_mem_release(rx_free);
+			ull_df_rx_iq_report_alloc(1);
+		}
+		break;
+#endif /* CONFIG_BT_CTLR_DF_SCAN_CTE_RX */
 #endif /* CONFIG_BT_CTLR_SYNC_PERIODIC */
 
 #if defined(CONFIG_BT_CONN)
@@ -2242,6 +2263,9 @@ static inline int rx_demux_rx(memq_link_t *link, struct node_rx_hdr *rx)
 	case NODE_RX_TYPE_EXT_AUX_REPORT:
 #if defined(CONFIG_BT_CTLR_SYNC_PERIODIC)
 	case NODE_RX_TYPE_SYNC_REPORT:
+#if defined(CONFIG_BT_CTLR_DF_SCAN_CTE_RX)
+	case NODE_RX_TYPE_IQ_SAMPLE_REPORT:
+#endif /* CONFIG_BT_CTLR_DF_SCAN_CTE_RX */
 #endif /* CONFIG_BT_CTLR_SYNC_PERIODIC */
 	{
 		struct pdu_adv *adv;