The City of Amsterdam on Monday handed over a painting by the Russian artist Wassily Kandinsky to heirs of a Jewish couple who had sold it as they tried to escape the Netherlands after the Nazi invasion during World War II. The 1909 work, “Painting With Houses,” had been held since 1940 by the Stedelijk Museum , which is responsible for the city of Amsterdam’s 95,000-item art collection. In a statement, the city said it had reached an agreement with the heirs of the couple, Robert Lewenstein and Irma Klein, “on the basis of mutual respect” and settled an ownership...