Thursday, August 21, 2014

Argentina/US: Update--US District Court Judge Strikes Back at Buenos Aires

According to Reuters, the federal judge overseeing the long-running litigation over Argentina bonds has scheduled a hearing for 1500 hours on Thursday (August 21) in New York City after Argentine officials announced plans to skirt his court rulings that pushed the country into default.
COMMENT: NML Capital Ltd, one of several holdout creditors who US District Judge Thomas Griesa has said must be paid in full before Argentina can resume payments to other bondholders, had asked Griesa on Wednesday night (August 20) to schedule an "emergency" hearing to consider whether to hold Argentina in contempt.
Argentina defaulted in July 2014, after Judge Griesa blocked a $539 million coupon payment to bondholders who accepted restructurings in 2005 and 2009, saying it violated his order.