Judge Griesa warns Argentina on defying paying holdout bondholders
US District Judge Thomas Griesa told Argentina it should not even consider evading a recent ruling requiring it to pay bondholders who did not participate in two major debt restructurings after the country's 2002 default.
Judge Griesa said Argentina must not seek to avoid making payments to the holdout bondholders in accordance with an October 26 ruling from the 2nd U.S. Circuit Court of Appeals.
“If, and I emphasize if, there is any thought on the part of the Republic to defy and evade the current ruling, then that thought should be seriously reconsidered and set aside,” Griesa told Argentina's lawyers.
Griesa's comments came in response to remarks by Argentine President Cristina Fernandez, who said the country would not pay “one dollar to the 'vulture funds'.”
The holdouts include Elliott Management Corp affiliate NML Capital Ltd and the Aurelius Capital Management funds. They are suing to recoup 1.4 billion dollars of defaulted debt.
Griesa also said he would move to quickly resolve questions regarding how the payments will be made by December 2, when Argentina is due to make the first of three payments totalling more than 3 billion to bondholders.
The biggest payout will come December 15 when Argentina has to pay holders of its growth-linked GDP warrants, issued during its harsh 2005 and 2010 debt swaps.
Friday's hearing was the latest development in an array of US litigation stemming from the Argentina’s sovereign default.
The 2nd Circuit ruled that Argentina had improperly discriminated against bondholders who did not participate in the country's debt swaps. About 93% of creditors entered the swaps, exchanging their defaulted debt for new bonds.
The appeals court said Argentina had violated bond provisions requiring it to treat bondholders equally by paying those who did participate in the restructurings ahead of the holdouts.
The ruling sent Argentine bond prices reeling and prompted a sovereign debt downgrade by Standard & Poor's.
Following the appeals court ruling, NML Capital asked Griesa in a November 6 letter to rule quickly on two issues that the 2nd Circuit sent back to the trial judge to determine.
Among those issues was how the bond payment formula would operate. It also asked the judge to determine how the injunction would apply to third parties, including intermediary banks.
NML's letter cited remarks by the president and Economy Minister Hernan Lorenzino stating they would not pay the holdout creditors. The officials also vowed to continue servicing the country's restructured debt.
At the urging of NML, Griesa scheduled a quick timetable to resolve the questions posed by the 2nd Circuit, with briefing scheduled for completion by mid-November.
He said he intends to rule before the December 2 payment so the holdout bondholders have a chance to get a cut. A stay on payments to NML and the other bondholders remains in place at least until he issues a ruling, he said.
“They have been waiting for years to get some money,” he said. “And they're going to get something.”
The case is NML Capital Ltd et al v. Argentina, U.S. District Court, Southern District of New York, No. 08-06978.
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Result
Not long to wait now!
Argentina deserves “ AB ” rating right now. !
Meanwhile a nice new hotel opens in Patagonia, pesos not accepted!
Did you lot see the article about S&P prooved common criminals?
You missed that one, didn't you?
;)
Really it's that simple.
(don't worry about ratings agencies)
And at the same time pigs will start to fly.........
AG would be isolated completely if they defaulted, even a 'soft' technical default would prevent the banks from handling any AG money. Why do I say that? Who thinks that the American legal system is going to accept a slap across the face from AG, for that is what it would be?
Being in contravention of this judgement is not where ANY financial institution wants to be, anywhere in the western world (plus those marvellous people of Ghana). It just gives them too many problems, not the least of which is the CEO having to go to the court and explain his actions.
That is NEVER going to happen, even the thought of it will result in each and every CEO making damn sure any AG money his / her company or bank has stays where it is.
Argentina has more International Reserves than foreign debts.
You lost your production, mainly to Asia, and you have no clue how to upkeep the service sector now that people are running out of, not money only, but salaries all together. Your pensionist are to face the biggest robbery in man-kind when you tell them all the money you legally withheld is *poof* gone, and your youth is useless, spoiled and has no intentions to reproduce.
Enjoy
Argentina has more International Reserves than foreign debts.”
Is it going to need them soon then?
---
It wouldnt surprise me if Argentina said “sod the lot of you then!”, pay nothing and not care at all what any ratings agency shows.
They've shown time & time again that they really dont care what the “outside world” and particularly bankers, think about them, or the doom mongerors about how their country will collapse.
And a part of me says “Yay! You go Argentina! Kick the bankers where it hurts!”
Of course the flip-side is they do default in some way and the economy DOES collapse, in which case an awful lot of people in Argentina will get hurt off the back of a CFK “vow” to avoid paying what is a legitimate (if morally bankrupt) demand of debt payment.
- - - -
And before anybody gets too high & mighty about “debts must be paid” just bear in mind that when a debt is so big it does NOT ahve to be paid, which is how Argentina got into this “mess” (perspective dependent) in the first place.
I wish I (caps) could borrow so much money that I could never pay it back, and then be able to write-off the overwhelming majority of it, keeping everything I bought with the original bulk.
Of course lowly “Individual citizens” are only ever allowed to borrow tiny amounts and those tied to their property so that the banks can call in the debts when they like and get fatter, richer and own even more of the world....
SO when Argentina turns around and says “Well you were the silly sods who lent us the money in the first place”.... seriously, you have to laugh a little and give them a bit of support...just for sticking it up the bankers junta
I assume you are talking about Argentina. Remember when the Peronist government stole all the pension money? The same Argentine government that uses the Central Bank reserves as if it is their own account?
Argentina will have to pay one day. Tick tock, tick tock.
I predict another default, causing riots in the streets, as this time it won't just be the international community they're defaulting on, but the people of Argentina.
The way your beloved 'Dear Leader' is running the country, Guzz, I wouldn't be surprised to find Argentina being reduced to a similar state of Somalia, with armed gangs running the country, I mean, you're practically there aren't you?
You lot owe TRILLIONS!!
And you have the guts to talk about huge debts???
15
No LEP, “you” is you lot...
ANSES has been bankrupted, hard currency replaces with worthless RG bonds paying rates UNDER INFLATION with a DECREASING PESO, it stated this week it could not pay full pensions. THIS WEEK!
You can look forward to:
Massive Devaluation/Hyperinflation/Depression
and if you have to import wheat I will laugh and laugh
Hyperinflation is an interesting word, don't overuse it though, or you will have to reinvent the language when you find yourselves competing with the Chinese for production...
Are you saying that Argentina is a third world country? surely not even you could be that ignorant Guzz?
Do you not realize the USA exports 1T a year? We still have the largest economy in the world and it will stay that way for longer than you will be alive. Our population and economy grow year in and year out. We innovate which is something most other countries can't or won't do.
You make these ridiculous statements that maybe in your mind make sense but don't hold up to facts.
It is sad
I will laugh and laugh if Argentina has to import wheat from the USA..
Read history and stop making stupid comments. It has nothing to do with what I believe, it's the stamp you put on nations.
Now pay attention child, stop stamping your little feet, pin your ears back and listen; do you even know what a third world country is?
Do you?
www.gregpalast.com/the-globalizer-who-came-in-from-the-cold/
That's the only important question.
Once again, crying because you borrowed off the mafia and now they have come to break your legs. Oh the sad lament of the “wetback wail”!
An adjudicator of law is not blind to outcome and who takes sides is worse than a traitorof secrets of the nation. He brings bane from within.
Spot on! The judge is clearly corrupt. How come no one else sees it that way?
@13 Quite simple really. Your “economic model” has already failed. Whatever our youth is like, we have an advantage. Unlike yours, our country isn't filled with bending, butt-screwing, cock-sucking, murdering, transexual paedophiles. And this is your “model” for reproduction? The argie “wave of the future”. Faggots. What are the statistics? 41 million population. 20.5 cross-gender, transsexual, paedophile faggots. But credit must be awarded where it is due. Guzz - top anal invader, top buggerer, top child molester, top cowardly ex-pat, top faggot, top misanthrope, top paedophile, top queer, top dipstick.
@16 But our economy is so much BIGGER than yours. Try an example, dipstick: If your “economy” is worth 10 pesos and ours is worth 100 pesos, who's in the best position? YOU, teetering on the edge of starvation and total collapse? Or US, with an economy 30 times the size of yours, no history of default AND international trust.
@18 Looking forward to watching you DIE. Have you returned to your cesspit? I want to know that you are in argieland. Dying with the rest of the cowardly, paedophile, thieving, transsexual, faggot, war criminal argies!
@21 41,281,631 war criminals. Explain why war criminals shouldn't die!
@23 Definitions from a child-molesting, paedo, transsexual, faggot?
@24 You have a problem. An inability to comprehend. Try not to continue to avoid intelligence. Do what's right. After asking for the assistance of suitable countries, place your throat on the blade and shake your head. This is so easy. How could anybody reasonable and intelligent consider that they should not be executed for all their crimes? Rape, murder, genocide, unnatural sexual acts, theft. Who's in favour of executing all argies? Let's execute Guzzle first. Slowly. Genitals first. Then evisceration. Amputate feet. Amputate hands. Amputate legs. Amputate arms. And then... Chomp. An argie skull. Still “alive”! Problems?
720 billion x 30 = 21.6 trillion U.K = $354,000
Trust is only but the gentlemen's anodyne desire to be respected when he is not. When one is trully walking with the nimbus of probity, trust is not needed.
“You guys have a lt in common with Petraeus' wife.... You bore people....”
LOL
You have a lot in common with Ol' Turkey Neck / TMBOA / KFC / The Harpy. No brains, no sense and lies, lies, lies!!
If a thought went through your head it would be the fastest trip in the world!!!!
Have you decided if you're Argentine, Uruguyan, Swedish, or Danish yet? Are you a 50 year old ex ships engineer or still a 20 year old student living in northern europe?
If YOU want to convince people you aren't a deadbeat, you'll have to.... You'll have to... Uhm... You'll have to... Do something drastic......
“If YOU want to convince people you aren't a deadbeat, you'll have to.... You'll have to... Uhm... You'll have to... Do something drastic......”
I know :)
Clever, isn't it?
One day you'll learn enough English to come up with your own sentences...
So I take it that you still arn't going to answr the question then?
Tool is talking to you, think he needs some answers...
I know you're a few sandwiches short of a pinic but I think you'll find he was addressing the poster at 42. You.
You are a true deadbeat like Think and Dove. Congratulations.
Deadbeat...
I like this game, doesn't require much intelligence, I can see why you play it all the time....
Deadbeats...
it seems not then...
Which will it be? Place your bets now!
And the people's of the north love tangents.
With,
Ring a ring of roses,
Or the M25.
Peace my human friend,
Back on Monday.
Night.
.
All is relative, but compared to you, I'm a bloody genious... ;)
”All is relative, but compared to you, I'm a bloody genious... ;)“
Then, if this is the case, why did you have to be told by ”Joe Bloggs” at 45 that I was addressing you?
Intelligence indeed..........................LOL
Because you lot are the geniuses, fool-tool...
Learn your own language ;)
@38 Ask yourself a question. If I'm sitting on the toilet, and you're “beneath”, who does my crap drop on?
@42 I have a sentence for YOU. 50 years. Hard labour. Followed by being “put down”, like any other unwanted animal. And then? Pig food. The pigs will be able to “guzzle”!
@49 Quite true! Any Brit, Falkland Islander or “real” American (i.e. from USA) is 10 thousand times better than any LatAm. Especially an argie genocide. (NB. ALL argies ARE genocides).
@57 In that case, you should know how to spell “genius”! Dimwit.
@59 No real need to say anything, is there? One simple 6-letter word and you can't get it right. Ever heard the saying ”Pull (self) up by bootstraps“? Could you try an experiment for us? Attach your bootstraps to those ”pee-nuts” between your legs. Attach other end to anchor point on c-130 Hercules. Jump. See how you will ascend to a whole new plane!
Bloody priceless :))))))))))
Tell that to your toolmate :)))))))
The plural of Genius is Genii.
You often slate other people on here for their lack of understanding of English grammar, when you are one of the worst culprits.
But back to the thread. Argentina still owes lots of money. According to the 'Dear Leader' Argentina has loads of money, so why not pay off your debts like you promised to do when you took out loans?
The world will respect Argentina far more if you do, all these hysterionics just makes Argentina look pathetic, childish and weak.
oxforddictionaries.com/definition/english/genius
You too, learn your own language...
These kind of fondos buitres are speculating. They make lot of damage to many countries, not onyl Arg. Somebody, neutral should regulate this.
And this judge needs to jubilate. Look at his face, he looks tired.
For the fiends from beyond will profer blandishments such as this, for one to perform an action that will ultimately result in one's destruction, yet that this action will somehow be adulated by the foreign fiends.
When the reality of this world is, they want you to do this action to seek your ruin, your bane, and your annihilation. They masquerade this as good, but they know it is the antithesis, but it is in fact this which they seek, which will exult them and give them mirth.
Xect
sage and stuffing..
to those who do not belive the falklands are british,
cough cough.
As with most of these threads, the posts were only significant up until Yankee@20.
The rest is trolls whinging, whining, and ranting.
Best ignored, let them bay at the moon...
LOL LOL
interesting analysis - but I have a feeling you forgot the part about investments in Argentina, e.g. YPF to get enough oil and natural gas next winter, capital goods for the industry, medicine for life threatening deseases, the risk of having exported goods seized (+payment for ditto), ...
if you have a suggestion to how this could be done, I am sure the Argentine government happily would cheat you for 1 million dollars for your advice.
No banker in the USA would risk handing over the money after judge Griesa's ruling - they would have to cough up with the money themselves, all $4,283.19 of them.
I think Argentina should demand 20.000.000.00 U$ service charge from Ghana courts representing the vultures arguing that moving a massive ship it a lot more dangerous and labour intensive then willingly purchasing troubled bonds, It all comes with the territory. Let's never forget that there is more then one way to skin a cat and where there is will there will be a way. Poor CFK having to face what Argentine corrupt men created decades ago, I don't care what anyone says this woman has ovaries the size of a bulls balls. Videla, galtiery, menem, duhalde, macri and every other Argentine man can't be trusted , Argentina's history can show us a lot regarding this matter. www.gregpalast.com/the-globalizer-who-came-in-from-the-cold/
www.gregpalast.com/the-globalizer-who-came-in-from-the-cold/
Poppy , why bother? LOL
You will only confuse Pirat Humper using logic.
ALEX VARGAS doesn't use logic - how could he repeat his nonsense.
I know Troy, anyone is a vulture that kirchner has to pay back, what's more, he is not even an RG anymore.
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