Holdout funds want Argentina to deposit 250m by December 10
Investment funds suing over Argentina's 2002 debt default have asked a US court to order the country to post a security deposit of at least 250 million dollars by December 10, while an appeal of a lower court's order is pending.
In an emergency motion filed late on Friday, the “holdout” creditors urged the 2nd U.S. Circuit Court of Appeals to modify its ruling from Wednesday that halted an order for Argentina to deposit 1.33 billion into an escrow account by December 15 on the investors' behalf.
The decision eased fears that Argentina could default in the coming weeks, but the holdouts say it is too lenient and gives the government more time to plot a way around court rulings.
The holdouts are seeking to be repaid in full on their defaulted Argentine bonds after spurning debt exchanges in 2005 and 2010 that about 93% of other bondholders accepted. Argentina calls the litigating funds “vultures” and has vowed never to pay them.
The latest battle centers on a ruling that found Argentina violated a bond provision requiring it treat all creditors equally when it paid the exchange bondholders without paying the holdouts. Two US courts have said they should all be paid simultaneously.
On November 21, U.S. District Judge Thomas Griesa ordered Argentina to deposit the 1.33 billion for holdouts including NML Capital Ltd and the Aurelius Capital Management funds by December 15, the same day about 3 billion comes due on growth-linked GDP warrants, issued during Argentina's debt swaps.
This raised fears of another default because if Argentina had refused to pay the holdouts, as expected, US courts could have disrupted payments to the holders of restructured bonds.
Argentina appealed the orders and won an emergency stay, or halt, from the 2nd Circuit Court.
NML and Aurelius argue, however, that Argentina should have to post a security deposit of 1.45 billion, or at least 250 million, by December 10 to ensure the country complies with the court orders if it loses the appeal.
“If Argentina refuses to post even that minimal security even as it prepares to pay more than 3 billion to exchange bondholders, that will amply demonstrate its intention not to comply with this court's mandates and that the stay should be lifted,” lawyers for the holdout investors wrote.
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42 comments Feed
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What court ruling? There isn't one.
Sooner or later Argentina will have to cough up the dosh.
I mean, your President was stupid enough to tell the world that you have the money, so it's now incumbent upon your country Argentina to honour the debts. I mean you took the money, now face the consequences of that, by paying back what you owe.
The longer it takes you to pay off your debt, the higher it will be due to interest.
All your government needs to do is make a show of good faith. Unfortunately they only make shows of bad faith at the moment, which is why your credit rating is really crap.
CFK should write a book titled: How to make a rich country poor in under 5 years.
The ideal Christmas present for CFK would be: Economics for Dummies.
Alas I fear it's too late for Argentina, as CFKs miraculous economic model has sent you country spinning into the abyss of financial ruin.
Talk about trying to get blood from a stone!!!
“good faith” is an endangered spieces in Argentina, me thinks that it will be a cold day in hell before good faith is spotted in THAT country.........
Now we will see (if the court accepts this idea and why not) if TMBOA is really serious about bucking the NY Courts. She is so stupid she probably will.
epetitions.direct.gov.uk/petitions/42558
Ah yes, but it is interesting that Argentinas creditors are very wise to what a devious filthy lying shower of crap they are and are leaving nothing to chance.
Singer has more chance of being invited to Crustinas christmas dinner.
No thanks... I've no interest at all of cutting-off our Argentinian customers... they love us, we love them, they're loyal, happy and good fun and all-round jolly decent folks... their Government is a bunch of nutters though, a bit like ours really.
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On another note: there will be a growing cross-country support and interest in this case... I wouldn't count out Argentina yet.
of the motion or the deposit....he only needs to have the motive granted.
NO, NO, NO.
Who said Argentina doesn't have the willingness to negotiate?
No to future lending, no to any future foreign investment, no to having any state assets visiting any country that doesn't put expediency before the rule of law, no G20 membership, no to being taken seriously beyond your poor beleagured neighbours, and a resounding NO from the Falkland Islands (there still are no Malvinas)...
No, No, No
The general consensus is that after negotiating with Argentina, check your wallet.
www.atfa.org/
Atta boy. I couldn't agree with you more.
www.gregpalast.com/the-globalizer-who-came-in-from-the-cold/
Enjoy:
m.youtube.com/watch?v=KFijMqKeX48
Your call. We don't want to be part of the world order that seeks to subjugate us and comminute our sovereignty.
You are so out of touch with argentine's and argentina.
“ Too bad that everyone here is a foreigner and they are all ignorant about Argentina. as you can all read they only want the worst for Argentina and we Argentines don't care much for their comments or their theories, get lost already”
Alex, you are so far from what REAL Argentinians want that its funny!!
You will never live there, because you could not survive there and you are scared to leave Canada. If you left, you could not return.
Please go - learn how your support of CFK brings misery to the people of Argentina. Go see what daily life is like.
Your parents left because of the government of the 70's and 80's stealing and discriminating against you Indians, but you don't realise that CFK is worse - you despises ALL the poor, and laughs at them. Your supposed 'home' of Salta is one of the poorest, most violent, and most neglected parts of Argentina.
The social services are poor to non-existant with low life expectancy, and even now, plagued by Dengue Fever that the government will not admit to - people are dying.
Hey, that is YOUR government and the tragedy that is YOUR Argentina.
Please go back and stop taking our services while you insult us for rule of Law.
Ungrateful moron.
if you really supported CFK,
you would be in argentina right now,
insted of canada.
MmmmmmMMM
Ok !
NO!
LOL.
#33 ask me if I care! Do you make desitions based on other peoples believes? I don't.
#34 I live in Canada because my home land Argentina is under British occupation and under a nuclear threat, when Argentina gets a nuclear defence program I will feel safe enought to go badk go back home, so get used to living with black, Muslims, gypsy's and Argehtine's until our homeland is free from occupation. If I brit can live in Malvinas Argentina we Argentine have the right to go anywhere as well.
#35 if that is how you feel why aren't the illegal aliens in Malvinas Argentine back in UK showing support? Lol everyone wants to be a comedian, Keep your day job son.
#36 britards don't know what “NO” means.
www.gregpalast.com/the-globalizer-who-came-in-from-the-cold/
#35 piss hole is afraid to live in argentina and I can't blame him for that
He will be telling us that south America no longer exists next,
Its occupied by foreign armies.
All belonging to CFK lol.
That statement in itself displays the level of psychosis you have achieves. Are you smoking your own dirty underwear? Not even the peronists in your “fatherland” and the brownsuits believe that statement.
The other RG trolls here are just droids, idiots. You piss holer are really sad because you truly have a sickness of the mind. Canada has free care, I suggest you get some serious mental help. You are the poster child for International Mental Heath Day. Is that where you were October 10th? So if Argentina is occupied (snicker), you abandoned your own people like a coward. Do you bleed yellow when cut?
Been brain washed into thinking he is a argentine Canadian brain surgeon,
And advises that he should seek emergency medical help, before his limited brain cells overheat.
.
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