MercoPress. South Atlantic News Agency
Aerolineas Argentinas expropiation returns to haunt Cristina Fernandez
In 2008, president Cristina Fernandez ordered the expropriation of Aerolineas Argentinas and Austral, declaring air navigating an essential public service. 
Spanish owners Marsans placed a lawsuit before ICSID saying it had suffered an unfair treatment and demanding more than 1.4 billion dollars. The Argentine government and its economic crimes bureau, Procelac, filed on Monday a complaint against Spanish group Marsans for an alleged move to “sell” a lawsuit filed before the World Bank’s ICSID over Aerolineas Argentinas and Austral expropriations, to Burford Capital, a speculative fund. ICSID stands for International Centre for Settlement of Investment Disputes.
According to reports, British Burford Capital belongs to the industry of corporate disputes and has been known in the past for buying another lawsuit filed before the ICSID on behalf of the Petersen Group.
“Litigation finance treats litigation claims as financeable assets, just like real estate or receivables. Burford’s capital is used by businesses to pay legal expenses, relieve budget and P&L pressure, and monetize legal claims as the valuable assets they are. Litigation finance can also serve as an accounting tool, allowing businesses to litigate claims without impacting corporate balance sheets,” its website says.
Argentina's Treasury Attorney General Angelina Abbona, recalled that back in 2008, president Cristina de Kirchner ordered the expropriation of Aerolíneas Argentinas and Austral, declaring air navigating an essential public service.
”However, Marsans placed a lawsuit before the ICSID saying it had suffered an unfair treatment and demanding more than 1.4 billion dollars. The reality is that Marsans is a debtor because having left Aerolineas Argentinas under such disastrous situation, the government had to make investments,” she added.
After Marsans’ complaint before the World Bank's ICSID, the government found out about a contract between that group, a law firm and Burford Capital, described by Argentina as a 'vulture fund'.
The lawsuit was filed by Procelac against Marsans, the 'vulture fund' and several Argentine law firms for advising Burford.
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Read all commentsSo how old is the lawsuit?
Sep 15th, 2015 - 11:01 am 0And how long has Argentina had to settle it?
Anyone who owes Argentina money is a vulture.
Sep 15th, 2015 - 11:21 am 0Debts have always been traded as they have value.
Sep 15th, 2015 - 11:23 am 0Aerolineas Argentinas is run by La Campora and used to launder money into the bank accounts of the K's. $2m per day the 'essential service' is costing Argentines. Most of the Argentines I met could not afford to fly but took the long distance buses.
I was booking some flights in North America and Canada recently and certain airlines will not take tickets issued in Venezuela and Argentina. Because they don't pass the money on to the airline.
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