Upcoming Events

International | Miscellaneous

no events match your query!

New Events


no events posted in last week

User Preferences

  • Language - en | ga
  • text size >>
  • make this your indymedia front page make this your indymedia front page

Blog Feeds

Public Inquiry
Interested in maladministration. Estd. 2005

offsite link Hell at the Gates: A propaganda exercise

offsite link Breaking: New minister for investigative judges to be appointed Anthony

offsite link Michael O’Regan: A ‘surface’ journalist Anthony

offsite link Brendan Howlin: A political leprechaun Anthony

offsite link Irish media should be fighting gagging law Anthony

Public Inquiry >>

The Saker
A bird's eye view of the vineyard

offsite link The USA are about to face the worst crisis of their history and how Putin?s example might inspire Tr... Sat Oct 22, 2016 05:23 | The Saker
This article was written for the Unz Review: http://www.unz.com/tsaker/the-us-is-a... Watching the last Presidential debate was a rather depressing experience.  I thought that Trump did pretty well, but that really is

offsite link CrossTalk: The Great Debate Fri Oct 21, 2016 21:59 | The Saker

offsite link Battle for Mosul: Challenges of Reluctant Allies Fri Oct 21, 2016 21:48 | The Saker

offsite link Questions about ?Babushka security? and tons of answers, all of them wrong Fri Oct 21, 2016 17:13 | The Saker
I just watched a video for a neighbor of Motorola who explains that Motorola had no real protection, that it was easy to enter his building, that it was easy

offsite link Syrian War Report ? October 21, 2016: Major Militant Stronghold near Damascus Surrenders to Govt For... Fri Oct 21, 2016 16:15 | The Saker

The Saker >>

Human Rights in Ireland

offsite link Benefit Sanctions and Coercion Within the Irish Welfare System Thu Sep 22, 2016 13:38 | Cliodhna Murphy

offsite link The rights of the unborn: a troubling decision from the High Court? Wed Aug 10, 2016 12:42 | Máiréad Enright

offsite link Progress Report on the Northern/Irish Feminist Judgments Project. Mon Jul 11, 2016 13:40 | admin

offsite link The UN and the Eighth Amendment Thu Jun 23, 2016 09:46 | admin

offsite link Call for Papers: State Accountability for Vulnerability Mon Jun 20, 2016 12:29 | admin

Human Rights in Ireland >>

Cedar Lounge
For lefties too stubborn to quit

offsite link Star Wars themed jets 12:53 Sat Oct 22, 2016 | WorldbyStorm

offsite link More on Libraries? 11:30 Sat Oct 22, 2016 | WorldbyStorm

offsite link This Weekend I?ll Mostly Be Listening to? AnDa Union 07:41 Sat Oct 22, 2016 | irishelectionliterature

offsite link Punk milestones: October 22nd 1976, First British punk single released?. 03:55 Sat Oct 22, 2016 | WorldbyStorm

offsite link ?Clogged up? ports 15:15 Fri Oct 21, 2016 | WorldbyStorm

Cedar Lounge >>

Argentina Files Final Supreme Court Appeal in Global Hedge Fund Debt Case Religious Community Joins IMF, Legitimate Investors and Governments in Opposing Exploitative Hedge Fund Behavior

category international | miscellaneous | news report author Friday February 14, 2014 20:06author by Arielle Retrosi Report this post to the editors

Argentina will file its final US Supreme Court appeal in the NML Capital hedge fund debt case before this Tuesday, February 18th. Legal observers, economists, investors, the United Nations, the Obama Administration, the International Monetary Fund (IMF) and the religious community have closely monitored the proceedings.

"The final outcome affects poverty around the globe, over a decade of US bipartisan debt policy and the profits of legitimate investors," stated Eric LeCompte, Executive Director of the religious debt campaign, Jubilee USA Network. "The religious community applauds the global consensus to deter and not reward this exploitative, predatory behavior."

Argentina's Supreme Court filing responds to a US 2nd Circuit Court ruling ordering the country to pay $1.33 billion to predatory hedge funds and other holdout bond holders. A final ruling in favor of the holdouts will hurt poor countries in financial distress and could allow a small group of hedge funds to target assets that benefit vulnerable populations. At the same time, the majority of debt holders who previously restructured their debt with Argentina have hired lawyers to help negotiate the dispute between holdout hedge funds and Argentina. Nearly 93% of debt holders restructured their debt with Argentina after the 2001 default. The restructured bondholders are concerned that their settlements could be disrupted if hedge funds win the final ruling. In a separate case currently before the Supreme Court, Argentina sought review of a lower court decision allowing NML Capital to seek information about Argentina's non-US assets. The United States filed an amicus brief in support of Argentina, arguing that Argentina's assets are immune from seizure under federal sovereign immunity law.

"These hedge funds hurt legitimate investors and poor people," said LeCompte, "The IMF, World Bank and White House are right that this extreme behavior takes advantage of the world's poorest people."

Interested parties will now have 30 days to file an amicus or friend-of-the-court brief urging the Supreme Court to accept the case. The Supreme Court would likely decide by the summer whether or not it will actually accept this final appeal. These cases go back to 2001, when Argentina defaulted on roughly $81 billion in debt. Multiple hedge funds purchased debt for pennies on the dollar. These hedge funds are called "vulture" funds because they prey on countries in financial distress and target assets that benefit poor populations. The nearly 93% of bondholders who restructured their debts with Argentina have seen the value of their bonds increase. The holdout hedge funds that are suing Argentina refused the deal several times and have instead sued for the full amount of the debt they purchased.

The opposition to vulture funds is widespread. Similar hedge fund claims against Argentina have been rejected by courts in Germany, and France filed an amicus brief in support of Argentina in a previous appeal to the Supreme Court. In numerous court proceedings, the US government filed an amicus brief in support of Argentina, arguing that a ruling against Argentina could make it much more difficult for countries in financial recovery or facing economic stress to access credit and debt swaps. The IMF has also weighed in on the case, saying that the result would have major implications for how future sovereign debt is restructured.

"There finally seems to be an endgame in sight," noted LeCompte. "The question now is will the final ruling protect our global economy from this extreme behavior or encourage this harmful hedge fund behavior."

© 2001-2016 Independent Media Centre Ireland. Unless otherwise stated by the author, all content is free for non-commercial reuse, reprint, and rebroadcast, on the net and elsewhere. Opinions are those of the contributors and are not necessarily endorsed by Independent Media Centre Ireland. Disclaimer | Privacy