The Economy Ministry has launched a stinging attack on hedge funds attempting to block payment on last month’s Bonar 24 debt emission, stating that the petition shows the ‘vulture funds’ desperation following the successful auction.
«It is nothing more than another desperate attempt, after the vulture funds’ failure in their efforts to stop the recen tauction, in which they openly and unsuccessfully threaten Bonar 24 buyers,» the department led by Axel Kicillof fired today in a press statement.
Earlier, a group of hedge funds holding defaulted Argentine debt titles, led by Aurelius Capital, filed a motion which seeks to include the Bonar 24 emission within the range of New York district judge Thomas Griesa’s pari passu ruling. That judgement stops the country from carrying out debt interest payments until those creditors who did not restructure bonds are compensated in full.
The missive further alleges that «in a new attempt at extorsion, the vulture funds want Griesa to stop payments of a title that is under Argentine legislation, that was emitted through a public auction held in Argentina and whose payments are made in this country.»
«This is internal debt in foreign currency, which has nothing to do with judge Griesa’s jurisdiction,» the Ministry warned.
«This presentation confirms that the strategy of extorsion designed by the vultures through the pari passu order has not worked, which is why they are increasing their attack in ever more illegal and erratic manners, even in the terms of Griesa’s sentence.
The statement concluded by accusing the holdouts of pushing Argentina even further from negotiating a settlement in the decade-long conflict.
«The vulture funds, instead of negotiating a fair solution have pushed on every occasion for extorsive actions that lead nowhere. The measures now requested by Aurelius and Blue Angel do nothing more than deepen the failure of those extorsive actions as a way of solving the conflict,» it explained.
Source: Buenos Aires Herald