Thursday, October 16, 2014

Gov’t denies triggering of debt acceleration clause

Cabinet Chief Jorge Capitanich speaks at government house.

Amid rumours that Argentina’s bondholders might request a debt acceleration for immediate repayment before 2015, Cabinet chief Jorge Capitanich said the government had not received any formal notice for the triggering of acceleration clauses and urged bondholders to take legal actions against US judge Thomas Griesa.

“Hedge funds should be more concerned with taking legal actions against (US Judge Thomas) Griesa, since he is the one preventing the funds transfers (…). Argentina regularly pays its financial obligations,” the chief of ministers stated in his daily press briefing at the government house.

“The problem with these hedge funds is that they follow speculative strategies. If they did not and if they exercised their rights as established in the contract they would be promoting legal actions to reverse (Griesa’s) arbitrary, inappropiate ruling which alters the full observance of the rights of current bondholders,” he stated.