Friday, February 26, 2016

US Judge Griesa calls new hearing for Tuesday

Argentina’s lawyers in New York sent a letter to United States District Judge Thomas Griesa to inform him of Wednesday’s decision by a federal appeals court in New York, which allowed him to go ahead with lifting injunctions that have restricted the country from making some of its debt payments and led US credit agencies to declare the country in technical default.

Only a couple of hours later, Griesa confirmed a hearing next Tuesday with the country’s lawyers and all the creditors, in which he could formally accept Argentina’s offer to the holdouts. Any papers regarding the case can be filed until February 29, the same cutoff date given by Argentina for hedge funds to accept a settlement offer.

The proposed total US$6.5 billion settlement offer announced by Argentina on February 5 represents a 27.5 percent to 30 percent discount for creditors who filed claims of about US$9 billion.

Herald staff