Friday, December 28, 2012
Argentina Restructured Bond Holders Seek Top Court Review
Fri., December 28, 2012
Investors who hold Argentina's restructured debt are seeking to have New York's highest court consider whether a bond provision requires the country to equally treat holders of defaulted and new bonds, Bloomberg News reported today. The bondholder group, which includes Brevan Howard Asset Management LLP and AllianceBernstein LP, said in a court filing that interpretation by the state Court of Appeals in Albany is needed to determine whether Argentina must make payments on defaulted bonds when it pays holders of restructured debt, as a federal court judge ordered it to do. Argentina and the exchange bondholders, who agreed to exchange defaulted debt for new bonds, are fighting rulings by U.S. District Judge Thomas Griesa in New York that would have required the country to pay $1.3 billion owed to defaulted bondholders into an escrow account when it makes payments on the restructured debt.