Judge Tells Argentina To Say It To His Face

Argentina has been pretty chatty since it defaulted rather than pay Paul Singer last week. Of course, the uniquely recalcitrant debtor insists that it has not defaulted. But it has also lobbed a few bombs in the direction of the judge overseeing its case, the mediator he appointed and the President of the United States, calling the first biased, the second incompetent and the third a pussy for not just making U.S. District Judge Thomas Griesa be nice to it.

Well, Griesa would like to have a little chat about those things, as well as Argentina’s continued badgering of the Bank of New York Mellon to just go ahead and ignore the old man, and probably its publicity-stunt of a lawsuit against the U.S. of A. in the International Court of Justice.

The U.S. judge overseeing the litigation over Argentina’s debt dispute has scheduled a hearing at 3 p.m. on Friday to address the country’s recent public statements, a court official said.

U.S. judge to hold hearing Friday in Argentina bond dispute [Reuters]
Argentina Sues U.S. in International Court of Justice [WSJ]

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4 Responses to “Judge Tells Argentina To Say It To His Face”

  1. Rafi Bomb says:

    Brian, look at me so I can finish!

  2. meyome says:

    The same vultures sued Peru, and the court granted them only 50% of the money, because the vultures are responsible for running a risk whe buying bonds, and risk is compensated with large interest rates.

    The Argentinian risk was far larger. Vultures bought the bonds AFTER the default.

    If Griesa were a competent judge, he should made the same ruling. He had the OBLIGATION to respect precedents, and rule the same for the same case, so Argentina is right on all his accusations.

    • Prospectus Nerd says:

      Have you actually read either the ruling or the bond prospectus? No I thought not.

      Sorry to confuse you with the facts, but there isn't a type of pari passu where you only pay people you like. Argentina made a basic drafting error in the new issue by making them pari passu with the defaulted bonds. That means they can't legally pay the new bondholders without paying the holdouts. Calling people names like "Vulture" doesn't change this unfortunately. The legal facts of the case are as clear as day, and Argentina is simply playing politics.

  3. { LBJ is alive and well and flogging slaves in Argentina }
    – Here Come Da Judge, Here Come Da Judge