Holders of Argentina’s defaulted bonds urged the U.S. Supreme Court to reject the country’s appeal in a clash with implications for tens of billions of dollars in debt.
Argentina is appealing a lower court ruling that bars payments to the investors in restructured Argentine debt unless holders of the nation’s defaulted bonds, led by billionaire Paul Singer’s Elliott Management Corp. and its NML Capital Ltd. unit, are also paid.
In a court filing in Washington today, NML said Argentine officials, including President Cristina Fernandez de Kirchner, were planning to defy lower court rulings against the country. Fernandez this week said Argentina will offer to swap restructured bonds into notes governed by local legislation to prevent payment disruptions.
The Supreme Court case is Argentina v. NML Capital, 12-1494. The appeals court case is NML Capital Ltd. v. Republic of Argentina, 12-00105, U.S. Court of Appeals for the Second Circuit (New York).