July 6 (Bloomberg) -- Several funds holding Argentine restructured bonds began legal actions against Euroclear and Bank of New York Mellon Corp. in a Belgian court, arguing the trustees haven’t fulfilled their duties, newspaper Tiempo Argentino reported, citing court documents signed by a legal adviser for the funds. * Funds argue the payment made to a Bank of New York (Luxembourg) account at Central Bank of Argentina, must be sent to a Belgian entity in Frankfurt and finally to investors through clearinghouses in Europe, and payment shouldn’t be disrupted by a judge in New York * Knighthead Capital Management, Redwood Capital Management, Perry Capital, VR Global Partners, Monarch Master Funding, Silver Point Capital, QVT Fund, Quintessence Fund, and Centerbridge Partners are among the funds suing Euroclear and BNY Mellon * NOTE: BNY Mellon asked judge for guidance about what to do with a $539m payment by Argentina intended for bondholders * “All I can say regarding the Argentine situation has been said in our letter,” Kevin Heine, BNY Mellon spokesman, said today by phone from New York, declining to comment on the court cases * Christopher Clark of law firm Latham & Watkins in New York, who signed the filing, didn’t immediately reply to voice and e-mail requests made outside normal business hours today for comment on the legal actions; nor did Martin Gregson, a Euroclear spokesman * NOTE: U.S. District Judge Thomas Griesa on June 27 ordered BNY Mellon to return $539m it received from Argentina for holders of the nation’s restructured debt * NOTE: Holders of Argentina Eurobonds asked a U.S. judge for an emergency ruling to help them recover money from a payment he blocked on June 30
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