Argentina has faced a series of legal setbacks in international courts this week. On Wednesday, bondholders who sued the country in London over the payment of the GDP coupon were able to execute a US$325 million guarantee, which Argentina had deposited to appeal the ruling against it.
On Friday, in New York, Judge Loretta Preska, who oversees cases against Argentina in the Southern District, authorized the seizure of US$210 million for vulture funds that did not participate in the debt swaps that have taken place since the 2001 default. These funds will now be able to collect part of their debts.
The funds that were seized belonged to an account held by the Central Bank at the Federal Reserve in the United States, which was used to guarantee the payment of Brady bonds. Attestor Master held US$460 million in defaulted Argentine debt, and Bainbridge Fund held US$100 million.
Also on Wednesday, holders of bonds known as “GDP coupons,” who won a lawsuit against the country in the United Kingdom, executed a €313 million (approximately US$325 million) guarantee required to appeal the judgment for €1.33 billion lost in the first instance. As the appeal was rejected and the ruling against Argentina was confirmed, the country must now begin to pay.