Mon. Jun 17th, 2024
Argentina ordered to pay US$337 million for manipulating Indec data under Kirchner administration

The Government of Javier Milei will be required to pay approximately US$337 million in bail to appeal an unfavorable ruling related to the manipulation of Indec data during the Kirchner era from 2007 to 2015. This payment will be made in a court in Great Britain as part of the trial against Argentina for the manipulation of economic growth data during Kirchnerism, with a total sentence of about US$1.5 billion, as reported by Bloomberg and expert Sebastián Maril.

The law firm Quinn Emanuel Urquhart & Sullivan is representing the plaintiffs and includes Dennis Hranitzky, who seized the Frigate Libertad in 2012. According to Maril, Argentina has announced the creation of the RofA Special Trust 2024 in New York to provide a guarantee of nearly US$330 million as a condition for appealing the PBI Coupon ruling in London.

Through Decree 277/2024 published in the Official Gazette, the Executive Branch approved a model trust agreement called “RofA Special Trust 2024,” along with a Standby Letter of Credit to be granted in favor of the Trustee of Negotiable Securities and a Letter of Credit Facility Agreement model. The London Court of Appeal has mandated that Argentina must pay bail before April 5th into a trust account to continue with the trial involving the calculation of debt bonds known as “PBI coupons.”

Furthermore, this decree also authorizes an extension of jurisdiction in favor of state and federal courts in New York and waives opposing sovereign immunity on defense contracts related to this decree. Immunity is not waived for executing sentences arising from extending jurisdiction clauses concerning specified assets such as those belonging to Central Bank Argentina, public domain properties, and assets under military control.

In conclusion, Javier Milei’s government faces significant financial obligations and legal challenges as it navigates through Kirchner’s era manipulated data issues while working towards appealing an unfavorable ruling from court.

By Aiden Nguyen

As a content writer at newscholarly.com, I delve into the realms of storytelling with the power of words. With a knack for research and a passion for crafting compelling narratives, I strive to bring forth engaging and informative articles for our readers. From decoding complex concepts to unraveling current events, I aim to captivate and educate through the art of writing. Join me on this journey as we explore the ever-evolving landscape of news and knowledge together.

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