MEXICO CITY (Sputnik) – US District Judge Thomas Griesa in New York explained his Friday decision to demand the new payment from Argentina in addition to the $1.33 billion that the country is already required to pay to a group of hedge funds with a claim that the so-called "me too" creditors held bonds similar to those held by the hedge funds and thus needed to be treated equally.
"The Republic has submitted to the Second Circuit an appeal against this new illegal decision of Judge Griesa and reiterates its willingness to agree with 100% of its creditors under just, equitable, legal and sustainable conditions," the ministry said in a Friday statement.
Argentina’s economy ministry stressed that the "me too" creditors are using their "enormous financial and lobbying capacity" and taking advantage of US support to try to extort as much funds as possible "at the expense of the vast majority of our country’s creditors."
Most of Argentina's creditors agreed to debt restructuring conducted in 2005 and 2010. Two US hedge funds — Aurelius Capital management and NML Capital –refused to accept the deal, prompting Griesa to freeze Argentina's ability to transfer funds to restructured bondholders until it pays the holdouts in the restructuring, mainly the $1.33 billion in bonds held by Aurelius Capital management and NML Capital.
The ruling forced Argentina into its second default in 13 years.
Argentina’s Ministry of Economy and Public Finances said on Friday that Griesa’s decision on the $1.33 billion payment aimed to make it easier to present Argentina with new financial demands, instead of helping it overcome its economic crisis.
