Argentina says no plan to evade U.S. courts in creditor case
By Nate Raymond
NEW YORK May 30 (Reuters) - Argentina's lawyers sought Friday to assure a U.S. judge it would not evade orders to pay $1.33 billion to bondholders who refused to accept its debt-restructuring offers if the U.S. Supreme Court declines the case.
U.S. District Judge Thomas Griesa in New York questioned lawyers for Argentina about a leaked memo described as advising on a plan for how to restructure its bonds outside the reach of U.S. courts if the Supreme Court does not take the case.
Carmine Boccuzzi, a lawyer for Argentina at Cleary Gottlieb Steen & Hamilton, acknowledged the memo was real. He said while it did address whether Argentina may need to restructure in a way consistant with U.S. court orders, that was "not the upshort of the memo."
"There is no secret plan to evade," he said.
Boccuzzi added there "likely would be a default" if the lower court rulings remained in place, saying "there would be a cataclysmic result from an affirmance of the order."
The U.S. Supreme Court is scheduled on June 12 to consider whether to hear Argentina's appeal of rulings requiring it to pay the holdout bondholders back in full.
The holdouts' case is the last hurdle to the country putting its 2002 default on $100 billion in debt behind it and regaining full access to international credit markets.
Argentina on Thursday clinched a landmark deal with the Paris Club of wealthy creditor nations to repay its overdue debt worth nearly $10 billion. Continuación...