* Economy minister reiterates won't pay holdout creditors
* US court ruled in favor of those creditors
BUENOS AIRES, Nov 18 Argentina will not pay
creditors who own defaulted bonds despite a U.S. federal appeals
court ruling in favor of the holdout creditors, the economy
minister was quoted as saying in an interview published on
The 2nd U.S. Circuit Court of Appeals in New York last month
ruled that Argentina discriminated against bondholders who
refused to take part in two debt restructurings as the nation
tried to recover from a $100 billion default a decade ago. The
decision upheld a ruling by U.S. District Judge Thomas Griesa.
The South American country appealed that ruling, and on
Friday told Griesa that sovereign debt repayments made outside
the United States are immune to U.S. law and seizures by holdout
"Argentina is responsible and will fulfill all commitment it
has made to its creditors. ... Our creditors are all those who
participated in the two restructuring proposals in 2005 and
2010," economy minister Hernan Lorenzino told newspaper Pagina
"We're going to continue to oppose any alternative that goes
beyond that. We're going to continue presenting and defending
our position to each legal entity."
The judge is expected to give a speedy response, given that
Argentina is due to start making $3.3 billion worth of payments
to exchange bondholders starting Dec. 2.
Argentina and holdout bondholders that refused to join
massive debt swaps in 2005 and 2010 are in a long-running battle
over payment, an outgrowth of the country's roughly $100 billion
default nearly 11 years ago.
"Argentina reiterated to judge Griesa that the decision
taken about pari passu (equal treatment) cannot prejudice
creditors who entered the debt swaps," Lorenzino was quoted as
Last month's ruling sparked fears that U.S. courts could
ultimately inhibit debt payments to creditors who accepted terms
of the restructuring, out of consideration for investors who
rejected Argentina's terms at the time.
"We're going to continue our legal defense in all areas
possible, including in the United States' Supreme Court,"