BUENOS AIRES, July 24 One of the hedge funds
suing Argentina for full repayment of its defaulted sovereign
debt could call on Thursday for a suspension of the U.S. court
ruling pushing it towards default, an Argentine daily wrote
citing unnamed official sources.
La Nacion wrote that Elliott Management's NML Capital Ltd
would likely ask U.S. District Judge Thomas Griesa to reinstate
a stay on his ruling for Argentina to pay it and other holdouts
who did not participate in its debt restructuring back in full.
Griesa has said Argentina may not make its next coupon
payment without fulfilling his ruling. But Argentina says it
cannot pay the holdouts until the expiry at year-end of a clause
prohibiting it from offering them better terms than the
investors who took part in the 2005 and 2010 debt swaps.
If Argentina does not make the coupon payment by a July 30
deadline, this will trigger a new default, just 12 years after
the last one.
Lead holdout creditors NML and Aurelius were not immediately
available for comment when contacted by Reuters.
La Nacion said lawyers for NML are preparing a written
request for the stay to be extended until the end of the year
when the so-called RUFO clause expires in exchange for a
commitment from Argentina to negotiate with the holdouts from
NML wants Argentina to deposit some money into an escrow
account to guarantee its commitment, the paper wrote.
La Nacion cited official sources as speculating that NML
could present its request to Griesa on Thursday.
(Reporting by Sarah Marsh and Alejandro Lifschitz, additional
reporting by Daniel Bases in New York; Editing by Chizu