Citigroup Says Court Order Will Let It Pay Argentine Bond Interest
ByThere is a new twist in the fight between Argentina and a group of hedge funds that has been playing out in New York courts.
A United States federal court has allowed Citigroup to make interest payments to investors holding $2.3 billion of Argentine bonds due at the end of the month, the bank said on Sunday in a statement.
Citigroup also said that it had been authorized to make another interest payment on June 30.
The move, outlined in an order that is expected to be filed in court on Monday, appeared to be a reversal by Judge Thomas P. Griesa of the Federal District Court in Manhattan. As recently as March 12, Judge Griesarejected an appeal by Citigroup to make the March 31 interest payments.
The legal back and forth in recent weeks is part of a bigger, bitter battle that traces back to 2001, when Argentina defaulted on nearly $100 billion of government bonds. Most of the investors holding those defaulted bonds exchanged them later for new and discounted bonds…
Citigroup Says Court Order Will Let It Pay Argentine Bond Interest
