Once again, the vultures ignite in Argentina The C …

In a week characterized by the collapse of Argentine stocks and bonds on Wall Street, by the flight of all major investors from the "Argentine risk", another bad news came from the north for the government. This time in the judicial field, with a decision that can reopen the fight allegedly forever closed with vulture funds.

The Court of Appeal of the Second Circuit of New York overturned the judicial strategy of the Argentine Republic and YPF, facing the request to open the Burford Capital Fund for the expropriation of the company state oil. The court of appeal dismissed an appeal against the decision of Judge Loretta Preska, according to which Argentina violated the conditions of expropriation and allowed the parties to continue the trial, which could cost 3 billion of dollars. for the country. From the government, try to remove the drama from the resolution and point out that a motion for a stay of trial has already been filed with the South District Trial Judge.

The Argentine State Law Firm and the State Oil Company will seek a stay order to stop the trial until the US Supreme Court files a preliminary complaint of incompetence American courts forward the file started by Burford Capital, after buying in Spain the trial rights of the group Petersen, shareholder of YPF while it was still in the hands of Repsol.

The first objective of the Argentine state was to develop the lawsuit in the national courts in order to avoid judgments to the contrary, as was the case of the request of vulture funds for the obligations of the debt of 2001. This request had already was dismissed at first instance by Preska J. – who replaced Thomas Griesa after his death – and also in the second instance, subtracted the resolution of the Court which, last January, had asked for the opinion of the Court. Trump administration.

The appeal filed by the law firm that represents the Argentine state called "certiorari" and allows a direct submission to the highest court of the United States. The presentation that requires a review of the jurisdiction has the support of Mexico, Chile, Brazil and Colombia. Government sources, according to the Telam agency, recalled that Judge Preska had already admitted this week a similar request. It was therefore expected that she could accept the request and suspend the start of the process.