Another setback for the nationalization of YPF in a US court

This could be another case of excess of optimism. The government yesterday showed "surprise" at the decision of a US court of appeal that upheld a judgment against YPF for failing to fulfill its responsibilities to its shareholders in the US. process of nationalization of society, in 2012 during the second Government of Cristina Kirchner. This is an estimated demand of around $ 3 billion.
The Court of Appeals of the Second Circuit of New York has signed a judgment of first instance against YPF and the Argentine State made by Loretta Preska, trial judge of the federal judge of the Southern District of New York. Fate wanted Preska to replace in court the late Thomas Griesa, the man who had appeared in court for the non-respect of Argentina.
The case began in 2015 as a result of a lawsuit filed by Burford Capital, a London-based law firm specializing in the litigation in the area of ​​purchase. A substitute for "vulture funds".
Burford acquired the rights to the shares of Eskenazi after the bankruptcy of its controlled companies Petersen Energía Inversora and Petersen Energía, after the expropriation.
The plaintiffs argue that the status of the oil company violated the rights of the minority shareholders, who had not received an offer to sell their stake. And he says the process should be sued in the courts of New York, where the company's shares are listed.
Last year, government lawyers, led by Treasury Lawyer Bernardo Saravia Frias, called for the suspension of the trial at first instance and seized the US Supreme Court. which defines the jurisdiction where the request must be motivated.
Although it did not accede to Argentina's request, the Supreme Court of Justice decided last January to consult the advice of Donald Trump's government. The government considered that it was a very good sign. The federal government's response is expected through the Department of Justice and the Department of State.
In Buenos Aires, expectations were favorable given the good link between the national government and the government of the Republican tycoon. Last night, sources from the Treasury Prosecutor were shown to this confident newspaper that next month would pronounce the US government. And the court will decide.

What is discussed in New York

The case against YPF started in 2015. It is defended by Burford Capital, a global litigation manager. This study calls for recognition of the rights of minority shareholders in the process of nationalization of YPF.
The case had already been the subject of two negative judgments for the country by lower courts and it is estimated that it could cost the state up to $ 3 billion.
A court of appeal decided Thursday to uphold a first instance decision against the oil company. The government requests that the case be taken in Argentina.

For the government, it's a "striking" decision

The national government on Thursday appealed to the New York Court of Appeals, asking it to reconsider its decision on the state of play of the YPF trial, a decision that was made by the state government. he described as "radical".
Sources from the Treasury Department headed by Bernardo Saravi Frías said last night at "Río Negro" that a US government response was expected next month. to the Supreme Court of Justice's request for consultation in the dispute over the jurisdiction of the dispute against Argentina over the nationalization of the oil company.
"We had initially requested the Chamber to suspend the trial at first instance, which has not yet been opened and is in the preliminary stage until it is determined whether this corresponds or is no to US justice, handle the case, "explained the sources.
Government lawyers believe that the same Chamber had considered the trial "suspended" until then.
"This (new) decision is a procedural surprise that draws our attention, we made a presentation to the House and we will undoubtedly give it back," they said. "We have no worries, it's a matter of procedure, but we want to prevent the trial from moving forward, mainly because of costs," the sources said.