Expropriation of YPF: They Suspend the Judgment Until the US Supreme Court Is Rendered

The trial judge of the Southern District of New York, Loretta Preska, failed in favor of Argentina this Wednesday, April 1, during the suspension the lawsuit for the expropriation of YPF until the Supreme Court of the United States is published on the jurisdiction that the case should take.

The cause, which, if lost, could cost nearly US $ 3 billion, was initiated by the government. Burford background after having acquired from the Spanish courts the rights to plead, as part of the process of bankruptcy of Petersen Energía and Petersen investor companies. After that, Petersen and the Eaton Park Capital fund claimed that the country felt damaged because they felt that the Argentine state had not extended nationalization to all shareholders, but only with Repsol.

They sue YPF in the United States for 14 billion dollars

Argentina's lawyers had requested that the jurisdiction to conduct the litigation be another and not the United States.. They argued that the plaintiff wanted him to be suspended before the Preska Court until the Supreme Court ruled on the relevant court. With the resolution of the magistrate Wednesday won the Argentine position. In this way, the trial is "suspended until the highest court of the United States is made on whether or not Petersen's claim is settled in that country."

In mid-April, Argentina had suffered a setback in the context of the one million dollar lawsuit against YPF and the state of that country, following the New York justice. will make a final decision in first instance. It was the decision of the Southern District Court presided over by Preska. There, it was considered that Argentina violated the conditions of the expropriation of society. The national government appealed this decision.

Archives | Stabilization of YPF: US justice has ruled in favor of a vulture fund

The plot began in 2007, when the Petersen-Eskenazi group bought 15% of YPF, at the time in the hands of Repsol. After the nationalization of 2012, the Spanish companies Petersen Energía and Peterson Inversora left unpaid loans, did not face debts and went bankrupt. A trustee put an end to this bankruptcy by renouncing the right to sue the Argentine State in court. The buyer was Burford, a vulture fund specialized in this type of maneuver. Paid $ 14 million and now requires about $ 3 billion.

AB / FeL