It's been nearly a decade since hedge fund Elliott Management's 15-year battle royal with the government of Argentina — and advocates, investors and legislators are still trying to prevent a repeat.
His motivation also seems much bigger than addressing holdout legal procedure — or even than what could be accomplished in the confines of New York law. He wants to reset the relationship between borrower and lender."The decisions that had to be made by the government of Puerto Rico, to be able to pay back what was demanded of them by the vulture funds that lent to Puerto Rico, meant that schools had to close, meant that state agencies would have to get rid of employees," he said.
The bill requires debtor countries to choose one of two options: Reorganize under a new, bankruptcy-like procedure overseen by an independent monitor ; or force private sector bondholders to accept the same treatment that official sector creditors receive.to oversee its bankruptcy — it's a U.S. territory, after all — which appears analogous to the bill's first option. Taking a page from the U.S.