April 23, 2015

Argentine Gov’t defies ‘vultures’ with dollar bond issue

Debt paying 8.75% sees lots of interest, is oversubscribed three times.

Argentina had its most successful foray into dollar markets yesterday since its debt repayments were blocked by New York District Judge Thomas Griesa last year, selling US$1.4 billion in bonds despite attempts from “vulture fund” NML Capital to scare off potential investors earlier in the day.

Economy Minister Axel Kicillof had initially aimed low, saying the government would only be looking to raise US$500 million, maybe expanding to US$600 million if market conditions looked good, but the country was offered three times that amount: US$1.88 billion in total. “The vulture funds failed at scaring off investors. But the idea that Argentina is disconnected from the world is now completely dead after the offers we received,” Kicillof told the press during his visit to Russia.

“It is clear also that holdouts do not have the capacity to interrupt an issue like this,” said Jorge Piedrahita, CEO of broker Torino Capital. “It will be positive to the extent that Argentina can still issue paper.”

This is probably one of the reasons why NML Capital was so quick to react against the proposal, fearing it would reduce its leverage over Argentina. The country could decide to postpone a full repayment or negotiated settlement with what it calls “vulture funds” if it starts findings ways to maneuver around the sanctions imposed by Griesa for refusing to accept holdouts’ demands.

The US dollar-denominated Bonar 2024s are also seen as outside the reach of U.S. courts, as they were not part of the 2005 and 2010 restructurings contested by holdout creditors.

At: http://buenosairesherald.com/article/187369/gov%E2%80%99t-defies-%E2%80%98vultures%E2%80%99-with-dollar-bond-issue

April 21, 2015

Rupert Murdoch berated Sun journalists for not doing enough to attack Ed Miliband

Adam Sherwin and Oliver Wright
The Independent
21 April

Rupert Murdoch berated journalists on his tabloid papers for not doing enough to stop Labour winning the general election and warned them that the future of the company depended on stopping Ed Miliband entering No. 10.

The proprietor of Britain’s best-selling tabloid warned executives that a Labour government would try to break up News Corp, which owns The Sun, The Times, and The Sunday Times. He instructed them to be much more aggressive in their attacks on Labour and more positive about Conservative achievements in the run-up to polling day, sources told The Independent.

The News Corp. boss, who has made no secret of his dislike of the Labour leader, told the editor of The Sun, David Dinsmore, that he expected the paper to be much sharper in its attacks on Labour.

At: http://www.independent.co.uk/news/media/rupert-murdoch-berated-sun-journalists-for-not-doing-enough-to-attack-ed-miliband-10191005.html
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My thanks to Don Viejo for bringing this up at the Latest Breaking News forum.

April 20, 2015

Argentine Court of Cassation dismisses Nisman cover-up allegations

Source: Buenos Aires Herald

The Court of Cassations has refused to take on the criminal complaint formulated by late AMIA lead investigator Alberto Nisman, in which he accused President Cristina Fernández de Kirchner and other government officials of covering up those responsible for the deadly 1994 bombing.

The chamber is Argentina's highest judicial authority for appeals, leaving the docket composed by the former prosecutor in limbo after being dismissed on no less than three instances.

Read more: http://buenosairesherald.com/article/187258/court-of-cassation-dismisses-nisman-coverup-allegations

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These were the Nisman cover-up claims that the Secretary-General of Interpol at the time, Ronald Noble, debunked three months ago already.

This is an election year in Argentina; and while Mrs. Kirchner herself isn't running, her populist Front for Victory (FpV) is polling at or near the top in opinion polls just six months out. The FpV is the closest thing to Elizabeth Warren and Bernie Sanders in Argentina. They've been in office for 12 years, during which real GDP doubled, poverty and unemployment fell by 70%, social programs and unions were revitalized, and real wages in Argentina rose by 75%. And yes: right-wingers hate them with the same virulent racism Teahadists hate Obama and Democrats.

The Argentine right wing (sponsored by the likes of neocons, Netanyahoo, GOP megadonor and Caymans bankster Paul Singer, and other vulture funds) has nevertheless been playing tag with this fable ever since, going from one Ken Starr-like prosecutor to another in the hope of keeping this going. This Appeals Court dismissal was their last real chance.

Definitely something we on DU can relate to given the never-ending GOP witch hunts against the Clintons and Obamacare.

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April 17, 2015

Former IMF Director & Spanish Deputy Prime Minister Rodrigo Rato Arrested For Money Laundering

Source: The Spain Report

Former IMF director, Spanish Deputy Prime Minister, Economy Minister and chairman of Bankia Rodrigo Rato was arrested by anti-fraud police at his home in central Madrid on Thursday evening on charges of money laundering, fraud and defrauding creditors.

Tax and customs officials began searching his house on Thursday evening, El Mundo reported. Following his arrest, Mr. Rato was taken by police to an office in Madrid where a second search was carried out.

VozPópuli reported on Tuesday that Mr. Rato was one of 705 suspects being investigated by Spanish anti-fraud authorities for money laundering and that “Rato is not the only illustrious name in this list of taxpayers.”

Read more: https://www.thespainreport.com/16020/spanish-tax-officials-searching-home-of-former-imf-boss-spanish-deputy-prime-minister-rodrigo-rato/

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Some may remember the aptly-named Mr. Rato as the former Director of the IMF from 2004 to 2007. It was Rato's objections -and of course, Dubya's- that were mainly responsible for the failure to adopt a global debt restructuring mechanism at the time. Vulture funds owe their continued existence to the lack of such a mechanism (they owe their successes in New York courts -the only ones that give them the time of day- to other per$uasion$).

Banksters of a feather...