February, 12 2016, 10:30am EDT
US Judge Explores Lifting Argentina Sanctions After Country Offers $6.5 Billion to Hold-Out Investors
US District Judge Thomas Griesa ordered "hold-out" investors on Thursday to explain why various sanctions on Argentina should not be lifted. The court order comes in light of Argentina proposing a $6.5 billion settlement to the groups popularly known as "vulture funds."
WASHINGTON
US District Judge Thomas Griesa ordered "hold-out" investors on Thursday to explain why various sanctions on Argentina should not be lifted. The court order comes in light of Argentina proposing a $6.5 billion settlement to the groups popularly known as "vulture funds."
"Judge Griesa is appropriately pushing the funds to take the deal," said Eric LeCompte, the head of Jubilee USA and a UN debt expert who tracked the case for six years. "The hold-out funds won and should let Argentina return to the markets. I'm surprised they haven't taken a deal that results in such massive profits."
Argentina requested the order after it made the offer to the remaining investors last week. The deal constitutes a value of 75% of the original value of the defaulted debt. Two funds, Dart Management and Montreux Equity Partners, accepted the deal. However the deal can't move forward until four other principle funds accept it. The remaining hold-outs are Elliott Management, Aurelius Capital Management, Davidson Kempner Capital Management and Bracebridge Capital.
"These funds are poised to make a 1000% profit after buying the debt for pennies on the dollar," said LeCompte. "It's baffling why they wouldn't accept such a deal and Judge Griesa is starting to push them to take it."
According to Reuters who reviewed court papers, Argentina's lawyers are asking the judge to vacate injunctions that would let Argentina access capital markets to fund the settlements and force the remaining "hold-outs" to accept "reasonable terms."
The $6.5 billion offer must be approved by the remaining hedge funds involved in the dispute and then gain approval from a US judge and Argentina's legislature.
The dispute stems from Argentina's 2001 debt default. Afterwards, 92% of Argentina's investors accepted a settlement offer that restructured the South American country's debt. Among the groups that rejected the deal were a group of hedge funds that had bought Argentina's debt cheaply after the default. They sued Argentina in US courts and eventually won a ruling ordering Argentina not to pay the majority of its investors until it paid the "hold-outs" in full. During that legal dispute, the US government, International Monetary Fund and United Nations expressed opposition to the hold-outs' actions.
"On the downside, Argentina's settlement represents a validation of a predatory business model," noted LeCompte, whose organization filed a 2014 brief to the Supreme Court because it was concerned how the precedent could impact other countries. "We need financial structures in place to protect countries from this kind of behavior."
Read a timeline of Argentina's debt crisis
Read Jubilee USA's Amicus Brief to the Supreme Court
Jubilee USA Network is an interfaith, non-profit alliance of religious, development and advocacy organizations. We are 75 U.S. institutions and more than 750 faith groups working across the United States and around the globe. We address the structural causes of poverty and inequality in our communities and countries around the world.
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'Blood on Their Hands': 79 US Senators Approve Billions More in Military Aid for Israel
Sen. Bernie Sanders, one of just three Senate Democratic caucus members to oppose the bill, said that "U.S. taxpayers should not be providing billions more to the extremist Netanyahu government."
Apr 24, 2024
With the support of nearly 80% of the chamber's lawmakers, the U.S. Senate on Tuesday approved a sprawling foreign aid package that includes $17 billion in unconditional military assistance for the Israeli government as it ramps up its catastrophic assault on the Gaza Strip.
The final vote on the $95 billion package, which also included military aid for Ukraine and Taiwan, was 79-18, with just three members of the Senate Democratic caucus—Sens. Bernie Sanders (I-Vt.), Peter Welch (D-Vt.), and Jeff Merkley (D-Ore.)—and 15 Republicans opposing the bill.
Sanders called Tuesday "a dark day for democracy," condemning the upper chamber's refusal to even allow a vote on his proposed amendment to cut offensive military aid to Israel from the legislation.
"I voted no tonight on the foreign aid package for one simple reason: U.S. taxpayers should not be providing billions more to the extremist Netanyahu government to continue its devastating war against the Palestinian people," Sanders said in a statement following the vote. "Thirty-four thousand Palestinians have already been killed and 77,000 have been wounded—70% of whom are women and children."
"The housing in Gaza is destroyed; the infrastructure in Gaza is destroyed; the healthcare system in Gaza is destroyed; the educational system in Gaza is destroyed," Sanders added. "Enough is enough. No more money for Netanyahu's war machine."
The bill, which passed the House over the weekend, now heads to the desk of President Joe Biden, who is expected to sign it in the coming days.
"That Congress passed many billions of dollars for new weaponry for Israel that will be used to devastate Gaza, and could be used in a war against Iran, is deeply disturbing," said the National Iranian American Council.
The 79 senators who voted to pass Biden's foreign aid bill/expand Israel's genocide in Gaza: pic.twitter.com/bVQisvOndd
— Stephen Semler (@stephensemler) April 24, 2024
Overwhelming congressional and White House support for arms and military support stands in stark contrast to U.S. public opinion, which has increasingly turned against Israel's assault on Gaza in recent months as the grisly death toll and humanitarian emergency have worsened and evidence of Israeli war crimes has mounted.
As Tuesday's vote took place, thousands of Jewish New Yorkers and allies rallied outside of Senate Majority Leader Chuck Schumer's (D-N.Y.) home to voice outrage over U.S. lawmakers' growing complicity in Israel's military assault.
"We're here as thousands of Jewish New Yorkers, calling on Senator Schumer to halt weapons funding to Israel as it massacres and starves Palestinians in Gaza," said Eva Borgwardt, national spokesperson for IfNotNow, one of the groups that organized the mass demonstration on the second night of Passover.
A Gallup survey released last month found that 55% of U.S. voters—including 75% of Democrats, 60% of Independents, and 30% of Republicans—disapprove of Israel's military assault on Gaza. A separate poll commissioned by the Center for Economic and Policy Research showed that a majority of American voters support halting U.S. weapons shipments to Israel.
Since October, the Biden administration has quietly approved more than 100 arms sales to Israel, flouting U.S. laws that prohibit weapons deliveries to countries that are violating human rights or blocking American humanitarian aid.
"As I have said countless times, sending Prime Minister Benjamin Netanyahu's government the munitions it is using to destroy Gaza is wrong and inconsistent with our foreign policy goals," Welch said Tuesday after voting against the aid package. "It is unthinkable that an ally of the U.S. would conduct its military campaign with planes, tanks, bombs, and artillery supplied by the U.S., while impeding access for aid trucks to destitute civilians under its occupation."
"Urgent calls for peace are loudly echoing across the country but seem to fall on deaf ears on Capitol Hill."
Days before the Senate vote, mass graves were discovered at two Gaza hospitals that Israeli forces recently raided and destroyed. The United Nations Human Rights Office on Tuesday demanded an international probe into the mass graves, noting that bodies of Palestinians were found stripped naked with their hands tied.
"Victims had reportedly been buried deep in the ground and covered with waste," Ravina Shamdasani, a spokesperson for the U.N. High Commissioner for Human Rights, told reporters in Geneva on Tuesday.
One Gaza official toldCNN that a total of 300 bodies were found in a mass grave at the Nasser Medical Complex in Khan Younis and that "there were signs of field executions."
"The U.S. government is arming a regime creating mass graves in Gaza, indeed turning all of Gaza into a mass graveyard," Sarah Leah Whitson, executive director of Democracy for the Arab World Now, wrote on social media Tuesday.
On the heels of the Senate vote, Agence France-Pressenoted that one of its correspondents and eyewitnesses "reported heavy bombardment of several areas of northern Gaza."
"Early Wednesday, hospital and security sources in Gaza reported Israeli air strikes in Rafah, as well as the central Nuseirat refugee camp," the outlet reported.
The anti-war group CodePink said in a statement after Tuesday's vote in the U.S. Senate that "urgent calls for peace are loudly echoing across the country but seem to fall on deaf ears on Capitol Hill."
"People and the planet desperately need healthcare, housing, and climate justice, not a further descent into darkness through this massive war bill that funds death and destruction," the group added. "Every elected official who voted in favor of this bill has blood on their hands."
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Defeating 'MAGA Dark Money,' Summer Lee Wins Primary in Landslide
"This is a huge testament to our collective strength and resilience as a progressive movement," said the executive director of Justice Democrats.
Apr 24, 2024
U.S. Rep. Summer Lee, a member of the progressive "Squad," won the Democratic primary for Pennsylvania's 12th Congressional District on Tuesday, fending off an opponent whose campaign was backed by a billionaire Republican megadonor and ally of Israeli Prime Minister Benjamin Netanyahu.
Lee, a vocal critic of the Netanyahu government and leading supporter of a cease-fire in Gaza, handily defeated Bhavini Patel, a borough councilmember in Edgewood, Pennsylvania whose effort to unseat the progressive incumbent was bankrolled by Jeffrey Yass, the state's richest man. Patel actively courted Republican and pro-Israel voters, characterizing Lee as "fringe."
With more than 95% of the vote counted, Lee is ahead of Patel by more than 20 percentage points.
"I am so humbled and proud to win my first primary reelection to be the congresswoman for this incredible district I've spent my life fighting for," Lee said after the race was called in her favor. "Our campaign was built on a record of delivering for our democracy, defending our most fundamental rights, and expanding our vision for what is politically possible for our region's most marginalized communities."
"Our victory is a rejection of right-wing interests and Republican billionaires using corporate super PACs to target Black and brown Democrats in our primaries—be it AIPAC or Moderate PAC or any other MAGA billionaire in Democratic clothing," Lee added. "Western PA is the blueprint for the future all of America deserves."
Opposing genocide is good politics and good policy. #CeasefireNOWÂ https://t.co/A7pnJNskWS
— Summer Lee (@SummerForPA) April 24, 2024
Through the misleadingly named Moderate PAC, Yass—a prolific tax dodger who has been floated as a possible treasury secretary pick if former President Donald Trump wins another term—spent hundreds of thousands of dollars boosting Patel and attacking Lee.
Rahna Epting, executive director of MoveOn Political Action, said that by ushering Lee to victory, residents of Pennsylvania's 12th District "soundly rejected MAGA dark money."
"MoveOn members are ready to defeat this dangerous flood of dark-money spending against progressive champions and ensure that we continue to elect working-class people to Congress," said Epting.
"Now that it's clear Summer won her primary, AIPAC's super PAC has already officially failed at their one goal for this cycle: taking out the entire Squad."
During her 2022 campaign, Lee faced and overcame huge spending by the powerful pro-Israel lobbying group AIPAC via its super PAC, the United Democracy Project. But the organization opted to stay on the sidelines this time around, even as it plans to spend $100 million to defeat progressives in this year's cycle amid growing public opposition to Israel's war on Gaza.
"They had every intention of spending in this race—but they didn't, because they realized they would likely lose," Justice Democrats executive director Alexandra Rojas wrote in an email late Tuesday. "And that is because all of us had Summer's back and supported her campaign to out-organize AIPAC in every way."
"This is a huge testament to our collective strength and resilience as a progressive movement," said Rojas. "Now that it's clear Summer won her primary, AIPAC's super PAC has already officially failed at their one goal for this cycle: taking out the entire Squad."
While AIPAC ultimately sat out the Pennsylvania race, it is devoting considerable resources to ousting other progressive lawmakers, including Reps. Jamaal Bowman (D-N.Y.) and Cori Bush (D-Mo.).
The pro-Israel lobbying group has endorsed Bush challenger Wesley Bell, calling him a "strong advocate for the U.S.-Israel relationship." As The Guardianreported last week, Bell has "raised more than $650,000 in earmarked contributions through the group Democracy Engine Inc. PAC—a donation platform that allows unpopular PACs to obscure their donations and lists AIPAC as a client on its LinkedIn page."
AIPAC is the largest donor to Bowman challenger George Latimer, who has supported Israel's war on Gaza and denied that Israel is committing genocide. The Democratic primary for New York's 16th Congressional District is on June 25.
We must be clear-eyed about what's next. @JamaalBowmanNY & @CoriBush are facing an existential threat from AIPAC, their GOP megadonors, and the politicians willing to compromise on core Democratic values to try to take a school principal & nurse out of Congress. #ProtectTheSquad
— Justice Democrats (@justicedems) April 24, 2024
Michele Weindling, political director of the youth-led Sunrise Movement, said Tuesday that following Lee's victory, "we're ramping up to take on AIPAC in Jamaal Bowman's race."
"With a candidate like George Latimer willing to sell their lies to the district, we are going to prove once again that a politician's commitment to their community beats dark money every time," said Weindling. "Whether it's in Pittsburgh or New York, Minneapolis or St. Louis, our generation is going to send billionaires packing and reelect the squad."
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Critics Blast 'Reckless and Impossible' Bid to Start Operating Mountain Valley Pipeline
"The time to build more dirty and dangerous pipelines is over," said one environmental campaigner.
Apr 23, 2024
Environmental defenders on Tuesday ripped the company behind the Mountain Valley Pipeline for asking the federal government—on Earth Day—for permission to start sending methane gas through the 303-mile conduit despite a worsening climate emergency caused largely by burning fossil fuels.
Mountain Valley Pipeline LLC sent a letter Monday to Federal Energy Regulatory Commission (FERC) Acting Secretary Debbie-Anne Reese seeking final permission to begin operation on the MVP next month, even while acknowledging that much of the Virginia portion of the pipeline route remains unfinished and developers have yet to fully comply with safety requirements.
"In a manner typical of its ongoing disrespect for the environment, Mountain Valley Pipeline marked Earth Day by asking FERC for authorization to place its dangerous, unnecessary pipeline into service in late May," said Jessica Sims, the Virginia field coordinator for Appalachian Voices.
"MVP brazenly asks for this authorization while simultaneously notifying FERC that the company has completed less than two-thirds of the project to final restoration and with the mere promise that it will notify the commission when it fully complies with the requirements of a consent decree it entered into with the Pipeline and Hazardous Materials Safety Administration last fall," she continued.
"Requesting an in-service decision by May 23 leaves the company very little time to implement the safety measures required by its agreement with PHMSA," Sims added. "There is no rush, other than to satisfy MVP's capacity customers' contracts—a situation of the company's own making. We remain deeply concerned about the construction methods and the safety of communities along the route of MVP."
Russell Chisholm, co-director of the Protect Our Water, Heritage, Rights (POWHR) Coalition—which called MVP's request "reckless and impossible"—said in a statement that "we are watching our worst nightmare unfold in real-time: The reckless MVP is barreling towards completion."
"During construction, MVP has contaminated our water sources, destroyed our streams, and split the earth beneath our homes. Now they want to run methane gas through their degraded pipes and shoddy work," Chisholm added. "The MVP is a glaring human rights violation that is indicative of the widespread failures of our government to act on the climate crisis in service of the fossil fuel industry."
POWHR and activists representing frontline communities affected by the pipeline are set to take part in a May 8 demonstration outside project financier Bank of America's headquarters in Charlotte, North Carolina.
Appalachian Voices noted that MVP's request comes days before pipeline developer Equitrans Midstream is set to release its 2024 first-quarter earnings information on April 30.
MVP is set to traverse much of Virginia and West Virginia, with the Southgate extension running into North Carolina. Outgoing U.S. Sen. Joe Manchin (D-W.Va.) and other pipeline proponents fought to include expedited construction of the project in the debt ceiling deal negotiated between President Joe Biden and congressional Republicans last year.
On Monday, climate and environmental defenders also petitioned the U.S. Court of Appeals for the D.C. Circuit, challenging FERC's approval of the MVP's planned Southgate extension, contending that the project is so different from original plans that the government's previous assent is now irrelevant.
"Federal, state, and local elected officials have spoken out against this unneeded proposal to ship more methane gas into North Carolina," said Sierra Club senior field organizer Caroline Hansley. "The time to build more dirty and dangerous pipelines is over. After MVP Southgate requested a time extension for a project that it no longer plans to construct, it should be sent back to the drawing board for this newly proposed project."
David Sligh, conservation director at Wild Virginia, said: "Approving the Southgate project is irresponsible. This project will pose the same kinds of threats of damage to the environment and the people along its path as we have seen caused by the Mountain Valley Pipeline during the last six years."
"FERC has again failed to protect the public interest, instead favoring a profit-making corporation," Sligh added.
Others renewed warnings about the dangers MVP poses to wildlife.
"The endangered bats, fish, mussels, and plants in this boondoggle's path of destruction deserve to be protected from killing and habitat destruction by a project that never received proper approvals in the first place," Center for Biological Diversity attorney Perrin de Jong said. "Our organization will continue fighting this terrible idea to the bitter end."
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