For Immediate Release
Supreme Court Blocks Puerto Rico Debt Restructuring Law
Religious Development Coalition Releases Statement
WASHINGTON - The United States Supreme Court ruled 5-2 and upheld a lower court decision that prevents Puerto Rico's courts from restructuring some of its debt. The high court reaffirms the Puerto Rico Recovery Act is unconstitutional. The decision impacts about $20 billion of Puerto Rico's $72 billion in total debt. The House of Representatives passed legislation on June 9th (the Puerto Rico Oversight, Management and Economic Stability Act, HR 5728) to allow Puerto Rico to restructure all of its debt. The Senate is likely to vote on a version of that legislation before July 1st.
Eric LeCompte, the executive director of the religious development coalition Jubilee USA, releases the following statement:
"The only immediate options we have to deal with Puerto Rico's financial crisis is Congressional action or direct negotiations between the island's government and creditors.
Read the Supreme Court's ruling
Read a timeline of Puerto Rico's debt crisis