Javier Milei’s Government Faces Challenging Appeal for Adverse Ruling Related to Kirchner Era Economic Manipulation

Argentina ordered to pay US$337 million for manipulating Indec data under Kirchner administration

The Kirchner era, from 2007 to 2015, saw the manipulation of economic growth data in Argentina. As a result, the Government of Javier Milei has been ordered to pay approximately US$337 million in bail to appeal an adverse ruling related to this issue. This bail will be paid in a court in Great Britain as part of a trial against the country for the manipulation of economic growth data during Kirchnerism. The total sentence for this trial is about US$1.5 billion, according to reports by Bloomberg and expert Sebastián Maril.

The plaintiffs in this case are represented by the law firm Quinn Emanuel Urquhart & Sullivan, which includes Dennis Hranitzky, the lawyer who seized the Frigate Libertad in 2012. According to Maril, Argentina has created the RofA Special Trust 2024 in New York to provide a guarantee of nearly US$330 million as a condition for appealing the PBI Coupon ruling in London.

To facilitate this process, Decree 277/2024 was published in the Official Gazette by the Executive Branch. This decree authorized the creation of a model trust agreement called “RofA Special Trust 2024,” granted a Standby Letter of Credit to be held by the Trustee of Negotiable Securities, and established a Letter of Credit Facility Agreement model. The London Court of Appeal mandated that the state must pay this bail before April 5 into a trust account in order to continue with the trial involving the calculation of debt bonds known as “PBI coupons.”

In addition to paying this significant amount of money, Javier Milei’s government also faces significant legal challenges as they navigate their way through appeals related to Kirchner era manipulations and work towards reversing adverse rulings.

Overall, it is clear that Javier Milei’s government will need all their resources and expertise to navigate these complex issues and successfully appeal adverse rulings related to economic data manipulation during Kirchner era.

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