This Wednesday, the Chamber of Deputies passed into law the payment of 171 million dollars to two vulture funds that litigated against Argentina for two decades. With 138 affirmative votes and 98 negative, the agreement benefiting Attestor Master ($104 million) and Banbridge ($67 million) was sanctioned. These funds bought Argentine debt securities after the 2001 default at a knockdown price, refused the swaps, and continued litigation to extract speculative profit.
The «settlement agreement» stemmed from a ruling by a US court and had a deadline of June 30. Hence the urgency of La Libertad Avanza, which secured approval just six days before the deadline, after having requested an extension due to errors in the Senate. The Upper House had already approved it with 40 votes in favor and 22 against, but on a first attempt they detected an error in the text and had to send it back to committee.
Among the positive votes were, in addition to La Libertad Avanza, the PRO, the UCR, governors of Misiones, Chubut, Neuquén, and several Peronists such as former Unión por la Patria members Carolina Moisés, Guillermo Andrada, and Sandra Mendoza, along with Flavia Royón from Salta. In the Chamber of Deputies, the same blocs supported the ruling party: former Juntos por el Cambio, former Unión por la Patria members from Tucumán, Innovación (Misiones and Salta), San Juan members from Orrego, Neuquén member from Figueroa, Garrido from Santa Cruz, the MID, and several from Provincias Unidas, such as Córdoba members from Llaryora, Lourdes Arrieta, and socialist Pablo Farías. No member of Provincias Unidas voted against. Among those absent were radicals like Pablo Juliano, Jujuy members from Sadir, and Esteban Paulón from the PS of Santa Fe.
Libertarian Bertie Benegas Lynch defended the agreement: «After 25 years we have the great opportunity to close this wound of international dishonor,» and accused opponents of being «the continuators of the 2001 default.» Silvana Giudici called it beneficial for achieving «a 30% haircut» on the US ruling. However, the haircut was questioned because the government never revealed at what price the funds bought the securities. The actual difference they will collect after 20 years of litigation, seizures of public assets such as Aerolíneas Argentinas, YPF, Banco Nación, and even gold, cannot be known.
From the left, Del Pla and Del Caño denounced that this payment is a new chapter of indebtedness. «Caputo now takes on debt to pay the debt that Caputo generated,» Del Caño launched. Itai Hagman, from Unión por la Patria, questioned that it is a payment «subordinated to a single variable: lowering country risk to re-indebt Argentina.» Hagman argued that national and popular governments tried to solve the problem by paying, despite these being illegal and illegitimate debts that ended up in the pockets of businessmen and private banks.
The Left Front insisted on the need for a «sovereign repudiation of the debt» as part of a national reorganization, and not like the capitalist defaults that dump the crisis on the working class. Meanwhile, the Argentine people once again pay the price of financial speculation.
Para mí esto es un choreo a mano armada. 171 millones de dólares a dos fondos buitres mientras la gente no llega a fin de mes. Los diputados que votaron a favor son unos vendepatria, cómplices del saqueo. Me parece que la izquierda tiene razón: esto huele a nuevo endeudamiento. ¡Aguante la lucha popular, carajo!
Para mí estos zurdos de mierda nos tienen podridos. Pagarles a los buitres es la única forma de recuperar el crédito, no son estafas, son contratos. Los que votaron en contra son unos irresponsables que quieren fundir el país. Viva la libertad carajo!