The consolidation of Argentina’s alliance with China and the BRICS nations, which provides it options for its own defense, is driving the Empire’s vultures to ever greater heights of hysteria, as they realize they are losing control.
The desperate American Task Force Argentina (ATFA), the vulture fund lobby group financed by billionaire Paul Singer, issues frenzied press releases almost daily, smearing President Fernandez, warning that the country is on the verge of economic catastrophe, and continuing to lie, as recently as Sept. 3, that China will renege on its promised loans to, and investments in Argentina, because the country is said to be in “default.”
On Aug. 29, Chinese government officials clearly stated that loans and investment agreements signed by President Xi Jinping during his July 18-21 state visit to Argentina, are totally solid, and added that China will not collaborate with the vulture funds’ fishing expedition seeking information on those investments, in an effort to seize assets.
Nor are the vultures making headway in their case in Judge Thomas Griesa’s court, where Argentina refuses to capitulate. Moreover, on Sept. 3, the Argentine Senate passed by a vote of 39-27 the proposed bill for a new debt swap, that will take place outside of U.S. jurisdiction, and it is expected to pass the House on Sept. 9 and quickly become law. In a Sept. 3 teleconference in Buenos Aires organized by ATFA, NML Capital’s lawyer Robert Cohen sputtered that the bill is a “blatant violation” of Griesa’s rulings, and warned that “we will take the correct steps to ensure that this plan is not implemented.”
NML, Aurelius Capital Management and Olifant vulture funds intend to go into the Sept. 10 hearing called by Judge Griesa with guns blazing, demanding two things: the embargo of the $539 million that Argentina had deposited on June 27 in Bank of New York-Mellon to pay bondholders; and that Argentina be declared in contempt of court. According to the financial website Ambito.com, there is no guarantee Griesa will comply, as he is said to be reluctant to take a step as dramatic as seizing the $539 million, reportedly still hoping for a negotiated solution.