Argentina: Still in the hole for $185 million

The Supreme Court on Wednesday revived a $185 million arbitration award British energy company BG Group PLC won against Argentina in 2007.

The high court, in an opinion by Justice Stephen Breyer, reversed a lower-court ruling that said the arbitration process that led to the award was invalid.

The case dates back to Argentina’s 2001-2002 economic crisis. BG alleged the Argentine government destroyed its investments in the country’s natural-gas distribution sector through a series of state actions. The company also said Argentina threatened businesses with serious penalties if they challenged the government’s crisis-era actions in that country’s courts.” target=”_blank”>The high court, in an opinion by Justice Stephen Breyer, reversed a lower-court ruling that said the arbitration process that led to the award was invalid.

The case dates back to Argentina’s 2001-2002 economic crisis. BG alleged the Argentine government destroyed its investments in the country’s natural-gas distribution sector through a series of state actions. The company also said Argentina threatened businesses with serious penalties if they challenged the government’s crisis-era actions in that country’s courts.

The BG Group case, by the way, is not the defaulted bonds case.

Tags: , ,

One Response to “Argentina: Still in the hole for $185 million”

  1. The Goodbye, Columbus Carnival of Latin America and the Caribbean | Fausta's Blog Says:

    […] more important stories were in the headlines, Cristina Fernandez took the cake by attempting to remove all traces of […]