Statement of Daniel A. Pollack, Court-Appointed Special Master, May 31, 2017

Daniel A. Pollack
2017-06-01 01:57 1483

NEW YORK, June 1, 2017 /PRNewswire/ -- Daniel A. Pollack, appointed by United States District Judge Thomas P. Griesa to preside over settlement negotiations between the Republic of Argentina and its "holdout" Bondholders, issued the following statement today:

"I am extremely pleased to announce that the Republic of Argentina last night reached a settlement agreement for $162,750,000 of a 10-year litigation with several large, Luxembourg- and British Virgin Islands-based investment funds known familiarly as the HWB Entities.  These funds include HWB Victoria Strategies Portfolio, HWB Funds and U.V.A. Vaduz as well as a wide range of individual investors in the funds.  The common thread among the various HWB Entities is Herr H. Willi Brand, a money manager with offices in Luxembourg.  The individual investors in the funds are primarily from Germany. Settlement talks were held under my supervision last November, but no agreement was reached at that time.  Several weeks ago the HWB Entities attempted, unsuccessfully, to attach two military helicopter engines belonging to the Argentine Air Force in repair at GE facilities in the United States.  Judge Griesa at that time directed the parties to re-appear before me as Special Master in a renewed effort to settle the dispute. This time, with the productive involvement of Secretary of Finance Santiago Bausili, Herr Brand and their respective New York counsel, Carmine Boccuzzi and Jay Auslander, the settlement negotiations proved successful.  The bonds in question were both dollar-denominated bonds and Euro-denominated bonds.  The settlement was within the parameters of the Propuesta published by the Republic of Argentina on February 5, 2016.  With this settlement, the Republic of Argentina believes that approximately 98 percent of all 'holdout' bondholder claims against the Republic of Argentina on defaulted bonds have now been resolved.  It is my hope that the few remaining 'holdout' claims will be resolved in the next six to 12 months.

"I will have no further comment on the settlement at this time."

Source: Daniel A. Pollack