Argentina's Legal Setback in Billion-Euro Court Battle

Argentina's attempt to overturn a London court ruling resulting in a 1.56 billion euro payment over GDP-linked securities was denied by the UK's Supreme Court. The decision concludes legal appeals and impacts the nation facing severe inflation, recession, and high poverty. Initial litigation by hedge funds succeeded in London’s High Court last year.

Argentina's legal efforts to reverse a London court ruling, which demanded a 1.56 billion euro payment over GDP-linked securities, have been thwarted by the UK Supreme Court, the court detailed on Monday.

Four hedge funds, controlling roughly 48% of these securities issued between 2005 and 2010, instigated the lawsuit against Argentina in 2019. London's High Court favored the hedge funds last year, leaving Argentina liable for 1.33 billion euros plus interest.

Argentina's hopes to annul this substantial financial burden were extinguished when its permission to appeal was denied by the Supreme Court on October 8, as reported by a court official and first covered by Bloomberg. This marks the cessation of all appeal options, dealing a significant blow to the nation amid burdensome inflation, a severe recession, and soaring poverty rates over 50%.

(With inputs from agencies.)