Italian Bondholders Claims Against Argentina Settled for $1.35 Billion

Compass Lexecon’s expert Dr. Pablo Guidotti was retained by counsel to Task Force Argentina (TFA), a group of 50,000 Italian individuals who hold sovereign bonds that the Argentine Republic defaulted in 2001. Dr. Guidotti assisted in determining the market conditions, government policies, and regulatory framework under which the bonds were issued, and the assurances given to foreign investors by the Argentine government, all key elements in forming investors’ risk expectations. The claims were brought to arbitration under ICSID in 2007 and were settled at $1.35 billion, for bonds worth $900 million at face value. Following ratification by Argentina’s Congress and TFA board members, the claims will be dismissed. The Compass Lexecon team supporting the testimony of Dr. Guidotti included Sebastian Zuccon and others in our Buenos Aires office. The team worked with Jonathan Hamilton and Carolyn Lamm of White & Case LLP.