melconian vs rep arg
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Marc
S.
Dreier MD-9713)
Joel
A.
Chernov JC-8789
ReginaM. Alter RA-7014
DREIER
LLP
499 Park Avenue
New
York, NewYork 10022
212
328-6100
SDCSDNY
DOCUMENI
ELECIEE.t3aE*1{3zfi; ,LY
FILED
DOC
M
1
DATE
FILED:
la
II0rney.s _
for 1lc1inIi[f
UNITEDSTATES
DISTRICT COURT
SOUTHERNDISTRICTOF
NEWYORK
______________________________________________________________________ __X
MICHAEL IIEEB, et al.,
07 CV 10656
TPG
against
IIE REPUBLICOF ARGENTINA,
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to the
plaintiffs
in
Lightwater
CgporationLtd. v.
e public ofArgentina, No.
02Civ.
3804,
2003
WL 1878420
.D.N.Y.
Apr.
14,
2003).
Section 22 of
the
1994 FAA, Section
6.07
of
the FRB
Agreement, Section 16 of the DPB FAA and Section 20 of the 1993 FAA,
state
that the Republic
waives sovereign immunity and consents to jurisdiction in any state or federal court
in the
borough of
Manhattan in
theCity of
NewYork.
All four
agreements
provide that the
Republics
obligations on the bonds areunconditional and that failure tomake any
payment
of principal
or
interest for
30
days after the applicable
payment
date
constitutes
an event of default. A
declaration by
the
Republic
of
a moratoriumon
the
payment
of
principal or interest
on its
public
external indebtedness is an event of default as well. Paragraph 12 of the 1994 FAA provides for
acceleration of principal if there is
a
failure
to
pay interest or a moratorium. If either of these
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Further, in or about February 13, 2007, pursuant to Section 10 e)
of
the Form
of
Discount Bond
and Par Bond
which
is
annexed
as Exhibit
to
the Collateralized Discount
Bond
and Par Bond
Exchange Agreement, dated as of December 6, 1992 the
1992
Bond Form), the Fiscal Agent
communicated
to the
holders
of
the DPB Bonds that
the
Fiscal Agent received written
communication from
the
holders of more than 25 of
the
principal amount outstanding of
the
DPB Bonds
and have
declared all
oftheDPB
Bonds
to
be immediately
due and
payable.
The bonds that are
the
subject of this action are listed hereafter. Also listed are the
amounts of the
beneficial
interests owned
by
each plaintiffl
The
following tables contain
the
necessary identifying
information
regarding each
plaintiff s
beneficial interests in bonds.
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Table
l.
\\
Plaintiff Bond Holder or MICHAEL
HEEB
Beneficial
Owner:
Face
Value: US. 20,000
C U S IP N o lS lN N o
|
l S l N N o
U S O 4 0 1 l 4 A H 3 4
__|
Date
Oflssuance: December
20, 1993
-4
Date
OfMaturitx: December 20,
2003
Interest Rate/Payable: 8.375
Date
OfPurchase:
Before
December
31, 2001
__p
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Table2.
P l a i n t i f f
B o n d H o ld e r
o r i f
R O B E R T O C L U D I O
P I T R O N C I
E L L E
Beneficial Owner:
Face
Value:
US. 15,000
CUS lP
N o lSlN
No
B B
_ i
lSlN N o US040114AR16
: _|
DateOflssuance: January
30, 1997
DateOfMaturity:
January
30 2017
__l
lnterest Rate/Payable:
11.375
Date
OfPurchase:
Before
December 31,
2001
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Table 3.
P l a i n t i f f B o n d
H o l d e r o r A L B E R T O G U I L L E R M O
H l L L C O A T
a n d E L E N A _
Beneficial
Owner:
GRAClELA MARTINEZ
F a c e V a l u e :
U . S .
1 30 000
T
C U S I P
N 0 . l 1 S 1 N N o . B B l I S I N N o . U S 0 4 0 1 1 4 A R 1 6
I
D a t e O f l s s u a n c e z
J a n u a r y
3 0 1 9 9 7 _ l
DateOfMaturity: January 30 2017
Interest Rate/Payable:
1
1.375
DateOfPurchasc:
Before
December
31,
2001
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Table 4.
PlaintiffBond Holder or ENRIQUE SEBASTIANPALACIOMINETTI,
Beneficial
Owner: Sl:BASdlAN
JOl{Gl:
PALACIO and MARIA
ES
l Il:R l
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Table
5.
P l a i n t i f f
B o n d H o l d e r
o r |
E N R IQ U E S E B A S T lA N P A L A C I O M I N E T T I
Beneficial Owner: SEBASTIAN JORGE PALACIO
and
MARIA
ESTHERFERRER
F a c e
V a l u e : T U S 25 000
C U S I P
N o I S I N N o B B I S I N N o U S 4 l
l 4 B E 9 3
4 l
DateOflssuance: April 7
1999
DateOfMaturity:
April
7
2009
InterestRate/Payable:
l l
.750
Date
Of
Purchase: BetweenDecember
2001 and
May2002
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able 6
P l a i n t i f f B o n d
H o l d e r o r T I T E N R I Q U E S E B A S T I A N P A L A C I O M I N E T T I
Beneficial
Owner:
SEBASTIANJORGEPALACIO
and
MARIA
ESTHER
F
ERRER
FaceValue:
l
U.S. 275,000
CUSIPNo. ISINNo. BB
ISIN
No. US040114AR16
D a t e O 1
I s s u a n c e :
J a n u a r y 3 0 1 9 9 7
Date
OfMaturity: January 30,
2017
I n t e r e s t R a t e / P a y a b l e :
T
1 1 . 3 7 5
D a t e O f
P u r c h a s e :
jl
B e t w e e n
D e c e m b e r
2 1
a n d
M a y 2 2
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Table 7.
P l a i n t i f f
B o n d
H o l d e r o r
E N R I Q U E S E B A S T I A N P A L A C I O M I N E T T I
SEBASTIANJORGE
PALACIOand
MARIA
B f
1 :
S TH E R F ER RE R
FaceValue: U.S.
130,000
C U S I P N o ISlN N o lSlN N o X S 4 3 1
1 9 1 4 7
:1
N13
DateOf lssuance: March 31, 1993
Date
Of
Maturity: March
31, 2023
InterestRate/Payable: 6
*
1
Date
Of
Purchase:
Between
December 2001 andMay 2002
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Table
8
Pla in t if lBond Holder or A JU SA
_|
Beneficial
Owner:
O
F a c e
V a l u e : 4 l U S
1 , 1 9 7 , 0 0 0
r e m a i n i n g v a l u e 6 7 0 , 3 2 0 )
CUSIPNo.. ISINNo.. BB ISINNo. XS0043120236
DateOf Issuance: March 31,
1993
Date
O1Maturity: March
31, 2005
Interest
Rate/Payable: FloatingInterest
Rate
DateOfPurchase: June
2001
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Table
9.
[
... r 1
laintiff Bond
1-lolder
or
LASIMIRO
KORNAS
Bene fi cia l Ow ne r:
Face
Value: U.S.
169,000
CUSlPNo..1SlNNo. BB ISIN
No.
US040114AR16
.
Date
Oi lssuanee: January
30,
1997
DateOfMaturity: January
30,
2017
Interest Rate/Payable:
1.375
Date
OfPurchase: BeforeDecember
31, 2001
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Table 10
Plaintiff
B o n d
H o l d e r o r M I G U E L A L B E R T O
B A L E S T R I N I
a n d B I B I A N A A l
Beneficial Owner: DELLA
FLORA
:
FaceValue:
U.S.
300,000
CUS IP
N o I S IN N o
B B
TIS IN
N o
US 4 4AR 6
Date
Of
Issuance:
January
30, 1997
r
Date
Of
Maturity: January
30, 2017
InterestRate/Payable: 11 375
Date
Of
Purchase:
July
20,
1999
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Table 11
\ _
Plaintiff Bond Holder or CARLOSALBERTO
MELCONIAN
BeneficialOwner:
F a c e
V a l u e :
U . S .
1 2 5 0 0 0
C U S I P N o I S 1 N
N o B B _ i 1 S 1 N N o . U S 0 4 0 1 1 4 A R 1 6
Ne
DateOflssuance: January
30, 1997
DateOf
Maturity: January
30, 2017
InterestRate/Payable: 1 1 375
Date
OfPurchase:
Before
December 31, 2001
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Table
12
_|
laintiff Bond Holder or CARLOSALBERTOMBLCONIAN
Beneficial
Owner:
Face
Value: U.S.
647,268
l
CUSIPNo., ISINNo., BB ISIN
No.
US040114GF14
1 1
.1
Date
Of Issuance: June
19, 2001
DateOfMaturity:
December
19 2008
Interest Rate/Pavable:
7
/
15.5
_J _l
Date
Of
Purchase: BeforeDecember 31,
2001
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Table 13.
V
Plaintiff
Bond Holder or LIDIA FLORINDAPIOLI, ANALIDIA LEIVAS and
Beneficial
Owner:
JUAN DOMINGO BALFS lRELLl
___|
FaceValue: U.S. 140,000
CUSIPNo.,
lSlN No. BB
[SIN
No.
US0401l4GF14
NA:
:1
Date
Of Issuance: June 19,
2001
Date
Of
Maturity:
December 19, 2008
Interest Rate/Payable: 7 15.5
Date
OfPurchase:
November 28, 2001
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DISCUSSION
This Court
has already
granted
summary judgment in other
cases
to plaintiffs seeking to
collect
on the Repub1ics
defaulted bonds
issued under the
1994
FAA the 1993 FAA the FRB
Agreement and the DPB FAA. This has occurred in Lightwate_r_ supra_ Mazzini
v. Republic
of
Argentina, No. 03 Civ. 8120,
2005
W1 743090 S.D.NY. Mar. 31, 2005 , and other cases. Only
certainspecific
issues
need
to
bediscussed in connection with thepresentmotion.
Standing
and ProofofOwnership
the
two opinions in Fontana v. Republic
of
/ggentina, 415 F.3d 238
2d
Cir. 2005 ,
and
Applestein
v.
Provinceof BuenosAires, 415 F.3d
242 2d
Cir. 2005 , the Second Circuit has
held
that
an
owner of
a
beneficial interest, such
as
plaintiffs
here,
must receive authorization
from the re istered holder of the bond before it ma sue. but that such authorization ma be
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CONCLUSION
The motion for
summary
judgment is granted Judgmentwill be entered for the principal
amount of the bonds issued under the 1994 FAA the 1993 FAA the FRB Agreement and
the
DPB FAA plus accrued interest.
The parties
shall
consult with one another concerning the
form
of the judgment and the
amounts
of
interest that should
be
awarded
in the judgment. If the parties are able to
reach
agreement, they shall jointly submit an agreed
proposed
judgment tothe
Court
to be
entered
on
a
dateagreed to by the partiesupon consultation with Chambers. If the
parties
areunable to reach
agreement
on
those subjects, plaintiff
shall
submit a
proposed
judgment to
the Court, and the