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1 UNI TED STATES DI STRI CT COURT
SOUTHERN DI STRI CT OF NEWYORK
2 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - x

3 NML CAPI TAL, LTD. , et al . ,

4 Pl ai nt i f f s,

5 v. 08 CV 6978 ( TPG)

6 THE REPUBLI C OF ARGENTI NA,

7 Def endant .

8 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - x

9 New Yor k, N. Y.
August 8, 2014
10 3: 05 p. m.

11 Bef or e:

12 HON. THOMAS P. GRI ESA,

13 Di st r i ct J udge

14

15 A P P E A R A N C E S

16
DECHERT LLP
17 At t or neys f or Pl ai nt i f f NML Capi t al , Lt d.
BY: ROBERT A. COHEN
18
FRI EDMAN KAPLAN SEI LER & ADELMAN LLP
19 At t or neys f or I nt er est ed Par t i es Aur el i us Capi t al Par t ner s
and Bl ue Angel
20 BY: EDWARD A. FRI EDMAN
DANI EL B. RAPPORT
21
MI LBERG LLP
22 At t or neys f or Var el a pl ai nt i f f s
BY: MI CHAEL C. SPENCER
23
LATHAM & WATKI NS LLP
24 At t or neys f or t he Eur o Bondhol der s
BY: CRAI G A. BATCHELOR
25


SOUTHERN DI STRI CT REPORTERS, P. C.
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1 A P P E A R A N C E S

2 ( cont i nued)

3

4 LEVI LUBARSKY & FEI GENBAUM LLP
At t or neys f or J PMor gan Chase Bank N. A.
5 BY: ALAN H. SCHEI NER

6 MORGAN LEWI S & BOCKI US LLP
At t or neys f or Cl ear st r eamBanki ng
7 BY: MARY C. PENNI SI

8 GREENFI ELD STEI N & SENI OR LLP
At t or neys f or Eur ocl ear Bank
9 BY: PAUL T. SHOEMAKER

10 GOODWI N PROCTER LLP
At t or neys f or Pl ai nt i f f
11 Ol i f ank Fund Lt d
BY: ROBERT D. CARROLL
12
CLEARY GOTTLI EB STEEN & HAMI LTON LLP
13 At t or neys f or Def endant
BY: J ONATHAN I . BLACKMAN
14 DANI EL J . NORTHROP

15 DANI EL POLLACK
Speci al Mast er
16

17

18

19

20

21

22

23

24

25


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1 ( Case cal l ed)

2 THE COURT: The r eason we ar e her e t oday i s because of

3 t he t wo- page document ent i t l ed "Legal Not i ce" whi ch appear ed on

4 t wo pages of t he Wal l St r eet J our nal and al so of t he New Yor k

5 Ti mes.

6 Last week, l ast Fr i day, we had a meet i ng, and I went

7 t hr ough at t hat t i me a compl et e st at ement of t he obl i gat i ons of

8 t he Republ i c t hat ar e r el evant t o t hi s mat t er . The Republ i c

9 had i ssued st at ement s omi t t i ng r el evant f act s about i t s

10 obl i gat i ons and, of cour se, t hat needed t o st op.

11 I t goes wi t hout sayi ng t hat dur i ng t hat meet i ng I

12 war ned t hat mi sl eadi ng st at ement s by t he Republ i c must cease,

13 and I put i t upon counsel f or t he Republ i c t o assi st i n seei ng

14 t hat t hat was done. Ther e wer e cer t ai n event s of J une 30 whi ch

15 wer e cover ed and at l east one st at ement or r ul i ng i ssued by t he

16 cour t , and I won' t go i nt o t hat . But what I was hopi ng i s t hat

17 t he par t i es woul d get back on t he t r ack of set t l ement

18 negot i at i ons under t he aegi s of t he speci al mast er who was

19 appoi nt ed t o super vi se or assi st i n such negot i at i ons.

20 I want t o say now, and I wi l l r epeat i t at t he end, i t

21 i s t hr ough set t l ement t hat obl i gat i ons whi ch need t o be honor ed

22 can be honor ed; t her ef or e, i t i s hi ghl y i mpor t ant t hat

23 set t l ement negot i at i ons go f or war d and bear f r ui t i on. I was

24 hopi ng t hat t hat woul d t ake pl ace.

25 However , on Thur sday, August 7, a t wo- page wr i t e- up


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1 ent i t l ed " Legal Not i ce" appear ed i n t he New Yor k Ti mes and t he

2 Wal l St r eet J our nal . Thi s so- cal l ed l egal not i ce i s f al se and

3 mi sl eadi ng, and t he cour t coul d not l et t i me go by wi t hout

4 maki ng i t publ i cl y cl ear what has occur r ed, and t hat i s t he

5 r eason t he cour t cal l ed t he sessi on t oday on what i s,

6 admi t t edl y, somewhat shor t not i ce. Unf or t unat el y, t hi s not i ce

7 cont i nues somet hi ng whi ch I t hought shoul d have ceased af t er

8 l ast Fr i day.

9 What t he Republ i c has done over subst ant i al t i me i s t o

10 make var i ous publ i c pr onouncement s whi ch, on t he f ace of i t ,

11 ar e supposed t o descr i be t he obl i gat i ons of t he Republ i c. But

12 t hese var i ous pr onouncement s have r egul ar l y and syst emat i cal l y

13 omi t t ed a vi t al par t of t he obl i gat i ons of t he Republ i c. The

14 Republ i c has di scussed publ i cl y i n var i ous ways t he obl i gat i ons

15 t hat i t has t o par t i es who exchanged t hei r bonds f or new bonds

16 of t he Republ i c i n 2005 and 2010. The Republ i c sur el y has

17 obl i gat i ons t o t hose exchanger s, wi t hout any doubt ; but , i t

18 al so has obl i gat i ons t o peopl e who di d not exchange and who

19 st i l l have t hei r j udgment s and who ar e j udgment cr edi t or s on

20 t hose j udgment s.

21 Ther e i s no vi r t ue i n sayi ng one ki nd of obl i gat i on i s

22 mor e i mpor t ant t han anot her . That woul d be a usel ess exer ci se.

23 The f act i s, t he Republ i c has t hese obl i gat i ons and not j ust

24 one. And i f t he Republ i c put s out publ i c i nf or mat i on

25 descr i bi ng onl y one and i ndi cat i ng t hi s i s al l t hat t he


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1 Republ i c has i n t he way of obl i gat i ons, t hat i s f al se and

2 mi sl eadi ng.

3 Thi s ki nd of t hi ng was di scussed l ast Fr i day and,

4 nat ur al l y, t he cour t war ned agai nst f ur t her f al se and

5 mi sl eadi ng publ i c pr onouncement s or st at ement s by t he Republ i c,

6 and t he cour t assumed t hat t hat war ni ng woul d be heeded. Why

7 shoul d i t not be? Li t i gant s come t o t hi s cour t al l t he t i me,

8 and i t i s not di f f i cul t t o avoi d f al se and mi sl eadi ng

9 pr onouncement s r el at i ve t o a cour t case. That i s nat ur al l y

10 done by most l i t i gant s and most at t or neys. I t i s nat ur al l y

11 done, i nst i nct i vel y done. I t has not been done her e. I

12 t hought t hat t he di scussi on hel d l ast Fr i day woul d put an end

13 t o t he f al se and mi sl eadi ng publ i c i nf or mat i on whi ch had been

14 put out by t he Republ i c. I assumed t hat i t woul d, and I asked

15 counsel f or t he Republ i c t o moni t or t hat . However , we have,

16 yest er day, a t wo- page newspaper spr ead i n t he New Yor k Ti mes

17 and i n t he Wal l St r eet J our nal , whi ch const i t ut ed anot her , yet

18 anot her , f al se and mi sl eadi ng st at ement by t he Republ i c about

19 i t s obl i gat i ons.

20 I r epeat : Yest er day i n t he t wo- page spr ead, publ i shed

21 obvi ousl y at t he r equest of t he Republ i c, i n t he Wal l St r eet

22 J our nal and The New Yor k Ti mes we had anot her f al se and

23 mi sl eadi ng descr i pt i on of t he Republ i c' s obl i gat i ons.

24 The not i ce whi ch was publ i shed i n t he pr ess descr i bes

25 t he obl i gat i ons of t he Republ i c t o par t i es who exchanged t hei r


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1 bonds and r ecei ved new bonds i n 2005 and some i n 2010. I t goes

2 on t o descr i be i n det ai l how payment i s t o be made t o t hose

3 exchanger s under t he r el evant t r ust i ndent ur e. I t omi t s,

4 however , except f or some possi bl e f r agment ar y not i ce, whi ch I

5 don' t r ecal l at t he moment , but i t omi t s any descr i pt i on of t he

6 obl i gat i on of t he Republ i c t o j udgment cr edi t or s and i t omi t s

7 any ment i on of t he l egal r equi r ement s now i mposed by t he

8 Di st r i ct Cour t and t he Cour t of Appeal s bef or e payment can be

9 made on t hese obl i gat i ons. The l at t er poi nt i s hi ghl y

10 i mpor t ant .

11 Bot h t he Di st r i ct Cour t and t he Cour t of Appeal s

12 r ecogni ze t hat , because of cer t ai n cont r act ual pr ovi si ons,

13 par t i cul ar l y somet hi ng cal l ed t he par i passu pr ovi si on, t hat

14 any payment made on any of t hese obl i gat i ons must appr opr i at el y

15 cover al l of t he obl i gat i ons. I say " appr opr i at el y, " because I

16 amnot goi ng t o t r y t o get i nt o a def i ni t i on of t he speci f i c

17 r equi r ement s. But t he basi c poi nt i s t her e. Payment cannot be

18 made i n par t and st i l l be cal l ed payment of t he obl i gat i ons.

19 Payment must deal , under t he def i ni t i on and r equi r ement of t he

20 Di st r i ct Cour t and t he Cour t of Appeal s, wi t h t he f ul l r ange of

21 obl i gat i ons.

22 Thi s shoul d not be sur pr i si ng. I f someone has a debt ,

23 say, of $10, 000 and goes up t o t he cr edi t or and says, Her e, I

24 wi l l gi ve you $8, 000, i t woul d not sur pr i se anybody i n t hi s

25 gat her i ng t oday t o f i nd out t hat t hat does not mean payment of


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1 t he debt . I t i s ver y si mpl e.

2 So payment of par t i s not payment of al l . And payment

3 her e must compl y wi t h cer t ai n r equi r ement s i mposed by l aw,

4 i mposed by t he Di st r i ct Cour t and t he Cour t of Appeal s.

5 I t hi nk I have sai d t hi s, but I want t o make sur e,

6 because I don' t want t o be abst r act : The obl i gat i ons of t he

7 Republ i c, of cour se, i ncl ude i t s obl i gat i ons t o i t s exchange

8 bondhol der s, but t hey al so i ncl ude obl i gat i ons t o t hose who di d

9 not exchange, because exchange was not r equi r ed. So t he

10 obl i gat i ons of t he Republ i c al so r un t o t he par t i es who

11 exer ci sed t hei r r i ght s and mai nt ai n t hei r j udgment s and who

12 ar e, t oday, i n t he posi t i on of bei ng j udgment cr edi t or s, a

13 posi t i on har dl y uni mpor t ant .

14 Now, t her e i s al so t he r equi r ement t hat any payment t o

15 t he exchanger s must compl y wi t h r equi r ement s t hat ar i se under

16 what i s cal l ed t he par i passu cl ause or t er m. Let i t be

17 r emember ed t hat we ar e deal i ng wi t h cont r act ual t er ms. We ar e

18 not deal i ng wi t h somet hi ng i mposed by t he cour t . We ar e

19 deal i ng wi t h cont r act ual t er ms. And who pr oposed and aut hor ed

20 t hose cont r act ual t er ms? I t was t he Republ i c of Ar gent i na.

21 And t hey di d so i n or der t o hel p mar ket t hei r bonds.

22 Now, t her ef or e, when t he so- cal l ed not i ce t al ks about

23 or asser t s t he pr oposi t i on t hat t he Republ i c has pai d, t hat

24 pr oposi t i on, as pr esent ed her e, i s f al se and mi sl eadi ng. The

25 Republ i c di d pay money t o t he i ndent ur ed t r ust ee; and t he


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1 i ndent ur ed t r ust ee, wi sel y and i n accor dance wi t h t he cour t

2 or der s i n exi st ence, hel d and has hel d t hat money. But t hat

3 di d not const i t ut e payment wi t hi n t he t er ms speci f i ed under t he

4 l aw as l ai d out by t he Di st r i ct Cour t and t he Cour t of Appeal s.

5 Consequent l y, t her e has been no payment t o t he bondhol der s, t o

6 t he j udgment cr edi t or s. Ther e has been no payment .

7 Let me r epeat : Ther e has been no payment .

8 The r eason f or t hat i s what I have expl ai ned a moment

9 ago; and, t hat i s, payment must cover what i s r equi r ed under

10 t he l aw and under t he r ul i ngs of t he Di st r i ct Cour t and t he

11 Cour t of Appeal s. That i s t he onl y way payment can be made,

12 and no such payment has been made.

13 To t he ext ent t hat t he so- cal l ed not i ce woul d l ead a

14 r eader t o t hi nk t hat some ki nd of a payment has been made - -

15 and t hat i s one of t he i mpor t ant poi nt s of t hi s so- cal l ed

16 not i ce - - such a st at ement , such an i mpl i cat i on, i s f al se and

17 mi sl eadi ng.

18 Now, t he cour t can onl y hope - - no, t he cour t can do

19 mor e t han hope. The cour t r ei t er at es i t s di r ect i on t o cease

20 and desi st f r omf al se and mi sl eadi ng publ i c pr onouncement s by

21 t he Republ i c. That must be done. And agai n I amchar gi ng

22 counsel wi t h r esponsi bi l i t y f or moni t or i ng t hat . Agai n I i ssue

23 t he war ni ng and agai n I char ge counsel .

24 I don' t want t o go f ar t her t han t hat because t he

25 r eal l y t r ul y i mpor t ant t hi ng i s t o r ecogni ze t hat t hi s mat t er


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1 wi l l not be r esol ved wi t hout a successf ul set t l ement . Maybe

2 "successf ul " i s not t he r i ght wor d. Wi t hout a set t l ement .

3 Obvi ousl y i f t he Republ i c pai d ever yt hi ng i t owed, i t woul d be

4 i n t he posi t i on of t he ki nd of j udgment debt or whi ch i s of t en

5 f ound, whi ch si mpl y pays. The i ndi cat i ons ar e t hat t hat wi l l

6 not occur . The cour t under st ands t hat t her e may be r easons why

7 i t wi l l not occur , and t hat i s why t he cour t appoi nt ed a

8 speci al mast er t o car r y out and assi st i n set t l ement

9 negot i at i ons, because i n t hi s case, t her e ar e i ssues whi ch

10 deser ve negot i at i on and whi ch deser ve r esol ut i on by set t l ement .

11 That , of cour se, l eads t o t he poi nt t hat i f t he par t i es and i f

12 t he at t or neys wi sh t o r esol ve t hi s mat t er , t her e must be

13 negot i at i on of i ssues and t her e must be a set t l ement . And

14 t her e can be a set t l ement .

15 So t hi s af t er noon t he cour t wi shes t o go no f ar t her

16 t han t o r ei t er at e what i s i n t he or der appoi nt i ng t he speci al

17 mast er , and t hat i s t hat he i s t o super vi se set t l ement

18 negot i at i ons and t he par t i es ar e t o cooper at e wi t h hi m.

19 Sur el y t her e wi l l be a cessat i on of f al se and

20 mi sl eadi ng st at ement s by t he Republ i c. Sur el y t her e wi l l be a

21 cessat i on. I f t her e i s not , i t wi l l be necessar y t o consi der

22 cont empt of cour t . But t he cour t ear nest l y, ear nest l y hopes

23 and desi r es t hat t he mat t er wi l l not get i nt o t hat post ur e and

24 t hat negot i at i ons can cont i nue.

25 I f anyone has any comment s, pl ease gi ve t hem.


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1 MR. BLACKMAN: Thank you, your Honor . J onat han

2 Bl ackman r epr esent i ng t he Republ i c of Ar gent i na.

3 As al ways, we appr eci at e what you have sai d. I t wi l l

4 cer t ai nl y, as t he cour t ' s ear l i er st at ement s have been, be

5 conveyed t o our cl i ent .

6 I have t o say a coupl e of t hi ngs.

7 One, t he ad t hat t he cour t r ef er r ed t o or t he pr ess

8 st at ement s t hat t he cour t r ef er r ed t o have not been pr epar ed by

9 my f i r m, by me, by anyone associ at ed wi t h us, and we knew

10 not hi ng about t hemunt i l I r ead t hem, pr obabl y t he same t i me

11 your Honor di d, i n t he New Yor k Ti mes yest er day. I n f act , I

12 r ead t heml at er because i t wasn' t unt i l t hi s hear i ng was

13 schedul ed t hat I got t o t hat page of t he paper i n my of f i ce as

14 a r esul t of t he hear i ng bei ng schedul ed.

15 I say t hat because t he cour t needs t o under st and t hat

16 t he Republ i c of Ar gent i na i s a st at e. The cour t knows t hat .

17 THE COURT: I s what ?

18 MR. BLACKMAN: I s a st at e. A st at e t akes posi t i ons,

19 makes deci si ons. They ar e not necessar i l y l egal deci si ons.

20 They ar e deci si ons t hat ar e made wi t hout t hei r l awyer s. Thi s

21 i s a st at ement of i t s posi t i on, f or bet t er or wor se, and I

22 can' t say mor e t han t hat .

23 I f we ar e t al ki ng about st at ement s, t hough, t hat ar e

24 f al se and mi sl eadi ng, I have t o br i ng t o t he cour t ' s at t ent i on

25 t he f act t hat t hi s week, ever y day t hi s week, an or gani zat i on


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1 cal l ed Amer i can Task For ce Ar gent i na, whi ch was cr eat ed by

2 El l i e & Associ at es, whi ch i s t he owner of t he pl ai nt i f f NML and

3 f unded by i t , has put out on i t s Web si t e f al se and mi sl eadi ng

4 st at ement s about me and about my l aw f i r m. I t has put out

5 st at ement s sayi ng t hat we ar e r esponsi bl e f or Ar gent i na' s

6 def aul t ; t hat I per sonal l y have t ol d t he pr esi dent of Ar gent i na

7 t o def aul t .

8 The next one i s ent i t l ed, " Shoul d t he Cour t Sanct i on

9 Cl ear y?" on t he gr ounds t hat our l egal r epr esent at i on of our

10 cl i ent i n t hi s case f or t he l ast 12 year s somehow r epr esent s

11 sanct i onabl e behavi or .

12 The f i nal one - - and I amgoi ng t o br i ng t hese up t o

13 your Honor so t hey can be put i nt o t he r ecor d - - shows me on

14 t he body of a vul t ur e sayi ng t hat I ama vul t ur e and my f i r m

15 ar e vul t ur es because we ar e pr eyi ng on Ar gent i na and t hat

16 somehow t hi s def aul t occur r ed so t hat my f i r mand I coul d make

17 l egal f ees. That i s f al se and mi sl eadi ng. I t i s al so

18 r epr ehensi bl e. I t i s out r ageous. The peopl e who pr epar ed

19 t hat - - and I suspect I know who t hey ar e, but I ' mnot goi ng t o

20 st oop t o t hei r l evel and name t hem- - have act ed i n a way t hat

21 i s mal i ci ous and evi l , a way t hat no one - - no human bei ng - -

22 shoul d act t owar ds anot her human bei ng. Ther e have been hi gh

23 t emper s i n t hi s case, and obvi ousl y, t he cour t knows, a gr eat

24 deal of ani mosi t y bet ween cl i ent s. But t o at t ack a l awyer and

25 hi s l aw f i r mi n t hat f ashi on per sonal l y, day af t er day, so t hat


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1 my f ami l y has t o r ead t hi s sor t of st uf f , j ust goes beyond any

2 bounds of human decency. I t i s j ust absol ut el y wr ong and

3 i mpr oper .

4 I amgoi ng t o hand up t o t he cour t copi es of t hese

5 document s so t hat t hey can be put i nt o t he r ecor d, wi t h t he

6 cour t ' s per mi ssi on, and I wi l l hand a copy t o counsel .

7 I r egr et havi ng t o br i ng up t hi s subj ect , but I f el t I

8 owed i t t o mysel f , I owed i t t o my f i r m, I owed i t t o my

9 f ami l y, and I owed i t t o our pr of essi on t o do t hat . Thi s ki nd

10 of st uf f i s f ar mor e damagi ng t o t he f abr i c of t he cour t and

11 our pr of essi on t han anyt hi ng t hat ' s been di scussed.

12 As f ar as t he subst ance, whi ch i s what we shoul d al l

13 st i ck t o, Ar gent i na has made i t cl ear t hat i t does want t o

14 engage wi t h al l of i t s cr edi t or s, j udgment cr edi t or s, ot her

15 hol dout cr edi t or s, and of cour se i t want s t o ser vi ce i t s

16 obl i gat i ons, whi ch no one quest i ons exi st , t o t he exchange

17 bondhol der s. I won' t r epeat al l t he r easons why t hat i s a huge

18 chal l enge and why, t hus f ar , t hose ef f or t s have not bor ne

19 f r ui t i on. Of cour se t hey need t o cont i nue i n some f ashi on.

20 I woul d j ust ask t he cour t t o keep i n mi nd, i n doi ng

21 t hat , t hat t he gover nment of Ar gent i na, my cl i ent , has t o be a

22 gover nment . I t has t o make st at ement s on mat t er s t hat ar e of

23 i nt ense publ i c i nt er est t o Ar gent i na. And t hose st at ement s,

24 f or bet t er or wor se, ar e not al ways - - not even of t en - - what

25 l awyer s woul d dr af t i f t hey had any r ol e i n dr af t i ng t hem.


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1 They ar e st at ement s made, j ust l i ke our pr esi dent makes

2 st at ement s, j ust l i ke t he pr esi dent of any ot her count r y makes

3 st at ement s. I woul d j ust ask t he cour t t o appr eci at e t hemi n

4 t hat cont ext and not l et what i s essent i al l y, i f I can cal l i t

5 t hat , a si de i ssue - - because ever yone knows what t hese

6 i nj unct i ons say and what t hey do and t he ef f ect t hey have had,

7 i ncl udi ng t he banks who have been bef or e your Honor - - not l et

8 t hat si de i ssue di ver t us or make t he t emper at ur e r i se f ur t her

9 f r omwhat shoul d be t he mai n event , whi ch i s t r yi ng t o r esol ve

10 t hi s ver y di f f i cul t si t uat i on.

11 Thank you.

12 THE COURT: I amver y gl ad t hat you made cl ear t hat

13 you and your f i r mdi d not pl ay a r ol e i n dr af t i ng t hi s

14 so- cal l ed not i ce. That i s a f act t hat i s hi ghl y i mpor t ant .

15 On t he ot her poi nt s you have made, I deepl y r egr et any

16 per sonal at t acks or di spar agement upon you.

17 When t he di f f er ent el ement s t hat have been di scussed

18 ar e put on t he scal e, so t o speak, i t i s i mpossi bl e f or me t o

19 negl ect t he f act t hat I pr esi ded over t hi s case f or about a

20 dozen year s. I sat on t hi s bench over and over , poi nt i ng out

21 t he f act t hat t he Republ i c of Ar gent i na had obl i gat i ons her e

22 whi ch i t was i gnor i ng, i t was i ssui ng mi sl eadi ng st at ement s

23 about , but basi cal l y was i gnor i ng. I ur ged t hat t hose

24 obl i gat i ons be honor ed despi t e t he f act t hat , under t he

25 ci r cumst ances t hat exi st ed dur i ng t hose year s, I had no abi l i t y


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1 t o compel t he Republ i c t o honor t hose obl i gat i ons. But I

2 appeal ed t o t he Republ i c as a mat t er of honor , honest y, t o

3 honor t hose obl i gat i ons. That appeal was not r esponded t o i n

4 t he sl i ght est degr ee i n a posi t i ve manner , not t he sl i ght est .

5 Year s went by. NML and ot her pl ai nt i f f s sought t o

6 f i nd asset s i n t he Uni t ed St at es t hey coul d r ecover agai nst ,

7 and t hose ef f or t s wer e unsuccessf ul . But t he Republ i c di d not

8 honor i t s basi c obl i gat i on, but hi d behi nd t he f act t hat i t was

9 a di st ant r epubl i c at t hat t i me and was shi el ded as a mat t er of

10 l aw.

11 Thi ngs changed when a new concept was i nt r oduced i nt o

12 t he case, whi ch I won' t get i nt o t he t echni cal i t i es, but a new

13 concept i nt r oduced i nt o t he case cal l ed t he par i passu doct r i ne

14 i n 2010. Thi s f i nal l y compel l ed t he Republ i c t o r ecogni ze and

15 t o begi n t o deal wi t h i t s obl i gat i ons. That pr ocess i s goi ng

16 on and hopef ul l y t hat pr ocess wi l l l ead t o set t l ement . So what

17 cannot be f or got t en i s t hat f or a dozen year s or mor e t he

18 Republ i c was not compel l ed t o and di d not do anyt hi ng t o honor

19 i t s l egal obl i gat i ons.

20 Ent i r el y apar t f r omwhat occur r ed i n cour t , apar t f r om

21 what I knew anyt hi ng about , i t may be t hat at t acks wer e made on

22 Mr . Bl ackman. I don' t r eal l y say " i t may be. " I cr edi t

23 Mr . Bl ackman. That was wr ong. Wi t hout excuse. And what I am

24 sayi ng now i s not an excuse, but i t i s, when peopl e wi t h j ust

25 causes go year af t er year af t er year , as NML and Aur el i us,


SOUTHERN DI STRI CT REPORTERS, P. C.
( 212) 805- 0300

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1 et c. , di d year af t er year af t er year , wi t hout any r ecogni t i on

2 of t hei r l egal r i ght s, i t may ver y wel l be t hat f r ust r at i on

3 devel ops and behavi or t hat i s wr ong occur s.

4 Al l of t hat occur r ed out si de of t he knowl edge and

5 r esponsi bi l i t y of t he cour t . Mr . Bl ackman had ever y r i ght t o

6 br i ng i t up t oday.

7 But , as he hi msel f r ecogni zes, i t i s not a mat t er

8 whi ch can i nt er f er e i n any way wi t h t he r eal mot i on t hat must

9 t ake pl ace i n t hi s case, and t hat i s t he movement t owar ds a

10 set t l ement . Ther e ar e peopl e who ar e bei ng har med by t he

11 pr esent ci r cumst ances, and set t l ement i s necessar y t o el i mi nat e

12 t hat har m. That i s what we want t o f ocus on now, and nobody

13 deni es t hat .

14 So l et us st i ck t o t he r esol ut i on of t he i ssues bef or e

15 t he cour t . Let us avoi d any f ur t her f al se and mi sl eadi ng pr ess

16 r el eases or st at ement s by t he Republ i c, and l et us cont i nue

17 wi t h t he pr ocess of set t l i ng t hi s case. That i s what wi l l

18 assi st r eal human bei ngs.

19 Thank you.

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21

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SOUTHERN DI STRI CT REPORTERS, P. C.
( 212) 805- 0300