Argentine Government found herself in position of bankruptcy – which means that admits inability to pay its debts.
This South American country declared bankruptcy for the second time in 13 years. Current debt of $ 1.3 billion came just as the previous one in 2001, when hedge funds bought government bonds at a reduced price.
Argentine officials to the last tried to sign a contract extension with the funds, but last night the last round of negotiations fail.
The U.S. court dealing with the dispute between the parties, issued a ruling pretrial settlement between the parties to be completed by Thursday morning 4:00 GMT.