Bush Could Block Debt Collection by 'Vulture' Funds
by Ashley Seager, Economics Correspondent
Thursday February 22, 2007
Guardian (London)
President Bush could come to the aid of Zambia against a so-called “vulture” fund demanding millions of dollars in debt payments. He is reported to be concerned that investors from the Washington DC area won a court case in Britain last week which enabling them to claim $20m to $40m (£20m) from the poor African nation – as much as it has received in debt relief from rich countries in recent years.
REP. JOHN CONYERS: Well, we talked essentially about Iraq, Katrina and the domestic breakdown that’s going on right now. But it was my job, I felt, to raise the whole question of this bond speculation that goes on at the expense of poor debtor countries, in which their debt is bought up and then they’re sued for the full amount. It’s bought up at pennies on the dollar,