The Argentine government had filed an urgent motion in US Appeals Court last Friday to stay the hold order requiring the government to pay USD1.33 billion to its bondholders. This case stems from bondholders seeking repayment for their investments after the country's default back in 2002.

The country had filed with the 2nd US Circuit Court of Appeals in New York to leave that stay in place pending a US Supreme Court review of a court ruling that have favored bondholders. The appeal stems from the sovereign debt default of Argentina that occurred in 2002.

In its filing, Argentina's lawyers said, "Vacating the stay now will expose the Republic and innocent third parties to a potential court ordered default on over USD24 billion."

There have been two restructurings conducted in 2005 and 2010 which saw creditors with 93% of the debts entered into an agreement for a bond swap deal worth between USD0.25 and USD0.29 cents to the dollar. There are those bondholders that did not agree to the swaps, such as hedge funds Elliott Management Corp's NML Capital Ltd and Aurelius Capital Management LP. They are the main plaintiffs in this suit heard before the Manhattan court.