In addition to the pieces below, more information on IMF thoughts on
international bankruptcy proceedings from an Anne Krueger press
conference, transcript of which is posted at
http://www.imf.org/external/np/tr/2002/tr020401.htm.
IMF outlines new plan for bankrupt countries to restructure debt: A
judicial panel would need binding international powers to override
litigation in national courts, reports Alan Beattie Financial Times; Apr
2, 2002 By ALAN BEATTIE
Anne Krueger, the International Monetary Fund's second-in-command, called
yesterday for a new international judicial panel to allow bankrupt
governments to restructure their debt without being sued by private
creditors. Ms Krueger said that such a procedure would need a change in
the IMF constitution to create binding international rules which could
override litigation in national courts.
The speech was her first major intervention on the proposed bankruptcy
procedure - often called the "sovereign Chapter 11" after similar rules in
US domestic bankruptcy law - since she declared IMF support for the
radical plan in November.
Since then, governments of several rich countries including the UK and
France have declared their support in principle for such a procedure,
while some private investors have argued against the idea. The case of
Argentina, which has entered a chaotic and unplanned debt default, has
also given the idea more prominence.