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Judge Halts Puerto Rico Bankruptcy for 4 Months

category international | anti-capitalism | news report author Wednesday July 24, 2019 23:46author by Kate Zeller - Jubilee USA Network Report this post to the editors

In a hearing on Wednesday, US District Court Judge Laura Taylor Swain told Puerto Rico's government, creditors and a federal oversight board that for 120 days all debt suits will be on hold and sent to mediation. Puerto Rico is attempting to resolve more than $72 billion in debt.

San Juan, Puerto Rico - In a hearing on Wednesday, US District Court Judge Laura Taylor Swain told Puerto Rico's government, creditors and a federal oversight board that for 120 days all debt suits will be on hold and sent to mediation. Puerto Rico is attempting to resolve more than $72 billion in debt.

"The judge's action will likely slowdown decisions on the overall bankruptcy plan that the oversight board wants approved," stated Jubilee USA Director, Eric LeCompte. LeCompte is a United Nations debt expert who testified to Congress and the oversight board on Puerto Rico's bankruptcy. "While the debt needs to be cut as soon as possible, the current chaos in Puerto Rico and the serious concerns about corruption make it difficult to make prudent bankruptcy decisions at this time."

Hundreds of thousands of people in Puerto Rico are protesting because of Governor Rosselló's offensive language in leaked communications and recent FBI arrests of former members of his administration on corruption charges.

Related Link: http://www.jubileeusa.org
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