Venezuela Creditors Demand Payment on Defaulted $1.5 Billion Bond

A group of creditors has demanded payment on a $1.5 billion Venezuelan bond that is in default, their lawyer said yesterday, kicking off a long-awaited showdown between creditors and the crisis-wracked OPEC nation, Reuters reported. President Nicolas Maduro’s government and state-owned companies owe nearly $8 billion in unpaid interest and principal following this year’s default on bonds amid a hyperinflationary collapse of the country’s once-wealthy socialist economy. Five investment funds have demanded that Venezuela pay the principal and outstanding interest on its 2034 bond VE018389347=, said Mark Stancil of Washington, D.C.-based law firm Robbins Russell, who represents the group. It is the first step in a potential legal campaign by creditors to recover their investments. Read more.