Oi SA's decision to request protection from creditors in June accelerated discussions between Brazil's government and phone carriers to revamp telecommunications licensing regulations, said Igor Freitas, a board member at industry watchdog Anatel. Brazil's new centre-right government is pushing through Congress an authorization-based model for the telecoms industry, which will allow companies to own the assets after making infrastructure investments. Under the existing framework, fixed-line assets are returned to the state after the concession expires.

Venezuela's government-run oil giant -- the country's largest source of cash -- is warning that it could default on its bonds as early as next week, CNN reported. Petroleos de Venezuela S.A., or PDVSA, failed to get investors to agree on a deal to push back debt payments by three years. The company said it is extending its deadline for a third time so investors can accept a deal by Friday night. This time, it warned that things could get messy.

An activist minority shareholder in Oi SA urged the Brazilian phone carrier's board to revamp a bankruptcy protection plan presented last month, in a bid to neutralize growing pressure from large creditors like bondholders and banks. In a letter sent to Chairman José Mauro Carneiro da Cunha dated Oct. 14, shareholder Nelson Tanure said Oi's in-court restructuring needed to be designed in a way that favors the survival of the company and not creditors. He urged stricter cost-cutting efforts and a stance toward austerity. Reuters viewed the letter.

The head of Brazil's telecom watchdog Anatel said on Monday it was not the government's goal to intervene in Oi SA but that it must "be prepared" to do so should the country's largest fixed-line carrier fail to resolve its debt problems during bankruptcy proceedings, Reuters reported. Anatel plans to let Oi's reorganization run its course before deciding on any possible action, Juarez Quadros said in an interview on the sidelines of a telecoms event in Sao Paulo. The proceedings began on June 20.

A judge ruled that Brazil’s former President Luiz Inácio Lula da Silva must stand trial for allegedly using his influence to obtain government loans for a construction company seeking contracts in Angola, the prosecutors’ office said Thursday, The Wall Street Journal reported. Judge Vallisney de Souza Oliveira accepted charges filed Monday by prosecutors in Brasília accusing Mr. da Silva of corruption, money laundering, influence peddling and conspiracy. If found guilty, Mr. da Silva, who led Brazil from 2003 to 2010, could face up to 35 years in prison. Mr.

Brazil’s federal prosecutors on Monday filed new corruption charges against former President Luiz Inácio Lula da Silva, this time for allegedly using his influence to obtain government loans for a Brazilian construction company in exchange for kickbacks paid to his nephew, prosecutors said. Mr. da Silva was charged with corruption, money laundering, influence peddling and conspiracy. If found guilty of the charges, Mr. da Silva, who led Brazil from 2003 to 2010, could face up to 35 years in prison. A judge in Brasília would have to accept the charges for Mr. da Silva to face trial.

PDG Realty SA said that it continues to discuss options with its financial advisers, denying a newspaper report that it would soon file for bankruptcy protection, the Brazilian homebuilder said in a securities filing, Reuters reported yesterday. PDG said that it is still weighing alternatives to strengthen its capital structure and restructure its finances, the company said in the filing.

Venezuela’s state-owned oil company offered an improved deal to bondholders as it seeks to push back debt payments coming due this year and next, Bloomberg News reported today. Petroleos de Venezuela SA said that it will pay investors as much as 1.22 times the face value of the notes they hold in exchange for longer-maturity securities, after offering no price premium in a proposal Sept. 16. While the original swap offer was for $7.1 billion of bonds, PDVSA said yesterday that it wouldn’t swap more than $5.325 billion of securities.

Argentina’s shrinking economy and high unemployment are triggering ever-louder grumbling from its citizens, posing problems for President Mauricio Macri in a country where economic discontent has undone previous leaders, The Wall Street Journal reported. The difficulty for Mr. Macri is that he promised it wouldn’t be like this. When he took office in December vowing to slash inflation and jump-start the economy, he told Argentines they could look forward to a brighter future in the second half of this year.

Venezuela’s petroleum industry, whose vast revenues once fueled the country’s Socialist-inspired revolution, underwriting everything from housing to education, is spiraling into disarray, the International New York Times reported. To add insult to injury, the Venezuelan government has been forced to turn to its nemesis, the United States, for help.