The nationalization of Aerolíneas Argentinas and Austral driven by Kirchnerism in 2008 has once again left a hefty bill for all Argentinians. The U.S. Justice confirmed that the State must pay USD 390.9 million, plus interest, to the Titan Consortium for the expropriation ordered during the government of Cristina Kirchner.
The District of Columbia Court of Appeals rejected the appeal filed by Argentina and upheld the first-instance ruling. Thus, the claiming fund was authorized to continue with actions aimed at collecting the compensation and attempt to advance on Argentine sovereign assets abroad.
The conflict began when Kirchnerism decided to nationalize Aerolíneas Argentinas and Austral, which at that time were under the control of the Spanish group Marsans. After the expropriation, the former shareholders turned to the International Centre for Settlement of Investment Disputes, the World Bank's arbitration tribunal responsible for resolving disputes between States and foreign investors.
In 2017, the ICSID ruled against Argentina and set compensation close to USD 320 million, plus interest and costs. The State attempted to annul the ruling, but the request was rejected. The rights to the litigation were subsequently transferred to Burford Capital and then to Titan Consortium, which has been seeking to enforce the award in U.S. courts since 2021.
