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News Summary: IMF worries about Argentine case

The Associated Press

MAJOR BATTLE: A years-long court battle in New York could have major implications for the world's financial system as investors seek to recover unpaid debts from Argentina's massive 2001 default.

BAILOUTS JEOPARDIZED?: Global finance officials fear a victory by creditors could make it more difficult to put together an international financial rescue package like the one that pulled the Greek economy from the brink of collapse in the past few years.

DANGEROUS PRECEDENT: Those concerns have put the U.S. government and the Washington-based International Monetary Fund in an awkward position. They have both criticized Argentina's handling of its economy. But they fear a judgment against the Latin American country in this case could set a dangerous precedent.