Argentina: The Senate approved the bill suspending bankruptcies and contests

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In an extensive day of debate in Congress, the Senate approved the bill that suspends competitions and bankruptcies. Now the initiative will return to the Chamber of Deputies for a second review due to the fact that modifications were applied to the original project. The vote was supported by the Frente de Todos and allied groups, while Together for Change opposed its approval.

In the last order of yesterday's session, the Upper House gave its approval to a series of modifications made by Deputies. The regulations provide for the suspension of the calculation of terms in bankruptcy and bankruptcy processes during the quarantine period due to the Covid-19. The main debate delved into the establishment of a deadline, since everyone agreed that March 20 be considered as the start.

Changes over time

The changes in the project were announced by the president of the Senate Legislation Commission, the ruling Corrientes Ana Almirón . The senator specified that one of the modifications is the extension of the validity of this law until June 30, 2021 and stressed that extending this term is favorable because it will tend to the recovery of companies.

In this way, the project extends until June 30, 2021 (originally it was until March 31 of that same year) the emergency period to suspend preventive bankruptcy processes and bankruptcies, with exceptions. However, the norm does not contemplate the situation of all companies but excludes those that make money transfers or transfers abroad, especially to countries with low or no taxation.

Another condition is that the company that presents the bankruptcy or bankruptcy must not carry out operations in the so-called dollar counted with liquid or MEP. In turn, all firms that constituted any financial asset abroad and have not been repatriated within the period established by the norm are also excluded.

The tense debate

Senator Ana Almirón's presentation was passing through the premises at a calm moment, until the official representative charged against Mauricio Macri's management . the pandemic for companies came from the previous four years he specified and stressed that during the Macri government around 25 thousand SMEs were lost. In the same way, he highlighted the policies in defense of the companies that the current Government promoted and said that there will be a speedy recovery in the sector.

The response from the opposition was not long in coming. I would like to live in that country, the radical Silvia Elías de Pérez struck in her speech. In this government more than fifty thousand SMEs closed. Never has a government like the current one done so many bad things so that the economy does not work.

Another of the opponents who was against the approval of the project was the head of the Together for Change bench, Luis Naidenoff. The Formosa stated that the project "hits SMEs and responded to an accusation from the ruling party. I heard that they called us serial speculators to whom we want to vote the law as it is of Deputies. Did the head of the Frente de Todos bloc from the other chamber (Máximo Kirchner) vote this to protect speculators?.