Cayman-based funds take Venezuela to court over default

Two Cayman-registered funds are suing Venezuela, claiming that the troubled South American regime owes $26m after it defaulted on bonds and interest payments. The Cayman entities,  Pharo Gaia Fund Ltd. and Pharo Macro Fund Ltd, are demanding interest payments over sovereign bonds the country issued in 2002. Both funds are based in the Cayman Islands and managed by Pharo Management, a Delaware-based company that operates out of New York, where the lawsuit is taking place.  According to the funds' claim, Pharo Macro owns a beneficial interest in $1,500,000 of 13.625% bonds Venezuela ...