The leader of Venezuela's National Assembly, Julio Borges, has said that a future government may not pay the $2.8 billion in bonds that U.S. financial giant Goldman Sachs (GS) - Get Goldman Sachs Group, Inc. (GS) Report purchased recently from the South American country's central bank.
"It is apparent Goldman Sachs decided to make a quick buck off the suffering of the Venezuelan people," Borges said in a letter sent to Goldman Sachs CEO Lloyd Blankfein.
"Given the irregular nature of this transaction and the absurd financial terms involved that are to the detriment of Venezuela and its people, the National Assembly will soon launch an investigation into the matter. I also intend to recommend to any future democratic government of Venezuela not to recognize or pay on these bonds," Borges wrote.
Earlier this week the Wall Street Journal reported on the terms of the deal, citing sources close to the matter. The bond deal called for Goldman to pay $865 million for $2.8 billion in bonds that were issued by state run oil company Petroleos de Venezuela in 2014, maturing in 2022.
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