Puerto Rico

Bond parties say the board's failure to settle the PREPA bankruptcy has contributed to the system's unreliability.

The effects could hit island economies, like those of Puerto Rico and the U.S. Virgin Islands, whose bonds are speculative grade partly because of fiscal concerns.

At issue is whether PREPA bondholders may get a portion of the roughly $575 million available for unsecured claims against Puerto Rico's government

The bond parties argue that they are due the multi-billion-dollar fee from PREPA in addition to bond pricipal and interest.

The charges related to implementation and enforcement of material nonpublic information policies and Puerto Rico bonds.

Judge Laura Taylor Swain also approved the mediators hiring PJT Partners to be their financial advisor.

The Oversight Board's effort to confirm a "a legally infirm cramdown plan is patently flawed and will add years of litigation," the bondholders said.

The case related to an attorney the firm used as a consultant in negotiations related to Puerto Rico's debt restructuring.

The bankruptcy judge planned a hearing on the topic for March 19.

They say the reasons the court had given to continue the stay are no longer valid.