Washington, June 1 -- Congresswoman Nydia M. Velazquez issued the following press release:
Congresswoman Nydia M. Velazquez (D-NY) today voiced her support for New York State legislation that would close a loophole exploited by predatory hedge funds to profit from nations and territories in financial distress. The bill, sponsored by Assemblymember Jessica Gonzalez-Rojas and State Senator Liz Krueger, would restore the legal doctrine of champerty, making it illegal to buy debt for the sole purpose of suing to collect on it. She released the following statement:
"For Puerto Ricans, this issue is not theoretical. New York's legal system has been used by hedge funds seeking outsized profits from Puerto Rico's debt crisis for years.
"To th...