An instrumentality of the Republic of Argentina could not be deemed the government's alter ego based on its role in implementing Argentina's energy policies and thus was not liable for the country's bond debts.

Argentina defaulted on $1.5 billion in bond payments but has few assets in the United States, which has forced creditors to look elsewhere for repayment. Creditor NML Capital, Ltd. sued Energia Argentina S.A. (ENARSA), an instrumentality of the Argentine government that plays a substantial role in enacting Argentina's energy policies but that has independent corporate status under Argentine law. NML argued that ENARSA is an alter ego of the government because the national government owns 96% of ENARSA shares, controls ENARSA regulations via government regulations, and provides ENARSA with substantial financial support through subsidies and other benefits.