U.S. investment firm Huxley Capital Corp filed a lawsuit on Thursday in a New York court against Brazilian construction group OAS SA, alleging the debt-laden company is hiding assets from creditors at two valuable subsidiaries, Reuters reported yesterday. The defendants in the lawsuit, filed in Manhattan federal court, are OAS and subsidiaries Construtora OAS SA, OAS Investimentos SA, OAS Infraestrutura SA and OAS Engenharia e Construção SA, court documents showed. Huxley alleged that OAS transferred assets from Construtora OAS and OAS Investimentos to protect them from bondholders. Huxley owns debt issued by two of the subsidiaries, which he said might prove unable to make good on their obligations because of the asset transfers. The transfers occurred as OAS plunged into "disarray" after the company was named in a corruption probe in Brazil that subsequently cut access to financing, the lawsuit said.
