A report in today’s edition of the British newspaper the Guardian reports on the the relationship between big business, politics and the so called “Vulture Funds”. Vulture funds buy up debt previously issued by poor countries but which have lost value primarily because of the country’s inability to pay. They then pursue the countries through Western courts seeking the full value of the debt, amassed interest and punitive charges.

This year for instance Donegal International bought Zambian debt for $3m and sued the country for the $55m face value of the debt. More cases followed with Nicaragua, Cameroon and Ethiopia all fighting cases brought by the Vulture Funds. The Funds specialise in suing countries that have received debt relief under programmes such as the Heavily Indebted Poor Countries (HIPC) effectively depriving them of millions of dollars that debt relief freed up for spending on health care, schools, water and food provision.

One of the biggest vulture funds is Elliot Associates run by Paul Singer, and Mr Singer is also one of Giuliani most important backers. Elliot Associates is reported to have purchased debt issued by Congo Brazzaville for about $10m and is suing to recover over $120m resulting from owning that debt.

Elliot Associates are also major contributors to Giuliani's push for the American Presidency, leasing him a private jet for the campaigns, while employees of the firm have contributed over $200,000 in Political Action Committee (PAC) money.

Singer himself has been dismissive of criticism of his funds activities describing his opponents as "ideologically driven people and groups who do not realize that capital goes where it is welcome."

The Giuliani campaign have not commented publicly on these links.