Security in India

Wade/Rebecca,

Kyle Norosky and Gabriella Cigarroa will be arriving Monday evening in Mumbai.
Kyle will replace Mark Ringwelski at the Dabhol site.

Gabriella will handle some IT items and the remaining evacuation planning
issues
in Mumbai, as well as address evacuation, IT network issues, and general
security items for Larry Morse at EOG. Kyle's main task at the site will be
to
integrate Lingtech and Bechtel's evacuation plans into a single plan under DPC
which we are putting together. While it has been generally accepted that the
contractors would essentially fend for themselves in an evacuation, a review
of
their plans suggests this would be impractical in an emergency. We are taking
the position that, in an emergency, DPC should handle the movement of all
expats
out of Dabhol. To that end, we are organizing assets to accomplish this task.

That said, everyone should be aware that, with well over 200 expats at the
site,
an immediate evacuation to escape an outbreak of violence at Dabhol is
impossible. Moreover, I understand there is no funding available to
construct a
passively defended location where expats could move to in the event of
violence
in order to a) wait for the arrival of the authorities, b) wait for helicopter
transport, or c) wait for rioters to disband. This, combined with the lack
of a
credible security force, leaves Dabhol personnel extremely vulnerable.

At this time there does not appear to be an immediate danger of violence from
laborers, the surrounding community, or from political organizations.
However,
as was demonstrated last weekend, this could change very quickly.

With that in mind, any of the following recommendations, if implemented, would
greatly enhance the safety of personnel at Dabhol:

1. Drastically reduce the number of expats at Dabhol.

2. Close the quarry and have those expats associated with it leave Dabhol.
The
quarry is isolated and the expat workers there would be trapped in the event
violence. In the not too distant past, a well organized, violent
demonstration
took place at the quarry and indeed trapped the workers there. Fortunately,
the
violence was, for the most part, directed against equipment and buildings.

3. Deploy a properly trained and equipped security force to Dabhol. The
personnel at Dabhol now are little more than defenseless. A force of 200 men,
trained, equipped, disciplined, and authorized to use force would be required
to
properly address the potential problems at the site.

A formal report containing the evacuation plan alternatives and security
recommendations will follow.

John

John Brindle
Enron Corporation
Business Controls
Tel: 713.853.3843
Fax:713.646.8838
email: John_Brindle@Enron.net