From: Lundstrom, Bruce
Sent: Monday, June 18, 2001 1:06 PM
To: Derrick Jr., James; Walls Jr., Rob; Haedicke, Mark E.
Cc: Rogers, Rex
Subject: Dabhol -- A Brief Legal Update
A few updates:
The power station and LNG contractors terminated their respective
construction contracts over the weekend.
Rebecca McDonald and Ken Lay met with the India Minister of Finance on
Saturday in New York. The Minister reiterated India's position that they
would not buy any power from Dabhol.
We had a conference call with management of GE and Bechtel last week. There
is little evident disagreement amongst the sponsors on key issues. Bechtel
even complimented Rebecca on her team and handling of the matter. Walter
Stuart from V&E came over to listen in on the phone call on behalf of Enron.
Given the increasing cooperation of the sponsors and written statements of GE
and Bechtel approving Enron's handling of ongoing issues, we have kept V&E's
involvement fairly "low key" to date.