Thanks.

01000000001136


~ Rebecca Smith and Robin Side! contributed to this article.

Write to Jason Booth at jason.booth@aws). j.con
it ben ncanonaitnedecn siaiecines mamta and Richard 8, Schmitt at
fick. schmitt@wsj.com <mailto:rick.schmitt@ws|.com>.

01000000001183


Sampliner, Gary

From: Rao, Geetha

Sent: Friday, January 19, 2001 1:26 PM

To: Sampliner, Gary; Christopulos, Greg: Grewe, Maureen; Mis, Marshall; Clapp, Gene
Ce: Radelet, Steve

‘Subject: Enron Meeting on India, January 24

Tom Griggs from Enron has requested a meeting with us to discuss Indian energy sector teform and the specific problems
Enron has been faced with its own energy projects in Maherashtra. The meeting will be held on January 24 at 3pm in the
3rd floor conference room in the New York Avenue building. He should be sending background information on Enron's
tole which | will forward on to all of you in advance of the meeting. Please mark your calendar

Thanks,
Geetha

1000000001157


From: McGivern, Tom
Sent: Thursday. February 15,2001 11:20 AM
To: , Karen
Subject: FW: Bankruptcy Reform Mark-up Hearing
one Mame
From:
‘Sent: Tras, Hany 2001 10:25 AM
To: ‘Norman; Oebtarco, Edward; Bis, Dina; Hutlman, Lucy; Mcinemey, Roberta; Constantine, Bieri; Hughes, Gerry; Stewart,
Ce: Sar era Pe Mot GM yn, at
Hekilynne; Gross,
RE: ervey Redo Marup Hearing
Norman,
{(b)(5)]
Don
wwOriginal Message-—
From: Carleton, Norman
Sent: ‘Thursday, February 15, 2001 10:07 AM
To: Heo Donat DeMarco, Edward; Bits, Dina; Huffman, Lucy; McInemey, Roberta; Constantine, Beni; Hughes, Gerry; Stewart,
ca Tak rr ab: dn, Mea Sir Cry: tan Ly; MEG Tom Mca Ptr, Sues,
‘Subject: Fe: Sobeea beers Rona Heattg

Don,
{(b)(5)}

01000000001196


<< Fite: EmbtalkY1 State.doc >>

som Onginal Message
From: Rao, Geetha

Sent: Wednesday, July 11, 2001 4:13 PM
To: Berg, Katie; Sits, Gay; Grewe, Maureen; Resnick, Bonnie; Cnristopulos, Greg; Sampliner, Gary

Co: Donovan, Meg;

Mills, Marshall; McDonaid, Larry; Radelet, Steve

Subject: RE: Dabhal meeting on Enron/OPIC project at NSC

Katie, [(b)(5)]

Original Message-—

Thanks to all

Berg, Kate
Sent: Wednesday, day 11, 2003 4:09 PM

To: ‘Sas, Gay;
Donovan,

Rao, Geetha; Grewe, Maureen; Resnick, Borrwe; Chrestopules, Geng; Sampliner, Gary
Meg; Mils, Marshal; McDonald, Larry; Racelet, Steve

Ce:
Subject: RE; Dabhel meeting on Enror/OPIC project at NSC

((b)(5)]

swOngnal Message---~

From: Sits,

Gay

Sent: Wednesday, July 11, 2001 3:54 PM

To: Rao, Geetha, Grewe,

ann Raaiic Basiies Cenenacalo®: Grek: Semen: OY.

Ce: ; Mis,
Subject: RE: Dabhol meeting on Erron/OPIC project at NSC

((b)(5)]

-+—-Original Message----+
From: Rao,

Sent:

To:

Ce:

Subject:
Importance:

Geetna
Wednesday, Duly 11, 2001 1:54 PM
Grewe, Maureen; Sits, Gay; Resrick, Bonnie; Christopulos, Greg; Sampiner, Gary
Donovan, Meg; Mils, Marshall; McDonais, Lary; Radelet, Steve
RE: Dabhol meeting on EnronyYOPIC project at NSC
tagh

Attached are the revisions to the OPIC talking points that OPIC sent over late yesterday. The
objective is to steer the discussion away from whether the project is in default or not, but to
still underscore the importance of engaging with the state governments and the lenders asap.
The Charge {rom the US Embassy will most likely deliver the points to the GOI, Please

comment asap.

Thanks,

<< File. EmbtalkY1.doc >>

pa Message---
From: Grewe, Maureen

Sent: Wednesday, July 11, 2001 12:52 PM

To: Sais, Gay; Resnick, Sonnie; Christopulos, Greg; Sampliney, Gary; Rao, Geetha
Cc: Donovan, Meg; Mills, Marshai; McDonald, Larry; Radelet, Steve

Subject: Datho! meeting on Enron/OPIC project at

Importance: High

{((b)(5)]

01000000001130


Wiedman, Mark

Sent $i d : Senvary 08, 2002 2:54 PM

ent: uesday,

To: Bair, Sheta

Ce: frosences, Brian; Bitsberger, Timothy; Wiedman, Mark; Gross, Jared; Schultheiss, Heidilynne.
Subject: PWG's Report on OTC Derivatives and the CEA

Sheila

[(b)(5)]

01200000000004


Page | of 2

Lebryk, David

From:  Lebryk, David

Sent: Thursday, November 29, 2001 6:36 PM

To: “Lori. Santamorena@bpd.treas.gov’

Subject: RE: 1DJC ) OJ CSFB: Three Big Banks Have $1.58 Loan Exposure
Lori — Thanks,

Dave

-----Original Message---~-

From: Lori. Santamorena@bpd.treas.gov [mailto:Lori.Santamorena@bpd.treas.gov)
‘Sent: Thursday, November 29, 2001 3:31 PM

To: David.Lebryk@do.treas.gov

Cc: barbara. wiss@do.treas.gov

Subject: RE: 1D)C ) 0) CSFB: Three Big Banks Have $1.5B Loan Exposure To

Dave,

Kurt, Chuck and Nadir are following up with Glen this afternoon. anki possibly John Ackley in
Philadelphia. if its ok with you, we'll keep Barbara in the loop, the group will get back to you with

responses.
Lori

DavidLabeynGdotress.gov — ty, Loni Santamcrenaggbpd.treas gov, Barbara Wiss(hdo.teas gov, Glen M Owonsieta orp,

‘Shery' Morow@itws teas gov.
11729101 02:10 PM ae
Svoject «RE: 10JC ) DU CSFS: Three Big Banks Have $1.56 Loan Exposure To

{(b)(5)]
Dave
-——Original Message—

From: Lor.Santamorena@bpd.treas.gov [mailto-Lori Santamorena@bpd.treas.gov}
Sent: Thursday, November 29, 2001 12:14 PM

To: david lebryk@do.treas.gov
Subject: 1DJC )DJ CSFB: Three Big Banks Have $1.58 Loan Exposure To

01/18/2002

01100000000006


McGivern, Tom

From: Marti Thomas [MThomas@QuinnGilespie.com]
Sent: Thursday, January 25, 2001 1:16 PM

To: ‘Tom. McGivern@do.treas.gov’

Subject: RE: Hil!

Hi Tom!

Let me think about it for a bit, it sure is different but I'm acclimating.
Jana Carter just started here yesterday for a temporary stint, so some of
Treasury is here! ANd Linda R. was here yesterday for a meeting, so I got
my Linda fix. I hear from ARt, Bill, Carol, and Janet every day, so I'm
getting dribs and drabs of news, which I like.

what's it like post-Neal? Do you know who will replace him? I know some of
the people there, such as Jeff Kupfer at Exec. Sec. (a very good guy -- he
was enormously helpful on my confirmation...) and if it's John Duncan at
leg., that's good too.

I'll be back in touch. Take care! Marti,

--+---Original Message-----

Prom: Tom.McGivernédo.treas,gov [mailto:Tom.McGivernedo.treas.gov]
Sent: Thursday, January 25, 2001 1:01 PM

To: linda, robertson@enren.com; mthomasaqgadc.com

Subject: Hit!

Well, it's way strange not having the two of you around, but I guess we're
all getting acclimated to the New World here in DC. Hope your new jobs are
going well.

I'm looking for a new attorney in my office, a Deputy to me, and ideally
would like someone with Hill experience relevant to Treasury. I'm able to
hire at the GS 15 level, which means I could pay close to or even over $100
K, based on experience. I thought the 2 of you may have been contacted by
Hill folks who are in the job market. If either of you know of anyone,
please give me a call 202-622-2317 or reply to this e-mail, Thanks.

Please keep in touch.

Your friend,

Tom

01000000001206


{(b)(5)]

+--+" Original Message-----

From: Lori.Santamorenasbpd.treas,gov
{mailto:Lori.Santamorena@bpd.treas.gov]

Sent: Thursday, November 29, 2001 12:14 PM

To; david. lebrykédo.treas.gov

Subject: 1p0C } DJ CSFB: Three Big Banks Have $1.58 Loan Exposure To

weet Forwarded by Lori Santamorena/BPD on 11/29/01 12;13 PM -----
“PUBLIC DEBT, US DEPT
OF TREASURY* To:

<GSRSSbloomberg.net> LSANTAMORENAG@BPD. TREAS

21/29/01 12:07 PM cc:
bee:
Subject:
1DJC ) BJ CSFB: Three
Big Banks Have $1.5B
Lean Exposure To

DJ CSFB: Three Big Banks Have $1.5B Loan Exposure To Enron
2002-22-29 11:48 (New York)

NEW YORK (Dow Jones)--Bank Of America (BAC), Citigroup Inc. (C) and
J.P.
Morgan Chase (JPM) each have an estimated $500 million in direct loan
exposure
to beleaguered energy trading firm Enron Corp. (ENE), according to Credit
Suisse First Boston on Thursday.

While noting that "details on bank exposures to Enron Corp. are not
completely transparent,” CSFB analysts also said that Bank One Corp (ONE)
has a
likely $300 million bank loan exposure, and Wachovia Corp. (WB) has a $50
million exposure,

The analysts said that the tallies represent direct loan exposures. They
aren't reflective of balance sheet counter-party risk obligations, which

3

1100000000010


likely $300 million bank loan exposure, and Wachovia Corp. (WB) has a $50
million exposure.
The analysts said that the tallies represent direct loan exposures. They

aren't reflective of balance sheet counter-party risk obligations, which
could

be “significant.”

“This remains a highly fluid situation, and may require many of the long
list

of banks which are likely Enron creditors to take incremental reserve
additions

in the fourth quarter," the report said.

The CSFB release said that other securities firms do not appear to have a
major exposure to Enron, and that it estimates that firms such as Bear
Stearns
Goldman Sachs, Lehman Brothers and Merrill Lynch likely have lesa than
$200
million in total loan exposure.

On Wednesday, Enron saw its credit ratings downgraded to junk status by
the
three major credit ratings agencies, and its proposed acquisition by
Dynegy
Inc. (DYN) wae aa a result scuttled.

~By Michael S. Derby, Dow Jones Newswires; 201-938-4192;
michael .derbyedowjones com

(END) Dow Jones Newawirea 11-29-01
1248EST(AP-DJ) --11-29-01 1148EST

LIMAGE)
(See attached file: ATT200860.gif)

01100000000031


McGivern, Tom

From: McGivem, Tom

Sent: Thursday, January 25, 2001 2:52 PM
To: "Marti Thomas"

Subject: RE: Hill

In the post-Neal world, Steve McHale is Acting GC and the rest of us are stiull doing what
we've always done. No word on when we will have GC nominee, although last week the WSJ
mentioned a guy David D. Aufhauser of Williams & Connolly.

I met Jeff Kupfer briefly, who will be the new Exec. Sec., and have also met Dina Ellis
from Senate Banking? who will be in Domestic Pinance somewhere. The new Chief of Staff,
Tim Adams, seems like a nice guy and I also have met someone named Chris Smith, I think
from House ®SM, who describes his new job as having a foot in Leg. and a foot in the Chief
of Staff office.

thanks for your help.
Tom

-+---Original Message-----

Prom; Marti Thomas [mailto:MThomas@QuinnGillespie.com)
Sent: Thursday, January 25, 2001 1:16 PM

To: ‘Tom.McGivern@do.treas.gov'

Subject: RE: Hil!

Mi Tom!

Let me think abour it for a bit, it sure is different but I*m acclimating.
Jana Carter just started here yesterday for a temporary stint, so some of
Treasury is here! ANd Linda R. was here yesterday for a meeting, so I got
my Linda fix. T hear from ARt, Bill, Carol, and Janet every day, so I'm
getting dribs and drabs of news, which I like.

what's it like post-Neal? Do you know who will replace him? I know some of
the people there, such as Jeff Kupfer at Exec. Sec. (a very good guy -- he
was enormously helpful on my confirmation...) and if it's John Duncan at
leg., that’s good too.

I'll be back in touch, Take care! Marti.

ore Original Message-----

From: Tom.McGivernédo.treas.gov [mailto:Tom.McGivern@do.treas.gov]
Sent: Thursday, January 25, 2001 1:01 PM

To: linda.robertson@enron.com; mthomas®qgadc.com

Subject: Hil!

Well, it's way strange not having the two of you around, but I guess we're
all getting acclimated to the New World here in DC, Hope your new jobs are
going well.

I'm looking for a new attorney in my office, a Deputy to me, and ideally
would like someone with Hill experience relevant to Treasury. I'm able to
hire at the CS iS level, which means I could pay close to or even over $100
x, based on experience. I thought the 2 of you may have been contacted by
Hill folks who are in the job market. If either of you know of anyone,
please give me a call 202-622-2317 or reply to this e-mail. Thanke.

1000000001204


{(b)(5)]

Thanks.

01000000001140


McGivern, Tom

From: McGivern, Tom
Sent: Wednesday, October 31, 2001 9:20 AM

To:

Elis, Dina; Carleton, Norman; Basberger, Timothy, Bair, Sheila; DeMarco, Edward; Ellett,
Martha; Gabilondo, Jose; Gross, Jared; Huffman, Lucy; Hughes, Gerry; Mcinemey, Roberta;
Nickoloff, Peter; Roseboro, Brian; Salladin, Anne; Schulthess, Heidilynne; Smith, Amy;
Sutton, Gary; Tishuk, Brian; Duncan, John; Sanders, Traci; Dorsey, Karen

Subject: RE; Netting Letter to be Signed by PWG and FDIC, OCC, and OTS
((b)(5)]
-—-Original Message
From: Elis, Dina
Seat: ‘Tuesday, October 30, 2001 3:02 PM
To: Carleton, Norman; Bitsberger, Timothy; Bair, Shela; Constantine, Eleni; DeMarco, Edward; Ellett, Martha; Gabliondo, Jose; Gross,

Jared; Huffman, Lucy; Hughes, Gerry; MoGivern, Tom; McInemey, Roberta; NickolofT, Peter; Roseboro, Srian; Saladin, Anne;
Schuhhelss, Heid®ynne; Smith, Amy; Sutton, Gary; Tishuk, Brian
Subject: RE: Netting Letter to be Signed by PWG and FDIC, OCC, and OTS:

((b)(5)]

os Message—

From: Carleton, Norman

Sent: Tuesday, October 30, 2001 2:46 Pt

To: Bitsberger, Timothy; Bair, Shela; Constantine, Eleni; DeMarco, Edward; Glett, Martha; Efis, Dina; Gablondo, Jose; Gross, Jared;
Huffman, Lucy; Hughes, Gerry; MoGivem, Tom; Mcinemey, Roberta; Nickoloff, Peter; Rosebora, Brian; Saladin, Anne;
Schultheiss, Heidihyrne; Smith, Amy; Sutton, Gary; Tisha, Brian

Subject: Netting Letter to be Signed by PWG and FDIC, OCC, and OTS

<< File: Netting letter.doc >>

Attached is the proposed netting letter from the Federal Reserve. (It has merge mail features that you

will have to delete in order to read it. Alternatively, you can use the quick view program to access the

document.) It is awaiting approval from SEC Chairman Pitt, Below is an article | sent around earlier

today indicating that some are trying to revive the Bankruptcy bill,

((b)(5)]

Norman Carleton

Bankruptcy Conference May Resume As Netting Bill Considered

The House Judiciary Committee will be turning its attention to other matters in the weeks
remaining before adjournment - possibly including a conference on bankruptcy,
CongressDaily reported. Further work on the legislation had been postponed after the Sept.
11 attacks occurred, The House and Senate conferees had been poised to meet Sept. 12. A
spokesman for the committee yesterday said that no new conference date has been set, but
staff members in recent weeks have continued to work on technical aspects of the bankruptcy
measure. Judiciary Committee Chairman James Sensenbrenner (R-Wis.), who is chairing the
conference committee, is determined to make a go of it before members leave town for the

1

01000000001190


Wiedman, Mark

From:
Sent:
To:

Ce:
Subject:

Sheila,
{(b)(5)]

Norman

Carleton, Norman
veg y_teonusary 06, 2002 5:14 PM

ty! Fre Bair, Sheila: Ear. 4 hepa Bitsberger, Timothy: Eichner, Matthew, Gabilondo,
Jose; Jone: Grons, Jord jared; Hammer, Viva; Lori Sanatamorena (E-mail); Nickoloff. Peter. Novey,
Michael, Pietrangeli, Fred; Roseboro, Brian: Schultheiss, Heidilynne: Whaley, Jean. Wiedman

CFTC's Exemption for Certain Contracts Involving Energy Products (April 20, 1993)

01200000000003


Sampliner, Gary

From: Rao, Geetha
Sent: Tuesday, July 24, 2001 10:57 AM
To: Christopulos, Greg
Ce: Sampiiner, Gary
Subject: RE: Info memo to Taylor on Enron
ai
BAD Em Ore
vane the final version
+n Original Message
From: ‘Chnstopulos, Greg
Sent: Tuesday, July 24, 2001 10:25 AM
To: Rao, Geetha

Ce: Sampiner, Gary
Subject: RE: Into memo to Taylor on Enron

{(b)(5)]

~—Criginal Massage---+-

From: Rao, Geetha

Sent: Tuesday, hily 24, 2001 10:42 AM
To: Chrstopuios, Greg; Sempliner, Gary
Subject: RE; Info memo to Taylor on Enron

{(b)(5)]

From: Crristopuies, Greg

Sent: Tuescay, July 24, 2001 10:07 AM

To: Rao, Geetha; Sampliner, Gary

Subject: RE: Info memo to Taylor on Enron

{(b)(5)]
From: Rao, Geetha
Sent: Tuesday, July 24, 2001 9:57 AM
To: Samoliner, Gary; Christoputns, Greg
Subject: RE: info meme ta Taylor on Enron
((b)(5)]

01000000001119


[OUTSIDE SCOPE]

Mark Wiedman

Senior Advisor to the Assistant Secretary for Financial Markets
Department of the Treasury

1500 Pennsylvania Avenue

Washington, D.C. 20220

w (202) 622-4041

£ (202) 622-4774

panes ae: ee eeeeeeeecene

This message may contain confidential and/or privileged
information. If you are not the addressee or authorized to
receive this for the addressee, you must not use, copy,
disclose or take any action ba: on this message or any
information herein. If you have received this message in
error, please advise the sender immediately by reply e-mail
and delete this message. Thank you for your cooperation,

01200000000052


Monday, January 14, 2002 8:50 AM
“Allen_Wei com’
RE gone toa (for a Bittle while)

Allen,

Thanks for the black humor about Enron -- luckily I'm too measly to be testifying, though

I suspect my bosses will be (very strange to see your employers’ names being plastered in
real-time on Bloomberg while you're sitting in their offices).

[OUTSIDE SCOPE , (b)(6)]

te2e> Original Message-----

From: Allen Weinberg@mckinsey.com [mailto:Allen Weinberqamckinsey. com]
Sent: Sunday, January 2002 8:42 AM
To: Mark.Wiedmanédo.tr:

-gov
Subject: Re: gone to a dot-gov (for a little while)

[OUTSIDE SCOPE , (b)(6)]

Let me know how things are going -- assuming you haven't been called to
testify about Enron,

AW
<Mark .Wiedmanedo
.treas.gov> To:
12/03/2002 12:43 eer (bee: Allen
PM Weinberg/NYO/NorthAmerica/MCKINSEY)
Subject: gone to a dot-gov (for a little
while)
[OUTSIDE SCOPE]

1200000000051


“There are aspects of [the Enron case] that remind us of the savings and loan scandal, in the
sense that a powerful institution used big money to buy influence and protect itself while
ordinary citizens ended up losing their life savings,” said Fred Wertheimer, president of
Democracy 21, a Washington interest group, referring to a banking controversy in the 1980s.
Enron's ties to Republicans and the present Bush administration were especially close, Lay raised
large sums for George W. Bush's campaign.

Enron, Lay and its employees have contributed $572,350 to him over his career, far more than
any other company, according to the Center for Public Integrity in Washington,

Several top administration officials have been Enron advisers or stockholders. Enron, Lay and
other senior executives contributed $1.7 million in soft-money donations to politicians in the
2000 election cycle, two-thirds of it to Republicans, according to the Center for Responsive
Politics.

Republicans clearly are sensitive to the potential political dangers. The National Republican
Senatorial Committee recently retumed a $100,000 check collected from Enron in November,
after deciding that “it was appropriate to give it back," spokesman Dan Allen said, The
Republican Governors Association last week returned an Enron donation of $60,000.

What was unique about Enron, competitors and allies agree, was a brash and sometimes
counterproductive political style,

Stories of Enron's hardball style are legion. In October 1999, for example, Jeffrey K. Skilling,
then Enron's president, expressed his displeasure at Rep. Joe Barton's position on a deregulation
bill pending in the energy subcommittee Barton chairs.

‘The meeting grew "heated and awful," said one person who was present, until Barton (R-Tex.), a
usually mild-mannered man who keeps a Bible on his desk, exploded. “Jeffrey Skilling, | may
not have your millions of dollars, but | am not an idiot," one witness recalled Barton saying. The
meeting ended without Enron getting the changes it wanted. "Skilling did not get Washington,”
the source added.

“In their lobbying, they acted like the 800-pound gorilla they were," said Christopher Homer, #
Washington lawyer who briefly directed Enron's government relations in 1997. Lay and Skilling
declined interview requests, but Enron officials say they have no regrets about their use of
money. “It got us name recognition," company spokesman Mark Palmer said. “Given the
aggregation of our foes, we had to make sure that people knew what our argument was.”

Jump-Starting Deregulation

Almost from its start in 1985 as a gas pipeline company, Enron necded help in Washington, and
it got it in a series of actions by Congress and the Federal Encrgy Regulatory Commission
(FERC) that undermined the traditional monopoly of utility companies over power plants and
transmission lines.

Enron lobbied for several of the initial actions that set the stage for the era of a deregulated
wholesale electricity market.

01530

01200000000184


((b)(5)]

Cable #029799 Dec 08
Cable #032693 Dee 13
Cable #034319 Dec 15
Cable #044561 Jan 09

Original Message
From: Maureen

‘Sent: Tuesday, January 23, 2001 6:55 AM

To: Rac, Geetha; Mil, Marshal; Sampliner, Gary; Christocwios, Greg: Caco, Gene
Cez Racelet, Steve

‘Subject: RE: Inciay/Dabhol Meeting

Please note the following article from this morning's press summary:
US Envoy: India’s Enron Project Key To Foreign Investment

BOMBAY (AP)--U.S. Ambassador to India Richard Celeste warned Monday that
foreign investment in. India would falter because of political pressures: that
threatened to derail the $3 billion Enron Corp. (ENE) power project.

“it regrettably feeds the concern among American and other foreign investors
that India remains a less-than-reliadte destination for their investment

dollars,” Celeste told an audience ‘of business leaders, politicians and
nongovernment agencies in Bombay, India's financiat hud.

India’s largest-ever foreign investment has been in trouble since December
after the government af Maharashtra state, in which Bombay is situated, said it
would review a power-purchase agreement with U.S. energy giant Enron Corp.

Maharashtra considers the power rates being charged are exorbitant.

The agreement signed in 1995 details the rate at which Enron's Indian
subsidiary, the Dabhol Power Co., will sell electricity to the state

2

1000000001155


TALKING POINTS FOR US EMBASSY- INDIA

Re: Moeting with Ministries of Finance and Power and Dabhot Lenders’ Stecring Committee

((b)(5)]

01000000001 137


Sampliner, Gary

From: Grewe, Maureen

Sent: Tuesday, June 19, 2001 9:07 AM
To: Christopulas, Greg; Sampliner, Gary
Subject: RE: Enron meeting at NSC

Yes, | think that will be a major part of the discussion.

+—--Oniginal Message-—

From: Crristopuics, Greg

Sent: Tuesday, June 19, 2001 9:03 AM
To: Grewe, Maureen; Sonphiner, Gary

Subject: RE: Enron meeting at NSC
1S OPIC going to be there? OPIC has significant exposure in this project.

Original Message---~

From: — Grewe, Maureen

Sent: Monday, June $8, 2001 7:11 PM
Tor Cristopules, Greg; Sagfiner, Gary
Subject: RE: Enron meeting at NSC

turns out that NSC is amenable to Gary as well. Gary, if you would like to attend the meeting on Enronvindia at
10:30 am on Thursday, please senc me your ssn and dob end I'll get us all cleared in. Thanks,

saenQinigial Message:
From: Creistopules, Greg

‘Sent: Monday, June 48, 2002 1:35 PM
To: Gewe, Maureen; Sampiner, Gary

Subject: RE: Enron meebng at NSC
Greg Christopulos

((b)(6)]

Thanks , | also think Gary S should go.
He will be back from Mex City Tues.

wresOniginal Messager

From: Grewe, Maureen

Sent: Monday, June 18, 2008 12:53 PM
To: (Chrtstopulos, Greg

‘Subject: RE: Enron meeting at NSC

why deat you send me your ssn and dob and Mf have my secretary call aad get us both cleared in.
Thanks,

o-+-Original Message

From: Greg

Sent: Friday, June 15, 2001 4-29 PM

To: Grewe, Maureen; Sampiiner, Gary; Rao, Geetha; Mills, Marsrvall
Ce: Radelet, Steve

‘Subject: RE: Enron meebing at NSC

Yes. Who do | call to get cleared in?

Grewe, Maureen

Friday, dare 15, 2001 12:05 PH

Crristopies, Greg; Sampliner, Gary; Rao, Geetha; Mis, Marshall
Radetet, Steve

1

01000000001 147


Sampliner, Gary

From: Rao, Geetha

Sent: Wednesday, July 11, 2001 1:54 PM

To: Grewe, Maureen; Sills, Gay; Resnick, Bonnie; Christopulos, Greg; Samptiner, Gary
Ce: Donovan, Meg; Mills, Marshall; McDonald, Larry, Radelot, Steve

Subject: RE; Dabhol meeting on Enron/OPIC project at NSC

Importance: High

Attached are the revisions to the OPIC talking points that OPIC sent aver late yesterday. [(b)(5)]

Please comment asap. Thanks.

©)

Erenny) oe
Original Message-----
From: Grewe, Maureen
Sent: Wednescay, July 11, 2001 12:52 PM
To: Sits, Gay; Resnick, Bonnie; Chetstapulos, Greg; Samoliner, Gary; Rao, Geetna
Cc: Corovan, Meg; Mills, Marshall; McDonald, Lary, Radelet, Steve
Subject: Dabhol meeting on Enron/OPIC project at NSC
Importance: high
{(b)(5)]

01000000001139


The project's first phase, 2 power plant of 740 megawatts, already has been
commissioned, while the second phase of 1,444 megawatts is scheduled for
completion by end 2001,

Depreciation of the Indian rupee and high cost of naphtha used to generate
electricity caused the power generated by the Enron project to touch 7 rupees &
unit as against INR1,80 agreed on when the deal was signed six years 3go
($t=INR46,375).

Enron has said it saw no current need to renegotiate the tantf anc maintained that a transition from naphtha
to liquefied natural gas would reduce the tariff,

Celeste, an appointee of former U.S. Preskient Bill Clinton, said he hoped
both sides would find a solution in ongoing discussions, but cautioned that
“perceptions among American and other foreign investors will be affected by the
challenge to Dabhol and how it is resolved.”

He said despite partnershigs in software and information technology, U.S.
investors were wary of India because of political pressures at the federal and
State level that had slowed the economic-reform agenda.

Stressing the need to strengthen business ties with India, Celesta focused on
the Enron project and asked that “The Dabhol power plant remain a symbol of
successful American investment in India and not 2 symbol of the impediments that
stil hinder even greater foreign direct investment.”

Copyright (c) 2001 Dow Jones and Company. inc,
Received by NewsEDGEILAN: 1/22/01 7:23 PM

—~-Original Message-—~

From: Rao, Geetha

Sent: Monday, January 22, 2001 3:01 PM

To: Grewe, Maureen: Mills, Marshall; Sampliner, Gary, Christopulos,
Greg; Clapp, Gene

Cc; Radelet, Steve

‘Sudject: FW: India/Dabho! Meeting

Attached is background material for the Enron meeting on Wednesday. Pis, note Mr, Jotin Hardy will also be
attending.

=----Original Messai

From: Tom, nron.com (mailto: Tom. Briggs@enron.com]
Sent: Monday, January 22, 2001 1:54 PM

To: geetha rao@co.treas.gov

‘Subject: india/Dabhol Meeting

Geetha,

[OUTSIDE SCOPE]

Jota Hardy will be attending the meeting tomorrow at 3 His SS# is

LXE), teeing woul opeedate managed alos hat a
well

John and | have a brief agenda: 1) we want to update you on Dabhol and 2)
we want to discuss way in which the USG may become involved in encouraging
market reform necessary to extract value out of our generating asset.
Specifically, we want to focus on refgorm at the Indian federal level that

will be necessary to deliver power to customers other than MSEB.

‘We look forward to meeting you tomorrow,

01000000001156


Sent: Wiecnesday, Juty 11, 2001 4:13 PM

To: Berg, Kate; Sits, Gay; Grewe, Maureen; Resnick, Sonnie; Chrstopulos, Greg; Samnplner, Gary
Cc: Donovan, Meg; Mills, Marshall; McDonald, Larry; Radelet, Steve

‘Subject: RE: Dabhol meeting on EnroryOPIC project at NSC

Katie. [(b)(5))
{ M 1 Thanks to ail.
--—Onginal Messages"
from: Berg, Kae
Sent: Wednesday, July 11, 2001 4:09 PM
Te: Sais, Gay; Roo, Geetha; Grewe, Maureen; Restick, Bonnie; Christoputos, Greg; Sampliner, Gary
7 Donovan, Meg: Mats, Marshal; McDonald, Larry; Radelet, Steve
Subject: RE: Dabhot meeting on Enroe/OPIC project at NSC
((b)(5))
s=-=Original Message--—
From: ‘Sais, Gay
‘Sent: ‘Wecnesday, July 11, 2001 3/54 PM
To: Rao, Geetha; Grewe, Maureen; Resnick, Bonnie; Christopulos, Greg; Sampliner, Gary
co: Donovan, Meg; Mis, Marsnail; McDonald, Lamy; Racelet, Steve; Berg, Kabe
‘Subject; RE: Dabhol meeting on EnroryOPIC project at NSC
((b)(S)]
on Original Message-«
From: Rao, Geetha
Sent: Wednesday, July 11, 2001 1:54 PM
To: Grewe, Maureen; Sits, Gay; Resnick, Bonnie; Christopuios, Greg; Samosiner, Gary
ce: Donovan, Meg: Mits, Marshall; MeDonaic, Larry; Radelet, Steve
Subject: RE: Dabhol meeting on Enron/OFIC project at NSC

Importance: High

Attached are the revisions to the OPIC talking points that OPIC sent over late yesterday, The
objective is to steer the discussion away from whether the project & in default or not, but to still
underscore the importance of engaging with the state governmants anc the lenders asap. The
Charge fo the US Embassy will most likely deliver the points to the GOI. Please comment
asap. inks,

<< File: EmbtalkY1.doc >>

—~Original Message--——-

From: Grewe, Maureen

Sent: Wednesday, daly 11, 2001 12:52 PM

To: Sits, Gay; Resnick, Boonie; Creistopulos, Greg; Sampliner, Gary; Rao, Geetha
Ce: Donovan, Meg: Mils, Marshall; McDonald, Larry; Radelet, Steve

Subject: Dabhet meeting on EnroryOPIC project at NSC

Importance: High

[(b)(5)}

01000000001134


Campaign Gifts, Lobbying Built Enron's Power In
Washington

By Dan Morgan and Julict Eilperin
Washington Post Staff Writers
Tuesday, December 25, 2001; Page AOL

During the administration of the first President George Bush, a new party fundraiser named
Kenneth L. Lay was invited to spend the night at the White House. The sleepover was an early
coup for the chairman of Enron Corp, and a harbinger of things to come.

Over the following decade, Lay and Enron poured millions of dollars into U.S. politics,
cultivating unequaled access and using the entree to lobby Congress, the White House and
regulatory agencies for action that was critical to the energy company's spectacular growth.

Now, with Enron's sudden bankruptcy, public attention has turned not only to the financial
practices that brought the company down, but to what its far-flung political operations say about
the country’s campaign finance system.

Some Democrats in Congress are spoiling for an opportunity to use Lay and Enron to embarrass
the Republican Party, which received most of the company’s largess over the years. They want to
look into such things as Enron's relationship with Phil Gramm (R-Tex.), ranking minority
member on the Senate Banking Committee and chairman of the committee at a time when his
wife, Wendy L, Gramm, was serving on Enron's board. Last ycar, Gramm's committee approved
legislation that included a key provision exempting parts of Enron's massive energy trading
operation from federal oversight.

"I think the Enron story is going to tum out to be an enormous political story," said Rep. Henry
A. Waxman (D-Calif.), ranking minority member on the House Energy and Commerce
Committee.

The tics of Lay to the White House and GOP leaders, he added, were so multilayered that
Republicans are likely to be reluctant to pursue them. But he made clear that he intends to do so
and expects the Democratic-controlled Senate to follow suit.

Enron also cultivated relationships with Democrats, however. Lay played golf in Vail, Colo.,
with President Bill Clinton, and Enron gave hundreds of thousands of dollars to Democratic
campaign committees and Democrats in the House and Senate, including Sen. Charles E.
Schumer (N.Y.) and Rep. Martin Frost (Tex.), the ranking minority member on the House Rules
Committee.

A Routine Cost for Some

Advocates of campaign finance reform say the Enron case vividly illustrates the ties between
politics and big money, though it's unclear that the company’s political operations were radically
different from others for whom political contributions have become a routine cost of doing
business.

01529

01200000000183


Lebryk, David

From: Lebryk, David

co a Barbara, ton iGansoncatned| tre kurt eidemitier@tm:

Ce: Wiss, a3.gOv; s.treas.gov
Subject: RE: 1DJC ) DJ CSFB: Three Big Banks Have $1.58 Loan Exposure To
{(b)()]

Dave

seeee Original Message-----

From: Glen.M.Owens@stis.frb.org [mailto:Glen.M.Owens@stls.frb.org]

Sent: Friday, November 30, 2001 8:05 AM

To: David.Lebryk@do.treas.gov

Ce: Barbara.Wiss#do.treas.gov; Lori.Santamorena¢bpd.treas.gov;

Sheryl .Morrowafms.treas.gov; kurt.eidemillerefms.treas.gov;
mary.bailey®fms.treas.gov; sam. stokes@fms ,t 3. GOV;

craig. sadickefms.treas.gov; Jean.M.Lovati@stls.frb.org;

Harriet .Sieringestls.frb.orq

Subject: RE: 1DJC } DJ CSFB: Three Big Banks Have $1.58 Loan Exposure To

{(b)(5)]

If you have any additional questions, please let me know.

Glen Owens

Treasury Relations and System Support
314-444-4772
fax 314-444-8665

01100000000029


INFORMATION

MEMORANDUM FOR UNDERSECRETARY TAYLOR

FROM: Steven C. Radelet, DAS (Africa, Middle East, South Asia)
SUBJECT: OPIC's role in Enron's Power Dispute in Maharashtra
{(b)(5)}

1000000001124


Sampliner, Gary

From: Rao, Geetha

Sent: Monday, February 05, 2001 1:06 PM

To: Sampliner, Gery, Grewe, Maureen; Mills, Marshall, Christopulos, Greg; Clapp, Gene; Stewart,
Elizabeth K.; Wallace, James

Ce: Radelet, Steve

Subject: RE: India/Dabhol Meeting

John Hardy from Enron left a message this morning to inform us that Enron is planning on calling the GO! guarantee for
the MSEB's missed payments tomorrow. Around 10 days ago, Enron invoked the State guarantee for MSEB's payments
which the State did not honor, #5 of last Thursday's deadline. In the meanwhile MSEB submitted a small payment (approx
$2 milion). The State had one week to submit the payment to Enron but opted to put in place an expert committee to
teview the Dabhoi situation instead. In other news, Enron is cose to selling its 20% stake in oi/gas fields offshore of
Maharashtra and Gujarat.

01000000001153


Hammond, Donald

From: Carleton, Norman
Sent: Thursday, February 15, 2001 10:07 AM
To: Hammond, Donald; DeMarco, Edward; Ellis, Dina; Huffman, Lucy; Mcinemey, Roberta;
Constantine, Eleni; Hughes, Gerry; Stewart, Lawranne
Ce: Tishuk, Brian; Robbins, Eric; Paulus, Michael; Sutton, Gary; Huffman, Lucy; McGivern, Tom;
Nickoloff, Peter; Schultheiss, Hekilynne; Gross, Jared
Subject: RE: Bankruptcy Reform Mark-up Hearing
Don,
{(b)(5)}
Norman
—Orignal Message—
From:

Hamenond, Donald
Thursday, February 15, 2001 6:26 AM
Debierea, Eder Ei, Cine Hulman, Lucy; Carletory Nomen Mcinemay, Roberta; Constantine, Haak Hughes, Gesefs Stowe,

Sent:

To:

ca Tishuk, Brian; Robbins, Eric

‘Subject: RE: Bankruptcy Reform Mark-up Hearing

01100000000086


Page I of 2

Wiss, Barbara
From: Lebryk, David
Sent: Thursday, November 29, 2001 2:10 PM

To: ‘Lori Santamorena@bpd.treas.gov’ Wiss, Barbara: 'Glen.M.Owens@stis.rb.org’:
SheryMoroweins tees gore” a

Subject: RE: 1DJC ) OJ CSFB: Three Big Banks Have $1.58 Loan Exposure To
{(b)(5)]

Dave

+--+-Original Message-—---

From: Lori, Santamorena@bpd.treas.gov [mailto:Lori, Santamorena@bpd.treas.gov)
‘Sent: Thursday, November 29, 2001 12:14 PM

To: david.tebrykG@do.treas.gov

Subject: 1DJC ) D) CSFB: Three Big Banks Have $1.58 Loan Exposure To

——~ Forwmeded Sy Lor SantamorenalBPD on 11/2001 12.93 PM -—-
“PUBLIC DEBT, US DEPT OF TREASURYTM
<GSRSQttoomberg net> To LSANTAMORENAGSPO.TREAS. GOV
«

" sar ens Sunlect IDJC ) DJ CSF: Thee Big Banks Have $1.58 Loan
‘Exposure To =

Dy CSFB: Three Big Banks Have $3.5R Loen Exposure To Enron
2003-14-29 41:48 ONew York?

NEW TORK (Dow Jones)--Bank Of America (BAC), Citigroup Inc. (C] and J.P.
Morgan Chase (JPM) each have an estinated 6500 million in direct loan exposure
te beleaguered energy trading firm Enron Corp. (ENE), according to Credit
Suinse First Boston on Thursday

“hile noting that "deteiis on bank exposures to Enron Corp. are not
completely teassparent,* CS¥B analysts aiso seid that Bank One Corp (ONE) has 4
tikety $200 mitiion bank loan exposure, and Wachovia Corp. (WS) has « £50
million exposure.

The analysts said that the tallies represent direct loan exposures, They
#cen't reflective of balance sheet counter-party risk obligati which could
be “significant.”

“this remains a Righky fluid situation, and may require many of the long list
of banks which are likely Enron creditors to take incremental reserve additions
in the fourth quarter,” the report said

The CSEB release said that other securities tices ¢o not appear to have a
Rajet exposure to Enron, and that it estimates that fires such as Bear Stearns,
Coleman Sachs, Lehman Mrothers and Merrill Lynch likely have less than $100
Billion in totel loan exposure.

On Wednesday, Enron saw its credit ratings downgraded to junk status by the
three major credit ratings agencies, and its proposed acquisition by Dynegy
Inc. (DY8) was as a result scuttled.

-By Michael 5. Derby, Dow Jones Nevnwires; 201-938-4192,
michael .derby?dewjones com

1/16/02

01100000000088


Page 2 of 2

(ENG) Dew Jones Newswires 11-29-02
DIAGEST(AP-DJ}--11-29-01 1148EST

1/16/02

01100000000089


Enron's tariff is typically three times higher than that levied by other independent power producers because of
the high cost of naphtha and a depreciation of the rupee against the dollar. MSEB also pays a fixed monthly
charge of Rs970m, reflecting the project cost.

Phase | of the project, a 740MW plant fuelled by costly naphtha, came on stream in May 1999, and phase two, a
$1.87bn site of 1,624MW capacity designed to run on cheaper LNG, will be completed in the next few months.

Earlier this month, Enron top expatriate staff withdrew children from the American School in Bombay and left
India, a signal of the company’s security concems ahead of its decision to quit India. Enron employs 11,000
people in India.

Six years ago the radical Hindu state government then in power in Maharashtra cancelled the project before later
renegotiating a deal that a state government inquiry last month condemned as crony capitalism.

o-eOniginal Message——

From: Radelet, Steve

Sent Moncay, May 21, 2001 3:06 PM

To: Grewe, Maureen; Mills, Marshall; Rao, Geetha

Subject: Enrervinds

ENRON TO QUIT INDIAN POWER PROJECT OVER UNPAID SILLS. The US power company
Enron is set to withdraw from India after a row over unpaid bills that has
overshadowed the country's biggest single foreign direct investment, the
Financial Times reports (p.12). The Houston-based company has ssued a
“preliminary termination notice" to its Bombay client, the Maharashtra State
Electricity Board (MSEB), ending an acrimonious eight-year relationship.

Enron's $2.9 billion power project near Bombay was a symbol of India's economic
reforms but crities, including the World Bank, said its tariffs were exceasive
and the company was portrayed as a profiteering multinational. Enron's
announcement at the weekend concludes a disappointing chapter in the history of
India's power sector, which lies at the heart of attempts to improve growth and
ease poverty, the story notes.

Enron's tariff is typically three times higher than that of other independent

power producers because of the high cost of naphtha and a depreciation of the
rupee against the dollar. Enron employs 11,000 people in India, the FT adds.

1000000001150


CORRECTION

Wednesday, Decemiber 26, 2001; Page AO2

A Dec, 25 article incorrectly reported the action taken by the Senate Banking Committee, chaired
by Phil Gramm (R-Tex.), on a bill that exempted much of Enron Corp.'s trading activities from
federal regulation. The legislation was approved by the Senate Agriculture Committee.

© 2001 The Washington Post Company

01534

01200000000188


INFORMATION

MEMORANDUM FOR UNDER SECRETARY TAYLOR

FROM: Steven C. Radelet, DAS (Africa, Middle East, South Asia)
SUBJECT: OPIC’s role in Enron’s Power Dispute in Maharashtra
{(b)(5)]

1000000001121


o-Ongnal Message
From:

Sampiiner, Gary
Sent: Moncay, July 23, 2001 6:35 PM
To: Crvistapwos, Greg; Rao, Geetha
Subject: RE: Info memo to Taylor on Enron
{(b)(5)]
Message=--"

from: Christopies, Grey

Sent: Monday, July 23, 2001 6:25 PM

To: Sampler, Gary, Reo, Geetha

‘Subject: RE: Info meme to Taylor on Enron

The correct numbers are in the handout OPIC distributed at the NSC meeting, Geetha, is that
where you got the numbers?

Orginal Messager
From: ‘Sampliner, Gary
Sent: Monday, July 23, 2003 6:22 PM
To; Rao, Geetha; Cheistopuios, Greg
Subjects RE; Info meme to Taylor on Enrcn
((b)(5)]
senQniginal Message-—-
From: Rac, Geetha
Sent: Monday, July 23, 2001 5:13 PM
To: Samphner, Gary; Cvistopuios,
Subject: Info meme ta Taylor on Enron

FYI We've prepared an info memo to U/S Taylor on the Oabhol issue. DAS Radelet is
currently reviewing. If you have any clarifications, please let re know, Thanks.
<< File: (07-12-01) Enron-OPIC info memo - final.doc >>

PS Greg - these are the final talking points which were delivered to Post on Friday.

1000000001120


{(b)(5)]

01000000001135


Sampliner, Gary

From: Rao, Geetha

Sent: Monday, July 23, 2001 5:11 PM

To: Sampliner, Gary; Christopulos, Greg
Subject: Info memo to Taylor on Enron

FYI We've prepared an info memo to U/S Taylor on the Dabhol issue. DAS Radelet is currently reviewing, Hf you have any
clanfications, please let me know, Thanks.

PS Greg - these are the final talking points which were delivered to Post on Friday.

01000000001123


Subcommittees of the House Financial Services Committee and the Senate Commerce
Committee have already held hearings.

But Lieberman's panel is the top investigative committee of the Senate. Under Republican
leadership during the Clinton administration, then-chairman Fred D. Thompson (R-Tenn.)
headed an investigation of Bill Clinton's 1996 presidential campaign fundraising.

Levin and Lieberman said they intend to look into the close tics between Lay and President
Bush, a connection that some Democratic Party officials say they hope to take advantage of in
this year’s congressional election campaigns.

Levin said he wants to know what advice Lay, who was a large contributor to the Bush
campaign, gave to officials of the new administration as it formulated energy policy a year ago.
Enron “also had close relationships with some Democrats, it's fair to say," Lieberman
acknowledged. He said he expected the inquiry to be bipartisan and to have Thompson's support.
"We are going to work together," Lieberman said,

Lieberman said the committee also wants to learn whether federal regulators have the authority
to adequately oversee the complex commodity trading and financial transactions that were the
foundation of Enron's rapid growth over the past three years.

Lieberman noted that much of Enron's trading in energy derivatives was exempt from regulation
by the Commodity Futures Trading Commission, and he said a focus of the inquiry would be
whether this allowed the company to hide some transactions.

Enron was an active player in lobbying for the exemption beginning in the early 1990s,
according to sources. The exclusion was initially approved by the CFTC in 1992, and in 2000

Congress endorsed it as part of the Commodity Futures Modernization Act, despite concems of
some senior regulators.

At a joint hearing on the legislation by the Senate Banking and Agriculture committees in June
2000, then-CFTC chairman William J, Rainer spelled out his “reservations” about the exclusion
and said that "the case for it has not been made" with regard to energy derivatives,

© 2002 The Washington Post Company

01536

01200000000190


Nickoloff, Peter

From: Carleton, Norman
Sent: Wednesday, August 08, 2001 9:34 AM
To: Bair, Sheila; Eichner, Matthew; Ellett, Martha; Fisher, Peter, Gabilondo, Jose, Gross, Jared;
Lei Viva; Nickoloff, Peter; Novey, Michael; Roseboro, Brian; Schultheiss, Heidilynne;
Sutton, Gary
Subject: Retail Swaps -- Enron PowerPoint Presentation
oe weet

Attached is the Enron PowerPoint presentation for the retail swaps study group. Please note that the information is
proprietary.

01582

01200000000237


TALKING POINTS FOR US EMBASSY- INDIA

Re: Meeting with Ministries of Finance and Power and Dabhol Lenders’ Steering Committee

{(b)(5)]

01000000001141


Sampliner, Gary

From: Reo, Geetha
Sent: Wednesday, September 05, 2001 11:29 AM
To: Sampliner, Gary; Christopulos, Greg
Subject: RE: India/Union Carbide Dispute.
{(b)(5)]

sve Ongnal Message-——-

From: Sampliner, Gary

Sent: Wednesday, September 05, 2001 10:31 AM

To: Christopulos, Greg,

ce Rao, Geetha

‘Subject: RE: Endia/Union Carbide Dispate.

{(b)(5)]

From:

Chretopuies, Grey

Sent: Wednesday, September 05, 2001 10:29 AM

To: Sampliner, Gary; AEtaylor@ABAnet.org; LandbergCaG@State.Gov
Cer Rac, Geetha

Subject: Inda/Urion Carbide Dispute.

Importance: High

Dep Sec Dam is going to India next week. In preparation for the trip he asked about the Union Carbide dispute, |
didn't see anything that looked like the Union Carbide dispute in the draft Heims report.

Gary -- do you remember anything?

[(b)(5)]

Alysha -- Can you check with the commerce desk and the advocacy center or gat me the names of who | should
call?

Thanks

1000000001111


McGivern, Tom

From: McGivern, Tom
Sent: Thursday, February 15,2001 11:19 AM
To: Dorsey, Karen
Subject: FW: Bankruptcy Reform Mark-up Hearing
om Original
From: Carfeton, Norman
Sent: ‘Thursday, February 15, 2001 10:07 AM
To: Hammond, Donald; DeMarco, Edward; Elis, Diva; Huffman, Lucy; Mclnerney, Roberta; Constantine, Eleni; Hughes, Gerry; Stewart,
Ce: Tishuk, Brian; Robbins, Eric; Paulus, Michael; Sutton, Gary; Huffman, Lucy; MoGivern, Tom; Nicolo, Peter; Schuithetss,
Heiditynne; Gross, Jared
Subject: RE: Bankruptcy Reform Mark-up Hearing
Don,
((b)(5)]
Norman
~-~-Original Message-—-
From: Hammond, Donakt
Sent: Thursday, February 15, 2005 8:26 AM

01000000001198


Sampliner, Gary

From: Rao, Geetha
Sent: Friday, July 20, 2001 10.44 AM
To: Rao, Geetha: Resnick, Bonnie; Christopulos, Greg; Sampliner, Gary
Ce: Grewe, Maureen; Mills, Marshall, McDonald, Larry
Subject: RE: Reschedute of Enron's meeting
We will be having this meeting on Monday July 23 at 10-30 in Room 3430, thanks,
oo Original Message
From: Reo, Geetha
Sent: Wednesday, July 18, 2001 4:55 PM
To: Resnick, Bonne; Christopuios, Greg; Sampirer, Gary
Ce: Grewe, Maureen; Mils, Marshall; McDonald, Lary

Subject: Reschedule of Enron's meeting

Can we aim to reschedule the Enron meeting either next monday a! 10:30 am or Tuesday at 11200 am? Please
indicate preference, Thanks.

Original Message-=--
From: Rao, Geetha
Sent: Monday, July 16, 2001 4:27 PM
To: Sampliner, Gary; Grewe, Maureen; Christopulos, Greg; Resnick, Bonnie; Sits, Gay
co McDonald, Larry
Subject: Ereon Meeting the Wednesday
Importance: Hight

John Hardy, Enron (DC office), requested a meeting with Treasury to bring us up-to-date on the Enron's project in
India.

This meeting will take place on Wednesday July 18 at 3 pm in Room 3430 MT.
Please let me know if you pian to attend.

Thanks, geetha

01000000001126


FINAL - INTERAGENCY CLEARED
TALKING POINTS FOR US EMBASSY- INDIA
Re: Meeting with Ministries of Finance and Power and Dabhol Lenders’ Steering Committee

[Follow-up to meeting between Principal Secretary and National Security Advisor Mishra
and OPIC President Watson in Washington)

* Weare concerned that the continuing dispute over the Dahbol Power Project, unless
expeditiously resolved, could affect India’s investment climate and hamper development of our
bilateral economic and political relations.

© [tis important that the GOI work actively for a long-term solution for the Dabhol project. The
GO!'s involvement is critical to the sound resolution of the dispute.

© We very much appreciate the efforts to date of Ministers Sinha and Prabhu, Their continued
engagement will be critical in any long-term solution.

© We encourage the GOI to work with the Maharashtra state government to bring a speedy
resolution to the payment dispute and reinforce the need for power sector reforms in the state’s
overall efforts to support economic growth,

g secured lenders to the project di ind quickly. The lenders
represent 2/3rds of the capital invested in the project and their loans are secured by all of the
project assets, Given the current status of the project, the lenders have assumed a key
decision-making role.

¢ The lenders want to work with the government of India to resolve this problem. They have
formed a steering committee to make recommendations to the larger group about how to
proceed, Ws jals, i i ini ny i i
this steering committee at the earliest possible time in August,

© In addition, despite the full availability of the plant, Phase I cash flow has ceased. This is a
serious problem for the project and its lenders, If the GOI could encourage the restart of cash
flow to Phase I, it would provide a strong signal of the GOI's intention to seek a resolution to
the matter.

* As you know, the Overseas Private Investment Corporation (OPIC) and the Export-Import
Bank (Exim), agencies of the U.S. government, have provided significant support to the
Dahbo! Power Project. This complicates the issue in that a negative outcome of the Dabhol
problem ultimately could have unwanted legal and financial effects on our government-to-

government relations.
This Administration very much wants to build the U.S.-India relationship. The U.S.

government hopes that a creative resolution can be found to Dabhol so that we can focus
without distraction on our growing economic and political ties,

101

01000000001125


could
be "significant."

“This remains a highly fluid situation, and may require many of the long
list
of banks which are likely Enron creditors to take incretental reserve
additions
in the fourth quarter," the report said.

The CSPB release said that other securities firms do not appear to have a
major exposure to Enron, and that it estimates that firms such as Bear
Stearns,

Goldman Sachs, Lehman Brothers and Merrill Lynch likely have less than
$100
million in total loan exposure.

On Wednesday, Enron saw ite credit ratings downgraded to junk status by
the
three major credit ratings agencies, and its proposed acquisition by

Dynegy

inc. (DYN) was as a result scuttled.

-By Michael S. Derby, Dow Jones Newswires; 201-938-4192;
michael .derbysedowjones.com

(END) Dow Jones Newswires 11-29-01
214BEST(AP-DJ) --12-29-01 1148BST

(IMAGE)
(See attached file: ATT200860.gif)

01100000000011


McG Tom

From: Linda.Robertson@enron.com
Sent: Friday, March 02, 2001 1:40 PM
To: Tom. McGivern@do.treas.gov
Subject: Re: Hill

Sorry for the delay in responding. I did not anticipate that I would be
jumping from the frying pan into the fire, as they say. But little things
called the California energy crisis and some staff changes have got me
putting in nee hours than I did at Treasury. I sure miss all my friends

at Treasury. things are getting to be normal at Treasury post
transition. 1(by(6)
who I would recommend. Do you remember {(b)(6)) * He was

detailed to my office for about two months. Anway, he is great, You may
want to call him on a confidential basis to see if he is interested, if you
still need someone. I hope to see you soon. LR

Tom.McGivernsdo

.treas.gov To: linda. robertson@enron.com,
sthomas@qgadc.com

01/25/2001 cc:

01:00 PM Subject: Hilt

Well, it's way strange not having the two of you around, but I guess we're
all getting acclimated to the New World here in DC. Hope your new jobs are
going well.

I'm looking for a new attorney in my office, a Deputy to me, and ideally
would like someone with Hill experience relevant to Treasury. I'm able to
hire at the GS 15 level, which means I could pay close to or even over $100
K, based on experience. f thought the 2 of you may have been contacted by
Hill folks who are in the job market. If either of you know of anyone,
please give me a call 202-622-2317 or reply to this e-mail, Thanks.

Please keep in touch.

Your friend,

Tom

1000000001194


December 18, 2001

Senator Eyes End To Enron-Type Special-Purpose
Entities

Dow Jones Newswires

WASHINGTON -- U.S. Senate Commerce Committee Chairman Fritz Hollings, D-S.C.,
pledged Tuesday to introduce legislation to eliminate the sorts of financial accounting
that led to the financial collapse of Enron Corp. (ENE).

At a committee hearing on the Enron debacle, Hollings called for legislation to eliminate
the use of special-purpose entities, which are partnerships or trusts through which
companies keep their debt off the books and, in Enron's case, overstate earnings.

Hollings said such off-the-balance-sheet transactions should end in order to protect
investors. Hollings also was highly critical of the amount of insider stock selling by top
Enron officials. He noted that Enron Chairman Kenneth Lay and former Chief Executive
Jeffrey Skilling each sold shares in recent months for more than $60 million, while
members of Enron's board sold shares worth more than $160 million.

"The selling of Enron was prolific,” Hollings said, calling the insider selling "a screaming
red flag.”

If Enron officials felt the stock was undervalued, as they publicly attested, “why were
they cashing in?" Hollings said.

Hollings also said there was plenty of blame for the “shenanigans” associated with
Enron's collapse, which he likened to a “cancer.” He cited Enron's role in persuading the
Commodity Futures Trading Commission against the Clinton administration's call for
regulation of energy derivatives, and subsequent congressional action to exempt from
regulation the highly complex energy derivatives Enron's special-purpose entities
engaged in,

“We are all guilty for letting it happen," Hollings said of Enron's collapse.

Sen. Byron Dorgan, D-N.D., chairman of the committee's consumer affairs panel,
described Tuesday's hearings as the first of several that will delve into the roles in
Enron's financial collapse played by: Enron officials; Arthur Andersen, Enron's outside
auditor, Wall Street analysts, and regulators.

“This is about an energy company that morphed into a trading company involved in
hedge funds and derivatives. It took on substantial risks, created secret off-the-books

partnerships and, in effect, cooked the books under the nose of their accountants and
investors,” Dorgan said.

01537

01200000000191


book will include not only Qs/As on the programs for which Treasury is requesting funding in FY2002 (i.e. multilateral
development banks, debt reduction and technical assistance programs), but also a full i topi
that may come up in the course of the heerings.

In other words, this is open season for questions about intemational issues in which Treasury has a role, and we will
depend upan input from af offices to prepare for the hearings. To this end, please

«Review the attached document (“fy0t_topics"), which fists the topics for all the Qs/As prepared for last year’s
Appropriations testimony. Please add, delete, or update topics for this year’s testimony as appropriate.

©  Pregare brief Qs/As on these topics, drawing a3 much as possible on Qs/As aiready developed for the
confirmation and IF I-reform hearings. These Qs/As need to be short. Ideal format: (1) Question; (2) Answer,
with maximum of three points and each paint of two lines maximum Jength; (3) Background, if needed.

+ Send OsiAs (cleared by DASes and Genera! Counsel) to Joan Kotze by COB on Friday, May 4th. If the Qs/As
have nol yet been fully cleared by thal lime, please send the craft Qs/As as a placeholder and forward the final,
cleared versions N . Please be sure to include the name and phone
number of the drafter in the bottom nght-hand corner of each submission.

If you have any questions, please don't hesitate to contact me. Thank you for all of your efforts during this very busy
period.

Ramin
<< File: fy01_topics.doc >>

01000000001 152


To: DeMarco, Edward; Ells, Dina; Huftman, Lucy; Carteton, Norman; Mcinemey, Roberta; Constantine, Elen: Hughes, Gerry; Stewart,

Sehjets RE rary Rl Maku Heang
Ed,
(on5)]
Norman,
OS)
Don
Cig Neeage—-

From: DeMarco, Edward

Sent: Thursday, February 15, 2001 6:22 AM

To: Hammond, Donak!; Elis, Dina; Huffman, Lucy; Carleton, Norman; Mcinemey, Roberta; Constantine, Eleni; Hughes, Gerry; Stewart,
Lowranne

Ca Tishuk, Bran; Robbens, Eric

‘Subject: PW: Bankruptcy Reforin Mark-up Hearing

FYI

—-Driginal Message—--

From: Robbins, Eric

Sent: Wednesday, February 14, 2001 5:45 PM

To: DeMarco, Edward

Ce: Tishudt, Brian

Subject: Bankruptcy Reform Mark-up Hearing

H.R. 333, the “Bankruptcy Abuse Prevention and Consumer Protection Act 2001” was reported out of
the House Judiciary Committee on Wednesday, February 14, 2001. During the mark-up hearing,
cighteen amendments were offered with all but one amendment failing to pass, Voting occurred largely
along party lines. The only amendment that passed was a technical amendment offered by Chairman
Sensenbrenner. Only one Republican crossed party lines to vote for one of the seventeen other
amendments that failed,

Representative Bachus (R-AL) assured the committee that he was committed to working with

Representative Oxley from the Financial Services Committee on commercial bankruptcy provisions and
netting requirements.

1000000001199


Sampliner, Gary

From: Christopulos, Greg

Sent: Friday, May 04, 2001 12:24 PM

To: Grewe, Maureen; Katz, Nancy; Stewart, Elizabeth K.; Joy, David, Munk, Russell; Stedman,
Louellen; Setser, Brad: Baker, Jeffrey, Gunaratne, Nitmini; Sampliner, Gary

Subject: RE: ACTION (due FRIDAY); FY2002 International Affairs Appropriations Briefing Book

The India-Enron answer is fine. Gary and | already Cleared it

wOnignal Message

From: Grewe, Maureen

Sent: Friday, May O4, 2001 12:16 PM

To: Katz, Nancy; Stewart, Elizabeth K.; Joy, Davi; Munk, Russell; Stedman, Loueten; Setser, Srad; Baker, Jetfrey; Guraratne, Mimi
Christopuos, Greg; Samoliner, Gary

Subject: Pie: ACTION (due FRIDAY): FY 2002 Intermabona Affairs Approgriations 6nefirg Bock

Importance: High

<< File: 050 1testimonyqSA.doc >>

Attached please find ISM's submission for the Secretary's testimonies for clearance. | still need to run them by Steve,
$0 please clear by 2:30pm, Sorry for short turneround. Mershail had already sent Turkey ones around earlier today,
pesipdvde ‘since then was formatting, Some of the others have also been circulated earlier for clearance for the

|B meetings. .

Topics in order for ease of review are:

India - Enron Dispute

Iran - World Bank Lending

India and Pakistan - Glenn Amendment Sanctions
Turkey - Rationale for Exceptional Financing
Turkey - Multilateral vs. Bilateral Financing

Turkey - Prospects

Turkey - “Bail Out”

Thanks for your help.

-+Onganal Messages"

From: Tolow, Racnn

Sent: Weonesday, May 02, 2001 10:55 PM

To: Cottman, Phils, Engedard, Joe; Estep, Tammy; Fal, James; Harr, Roserary; Kinack, Michaet; Lee, Nancy; Lemay, Joaron;
Munk, Russel; Radelet, Steve; Schuerch, Wilam; Sebel, Mark; Thome, Juatn; Wooten, Unda; Baukal, Andrew, Berg, Kate,
Berger, Gregory; Chaves, Mary; Corley, Rebert; Crowe, Ban; Conovan, Stephen; Ovaney, Ten; Gepern, Anna: Grewe,
Maureen, Haarsager, Mathew; Harlow, Robert; Herring, Shesa; Jaakson, Juhan; Iaskowide, Mark; Johnston, Richied:

Christopher; McDonwid, Larry; Mills, Marshal; Monroe, Wibur;
Marden, Bil; Pavison, Sara; Ralyea, John; Schall, BM; Setser, Brad, Shah, Sonal, Seis, Gay; Ged; Stedman, Louellen;
Steve Backes; Tolow, Ramin; Tvardek, Steve; Wallace, James; Walsh, Helen; Warthin, Whit
ce: Donovan, Meg; Brown, Judawn; Ouncan, John; Keeler, Ten
Subject: ACTION (due FRIDAY): FY 2002 Intemational Affairs Appropriations Briefing Book
Secretary O'Neill is scheduled to testify in two different-but-related sets of hearings this month;

(1) on IFI reform before the Senate Foreign Relations Committee (May 8) and the House Financial Services
Committee (tentatively the week of May 21), and

(2) on the F¥2002 international affairs budget request before House Foreign Operations (May 15) and Senate
Foreign Operations (May 17)

Preparations for the first of these (|F! reform) are already well underway. Since the Secretary and U/S-designate

Taylor wil be away for most of next week for the Asian Development Bank meotings, we wi ‘need to have a briefing
book ready for the second (Appropriations) before the delegation leaves on Tuesday. The Appropriations briefing

1

1000000001151


((b)(5)]

Norman
Original

From: Hammond, Donald
Sent: Thursday, February 15, 2001 6:26 AM
To: DeMarco, Edward; Bilis, ina; Huffman, Lucy; Carieton, Norman; Mcinemey, Roberta; Constantine, Eleni; Hughes, Gerry; Stewart,

Ce: Tishuk, Brian; Robbins, Erie
Subject: RE! Bankruptcy Reform Mark-up Hearing

{(b)(5)]
Norman,
[(b)(5)]
Don
——Original Message-——~
From: DeMarco, Edward
Sent: Thursday, February 15, 2001 6:22 AM

f

Subject: PW: Bankrugtry Reform Mark-up Hearing
FYI

——-Onginal Message——

From: Robbins, Ene

Sent: Wednesday, February 14, 2001 5:45 PM

To: DeMarco, Edward
Ce: Tishesk, Brian
‘Subject: Bankruptcy Reform Mark-up Hearing

H.R, 333, the “Bankruptcy Abuse Prevention and Consumer Protection Act 2001” was reported out
of the House Judiciary Committee on Wednesday, February 14, 2001. During the mark-up hearing,
cighteen amendments were offered with all but one amendment failing to pass. Voting occurred
largely along party lines. The only amendment that passed was a technical amendment offered by
Chairman Sensenbrenner. Only one Republican crossed party lines to vote for one of the seventeen
other amendments that failed.

Representative Bachus (R-AL) assured the committee that he was committed to working with

Representative Oxley from the Financial Services Committee on commercial bankruptcy provisions
and netting requirements.

01100000000085


FINAL - INTERAGENCY CLEARED
TALKING POINTS FOR US EMBASSY- INDIA
Re: Meeting with Ministries of Finance and Power and Dabhol Lenders’ Steering Commitice

[Follow-up to meeting between Principal Secretary and National Security Advisor Mishra
and OPIC President Watson in Washington)

¢ Weare concemed that the continuing dispute over the Dahbol Power Project, unless
expeditiously resolved, could affect India’s tnvestment climate and hamper development of our
bilateral economic and political relations.

© It is important that the GOI work actively for a long-term solution for the Dabhol project. The
GO!'s involvement is critical to the sound resolution of the dispute.

¢ We very much appreciate the efforts to date of Ministers Sinha and Prabhu. Their continued
engagement will be critical in any long-term solution.

¢ We encourage the GOI to work with the Maharashtra state government to bring 2 speedy
resolution to the payment dispute and reinforce the need for power sector reforms in the state's
overall efforts to support economic growth.

* GOI needs to engage the secured lenders to the project directly and quickly. The lenders
represent 2/3rds of the capital invested in the project and their loans are secured by all of the
project assets. Given the current status of the project, the lenders have assumed a key decision-
making role,

© The lenders want to work with the government of India to resolve this problem. They have
formed a steering committee to make recommendations to the larger group about how to

proceed. We urge GOI officials, including the Ministers of Power and Finance, to meet with
this steering committee at the earliest possible time in August.

© Inaddition, despite the full availability of the plant, Phase I cash flow has ceased. This isa
serious problem for the project and its lenders. If the GOI could encourage the restart of cash
flow to Phase I, it would provide a strong signal of the GOl's intention to seek a resolution to
the matter.

* As you know, the Overseas Private Investment Corporation (OPIC) and the Export-Import Bank
(ExIm), agencies of the U.S, government, have provided significant support to the Duhbol
Power Project, This complicates the issue in that a negative outcome of the Dabhol problem
ultimately could have unwanted legal and financial effects on our government-to-government
relations.

© This Administration very much wants to build the U.S.-India relationship. The US.
government hopes that a creative resolution can be found to Dabhol so that we can focus
without distraction on our growing economic and political ties.

101

1000000001122


{(b)(5)]

01000000001138


Dorgan noted that Lay, Enron's chairman and chief executive, has agreed to testify at a
future hearing. Dorgan also said the committee will invite Skilling, Enron's former chief
executive, and Andrew Fastow, Enron's former chief financial officer, to testify at the
same hearing.

“Was this just bad luck, incompetence and greed, or were there some criminal or illegal
actions, as has been suggested by the accounting firm that reviewed Enron's books?”

Dorgan said.

01538

01200000000192


mary. bailey@fms.treas.gov; sam. stokes@fms.t:
craig.sadickefms.treas.gov; Jean.M.Lovatigs'
Harriet .Siering@stis,frb.org

18 GOV;
itis.frb.org;

Subject: RE: 1DJC ) DJ CSFB: Three Big Banks Have $1.55 Loan Exposure To

((b)(5)]

If you have any additional questions, please let me know.

Glen Owens

Treasury Relations and System Support
314-444-4772

fax 314-444-6665

David. Lebrykedo

-treas.gov
Lori. Santamorenasbpd .treas.gov,

11/29/02 01:10
PM

Three Sig
To

To:

Barbara.Wissédo.treas.gov,
Glen.M.Owenséstls.frb.org,
Sheryl .Morrowefms.treas.gov

ce:

Subject: RE: 1DJC ) DJ CSFB:
Banks Have $1.5B Loan Exposure

01100000000009


Enron Executives Face Subpoenas

Senate Panel Also Orders Testimony of Directors
By Peter Behr and Dan Morgan

Washington Post Staff Writers

Thursday, January 3, 2002; Page EOL

A Senate commitice announced yesterday that it is subpocnaing top executives and directors of
the bankrupt Enron Corp. to determine their roles in the Houston company’s epic collapse.

Three other congressional committees already are digging into the Enron failure, but the
subpoenas announced yesterday are believed to be the first of the congressional probes. Among
the likely recipients is Wendy Gramm, an Enron director who is the wife of Sen. Phil Gramm (R-
Tex.).

Sen. Carl M. Levin (D-Mich.), chairman of the Governmental Affairs Committee's permanent
subcommittee on investigations, said the pancl also will subpocna financial and trading records
from Enron and audit documents from its accountant, Arthur Andersen LLP.

Enron's attomey, Robert Bennett, called the subpoenas “totally unnecessary” and said "we are
fully cooperating with Congress,”

Although Enron Chairman Kenneth L. Lay did not show up for two earlier congressional
hearings on Enron's bankruptcy, he has agreed to testify next month before the Senate Commerce
Committee, Bennett said.

Enron has tumed over nearly three dozen boxes of documents to the House Energy and
Commerce Committee, Bennett said, "I don't question the legitimacy of an inquiry [into Enron's
failure], but it's not a measured approach to have a half-dozen different committees doing this at
the same time,” he said. "It can lead to a circus atmosphere and a lot of wasted time and effort.”
The full Governmental Affairs Committee has scheduled a hearing for Jan. 24 on Enron's use of
a large number of partnerships that kept billions of dollars of corporate debt off the company's
books. The hearing will also examine whether federal regulators missed warming signs of the
company’s trouble.

Accounting errors involving the private partnerships caused Enron to overstate its carnings by
half a billion dollars over the past four years. Enron's disclosure of the overstatement, in

November, triggered a final plunge in the company’s stock price and the company’s bankruptcy
filing Dec, 2.

Sen. Joseph [. Lieberman (D-Conn.), chairman of the full committee, said, "The focus is, how
did this corporation collapse, and what can we do to make sure that something like this never

happens again?"

Lieberman's committee joins an already crowded field of Enron inquiries. The House Energy and
Commerce Committee has sent investigators to interview Enron officials in Houston.

01535

01200000000189


{(b)(5)]

;

Message

Donald

j February 15, 2001 6:26 AM

Edward; Elis, Dina; Hutiman, Lucy; Carteton, Norman; Melnerney, Roberta; Constantine, Eleni; Hughes, Gerry; Stewart,
Brian; Robbins, Eric

Bankruptcy Reform Mark-up Hearing

ii

ee

g a #7

{(b)(5)]
Norman,

{(b)(5)}

g

From: Demarco, Edward
Sent: ‘Thursday, February 15, 2001 8:22 AM
To: Hammond, Donald; Eflis, Dina; Huftman, Lucy; Carleton, Norman; Mclinemey, Roberta; Constantine, Eleni; Hughes, Gerry; Stewart,

Cc: Tistuk,
Subject: FW: Bankruptcy Reform Markup Hearing

From: Robbins, Eric
Sent: Wednesday, February $4, 2001 5:45 PM
To: DeMarco, Edward

Ce: Teshuik, Brian
Subject: Wankruptcy Reform Mark-up Mearing

H.R. 333, the “Bankruptcy Abuse Prevention and Consumer Protection Act 2001” was reported out
of the House Judiciary Committee on Wednesday, February 14, 2001. During the mark-up hearing,
eighteen amendments were offered with all but one amendment failing to pass. Voting occurred
largely along party lines. The only amendment that passed was a technical amendment offered by
Chairman Sensenbrenner. Only one Republican crossed party lines to vote for one of the seventeen
other amendments that failed.

Representative Bachus (R-AL) assured the committee that he was committed to working with
Representative Oxley from the Financial Services Committee on commercial bankruptcy provisions
and netting requirements.

01100000000083


McGivern, Tom

From: McGivern, Tom
Sent; Friday, November 30, 2001 1:12 AM
To: Carleton, Norman
Subject: RE: Enron's Financial Woes Ripple Out Across Asia
thx
swOnginal Message--—
From: Garteton, Norman
Sent: Thursday November 29, 2001 6:19 PM
To: Bar, Sela; Berard, Steve; Bitsdenger, Timothy; Cetina, J; Eichner, Matthew; Gabllondo, Jose; Gross, Jared; Hammer, Viva; Lori

Sanatamorena (E-mail); Nickolotf, Peter; Novey, Michael; Pretrangel, Fred; Roseboro, Brian; Schulthelss, Heidiyrine; Sharer,

James; Whaley, Jean; Wiedman, Mark; Bleger, Peter; DeMarco, Ecward; Dorsey, Karen; Ellett, Martha; Elis, Dina; Huffman,

Lucy; Hughes, Gerry; McGvem, Tom; Meinemey, Roberta; Salladin, Anne; Smith, Amy; Sutton, Gary; Tishuk, Brian
Subject: Enron's Financial Woes Ripple Out Across Asia

November 30, 2001

Major Business News

Enron's Financial Woes
Ripple Out Across Asia

By JASON BOOTH, HENNY SENDER and RICHARD B. SCHMITT
Staff Reporters of THE Wait STREET JOURNAL

The sudden deep financial troubles of U.S. energy giant Enron Corp. sent ripples of concern
across Asia, damaging investments in Japan and potentially undermining businesses in South
Korea and Australia.

The uncertainty for Asia is likely just beginning. If Enron files for protection under Chapter 11 of
the federal Bankruptcy Code in the U.S., as many investors and financial experts now expect, it is
likely to be one of the messiest, most complex bankruptcy cases ever, lawyers say. That is
because of the multifaceted nature of Enron's once highflying operations, which combined a
global energy business with a massive financial-trading operation involving tens of billions of
dollars in complex contracts. A filing by Enron, with about $13 billion in debt, would rank among
the largest bankruptcy filings ever. Enron has about 800 trading partners or creditors.

The scale of the Enron collapse is huge, experts say. "There is nothing to compare it to,” said
Edward Tillinghast, a bankruptcy specialist with Coudert Brothers in New York. “The business was
so large. There were so many different kinds of operating entities under the Enron umbrella."

On Wednesday, as the last-ditch merger with Dynegy Inc. unraveled, the company's credit was

downgraded to “junk” status by rating agency Standard & Poor's Corp. The stock market,
signaling that a bankruptcy filing is expected, hammered Enron stock, which was halted for a time
1

01000000001181


It supported the 1992 Energy Policy Act, which opened the utility companies’ wires to electricity
merchants such as Enron. It also worked with the Commodity Futures Trading Commission --
then chaired by Wendy Gramm -- for a regulatory exemption for futures trading in energy
derivatives, which later became Enron's most lucrative business. Soon after Gramm stepped
down in 1993, she was appointed to Enron's board.

Independent sources knowledgeable about these dealings, however, said Enron was not the main
interested party. They said the lead was taken by several major oil companies, including British
Petroleum Co. and Phillips Petroleum Co., which were concemed about the effect of CFTC
regulation on their offshore trading in crude oil contracts. Wendy Gramm, an apostle of free
markets, needed little convincing, the sources said,

‘That same year, Lay served as chairman of the committee organizing the Republican National
Convention in Houston. Hedging its bets, Enron made a major contribution to a "street fair" in
honor of Sen. John Breaux (D-La.), a key energy policymaker, at the Democratic convention.
Key orders by FERC in 1996 also supported Enron's transformation into a freewheeling trader of
gas, electricity and more exotic products, such as telecommunications services and sulfur-
dioxide emissions credits.

The new rules ensured that Enron and other merchant companies could buy electricity from
independent power plants and sell it to distant customers, using transmission lines borrowed
from utility companies.

Even Enron's harshest critics credit Lay with putting new issues -- such as electricity
deregulation -- on the Washington agenda. Lay,a former Interior Department official with a PhD
in economics, became "the ambassador" for deregulation, one former employee said.

Throughout the 1990s, Enron's agenda was opposed by coal-burning utilities, especially ones in
the Southeast, which viewed the emerging wholesale electricity market as a threat to their turf.
Many of these, such as Atlanta-based Southem Co., had impressive political funding and

connections of their own,

But with the explosive growth of Enron and the GOP takeover of Congress in 1995, the
company’s soft-money donations -- unregulated and unlimited gifts to political parties and
organizations -- jumped sharply, They went from about $136,000 in the 1993-94 election cycle,
to $687,000 in 1996 and $1.7 million in 2000, according to the Center for Responsive Politics.

Frustrated by Washington

For all its connections, sources say, Enron often found Washington frustratingly slowand
unreliable,

The company placed a substantial bet on federal support for limits on the greenhouse gases
causing global warming. Enron officials hoped to exploit a new market in industry for carbon-

emissions credits, similar to the one that developed for sulphur credits after clean-air legislation
was enacted in 1990.

01531

01200000000185


on Wednesday, and knocked lower some of its financial backers' shares. Enron shares closed at
4 p.m. in New York Stock Exchange composite trading at 61 cents, down $3.50, or 85%.
Thursday morning in New York, Enron was trading down 33%, or 20 cents, to 41 cents. On
Wednesday, Enron bonds also fell sharply, dropping to 50 cents on the dollar from around 55
cents, reflecting concerns over how much creditors might receive if the company does seek

bankruptcy-court protection,

Enron spokeswoman Karen Denne said the company is exploring its options and wouldn't
comment on whether it has retained bankruptcy counsel.

The fallout in Asia was felt immediately on Thursday. The biggest news was in Sydney, where
Enron Australia said it was suspending operations pending further developments regarding its
U.S. parent. "We are now waiting for clarification about Enron's situation globally and will advise
the local market once we have received that advice," legal counsel Rob McGrory said.

The announcement followed a warming by Standard & Poor's about counterparty exposure in the
Australian electricity market, citing the overnight downgrade of Enron. “The recent developments
with Enron serve as a further example of the credit risks faced by energy market participants as
they seek to manage their market risks in Australia's volatile power market,” said Laurie
Conheady, an associate director at Standard & Poor's.

Similarly, Enron's presence in South Korea appears to be nearing an end, According to officials at
SK Corp., Enron plans to sell its 50% stake in joint venture energy distribution firm SK-Enron Co,
SK-Enron was formed in 1999, and controls about 25% of South Korea's natural-gas market,
according to the firm's Web site.

Analysts said that Enron had offered to sell its stake to SK Corp., yet the Korean partner said it
has no plans to buy the shares. "We already hold 50% ... we don't need the rest," said a company
spokesman, Daniel Youn,

Enron was also considered a potential buyer of power generation assets from South Korean
government-controlled Korea Electric Power Corp. Kepco is looking to sell assets as past of a
wider privatization drive,

Pressure elsewhere in the region was felt primarily in the financial markets, In Tokyo, the value of
money management funds Nikko Asset Management Co., UFJ Partners Asset Management Co.,
Japan Investment Trust Management Co. and Sumisei Global Investment Trust Management Co,,
fell due to their exposure to Enron debt, which amounted to about 40 billion yen ($324.9 million).
Enron news also sparked volatility in the copper and U.S, dollar market, according to traders.

Other financial backers of Enron were negatively effected as well. J.P. Morgan Chase and
Citigroup, which have invested hundreds of millions of dollars in hopes of keeping the Enron-
Dynegy deal alive, saw their stocks fall on Wednesday trading in the U.S. On Thursday moming
Citigroup shares posted slight gains, rising 19 cents to $47.99, while J.P. Morgan Chase shares
were flat at $37.50. J.P. Morgan Chase said in a statement it has about $500 million of unsecured
exposure to Enron entities, including loans, letters of credit and derivatives. It said it also has
secured exposures, including $400 million in loans secured by Enron pipelines.

Besides banks and bondholders, dozens of companies, municipalities and utilities in the U.S. that
had signed multiyear power contracts with Enron may be left in the lurch. Over the years, the
likes of retailer J.C. Penney Co., and shopping-mall company Simon Property Group signed on
with Enron, as it undercut local utilities in newly deregulated markets.

2

01000000001182


From: Linda Robertson

To; McAulifiel, DOPO6. MCGIVERNT, exit, KiaskyH, summer...
Date: 11/300 4:31pm

‘Subject: Thanks

feasons we had 50 many successes during this period, economically and in social justice. | truly will miss showing
up here next Monday morning. But most of ail | will miss our professional and personal relationships, although |
know they are not over, but that they will simply now be from a bit further distance

J will be starting work next Monday at Enron. When | have new telephone number, E-mail, and mailing info, | wi

my
have Janet forward it to you. In the meantime, my home telaphone number is [()(6)] Again, thank you very
much for being a part of my professional life.

01000000001210


Subject: Enron meeting at NSC

NSC is holding a meeting on Enron's India Dabhol project next Thursday at 10:30am. | have a
couple of confficting meetings at that time, but probably should go to this, Just wanted to let
everyone knaw. Not sure what the thrust of the meeting will be.

Greg -- would you be interested in attending as wel? Could you see if you can find out from your
State contacts what the point of the meeting is? | understand that at least Gary Usrey (South Asia
Bureau), Tom Goldberger (EB) and Karen Walker (7) will be there from State.

Mi let you know if | hear more about this. Thanks.

01000000001148


Lebryk, David

From: Glen, M.Owens@stis.frb.

ears: indy, December 02, 2081 11:05 AM

To: David.L treas.gov

Ce: Barbara. Wiss@do treas. gov; craig ce naoaess treas, sre Nagase frb.org;
{on Gntenerena td tes ph ie Seceon stokes@fms.treas.
Lori. — mary, 3. sam. gov;
Sheryl Morrow@(ms.. trea:

Subject: RE: {OC ) DJ CSFB: Three Big Banks Have $1.5B Loan Exposure To

[(b)(5)]

If you have any additional questions, please let me know.

Glen Owens

Treasury Relaticna and System Support
314-444-4772

fax 314-444-8665

David. Lebrykedo

-treas.gov To: Glen.M.Qwens@stls.frb.org,
David, Lebrykédo.treas,gov

11/30/01 10:43 eer Barbara .Wiss¥do.treas.gov,

aM Lori. Santamorenasbpd .treas.gov,

Sheryl .Morrow@fmw.treas.gov,
kurt .eidemillerefms.treas.gov,
mary.bailey@fms.treas.gov,
8am. stokes®fms .treas.gov,
craig. sadick@fms.treas.gov,
Jean.M.Lovati@stls.£
Harriet .Sieringest
Subject: RE: 167C ) DJ CSFB: Three Big
Banks Have $1.58 Loan Exposure To

{(b)(5)]

ooee- Original Message-----

From: Glen.M.Qwens€stls.frb.org [mailto:Glen.M.Owens@stls.frb.org]
Sent: Friday, November 30, 2001 8:05 AM

To; David. grees re

gov
-gov: Lori.SantamorenaSbpd.treas.gov;
a. peaniay gov; kurt.eidemillersfms.treas,gov;

01100000000008


Hammond, Donald

From: Hammond, Donakd
Sent: Thursday, February 15, 2001 10:25 AM
To: Carleton, Norman
Subject: RE: Bankruptcy Reform Mark-up Hearing
Norman,
{(b)(5)]
Don
oo Original Message--—

From: Carleton, Norman

Sent: Thursday, Feoruary 15, 2001 10:07 AM

Tor Hammond, Donald; DeMarco, Edward; tis, Dina; Huffman, Lucy; Mcinemey, Roberta; Constantine, Beni; Hughes, Gerry; Stewart,
Cet Tats Stor: Robbing, Enc; Pau, Micheal; Sutton Gary; Huftman, Lucy; Meivern, Tom; Nicheoll, Peter; Schulthets, Heldtyene;
Subject: RE: Bankruptcy Reform Mark-up Hearing

Don,
{(b)(5)]

01100000000084


((b)(5)]

Many thanks.

Tedd

01000000001118


((b)(5)]

Norman

--—-Onginal Message—-~-

From: Hammond, Donald

‘Sent: Thursday, February 15, 2001 6:26 AM

To: DeMarco, Edward; Elis, Dina; Huffman, Lucy; Carleton, Norman; Mcinerney, Roberta; Constantine, Beri; Hughes, Gey; Stewart,
Cc: Tish, Brian; Robbie, Eric

‘Subject: RE: Bankruptcy Reform Mark-up Hearing

Ed,
{(b)(5))
Norman,
((b)(5)]
Don

---Onginal Message—-—

From: DeMarco, Edward

Sent: ‘Thursday, February 15, 2001 8:22 AM

To: noronnt eee, Dan at, iy xe Reem Heanor ese Sen aes OY
ance

Cc: Testuik, Brian; Robbins, Eric

Subject: PW: Bankruptcy Reform Mart-up Hearing

Bankruptcy Reform Mark-up Mearing

HLR. 333, the “Bankruptcy Abuse Prevention and Consumer Protection Act 2001” was reported out
of the House Judiciary Committee on Wednesday, February 14, 2001, During the mark-up hearing,
cighteen amendments were offered with all but one amendment failing to pass. Voting occurred
largely along party lines. The only amendment that passed was a technical amendment offered by
Chairman Sensenbrenner. Only one Republican crossed party lines to vote for one of the seventeen
other amendments that failed.

Representative Bachus (R-AL) assured the committee that he was committed to working with

Representative Oxley from the Financial Services Committee on commercial bankruptcy provisions
and netting requirements.

01000000001197


McGivern, Tom

From: McGivern, Tom

Sent: Tuesday, February 20, 2001 8:49 PM
To: Carleton, Norman

Subject; RE: Briefing on Technical Changes

Sorry about missing today's meeting; when was it scheduled, because I don't think I knew
about it. I give you a call tomorrow morning about the latest offer.

From: Carleton, Norman

Sent: Tuesday, Pebruary 20, 2001 4:00 PM
To: McGivern, Tom

Subject: RE: Briefing on Technical Changes

I think anyone who wante to attend should just go to the meeting. 1 don't expect hordes.

Incidentally, you missed the meeting today with Wall Street folks. ((b)(5)]

From: MeGivern, Tom

Sent: Tuesday, February 20, 2001 2:20 PM
To: Carleton, Norman

Subject: RE: Briefing on Technical Changes

Should we discuss who should attend, or should everyone who wants to go over?

«----Original Messag
From: Krimminger, Michael H. [{mailto:MKrimmingersFDIC.gov)

Sent: Tuesday, February 20, 2001 1:09 PM

To: ‘Stephanie.Martin®frb.qov'; ‘norman.carleton@do.treas.gov';
‘jearleyscftc.gov'; ‘nancy.michaleski#occ.treas.gov'; 'MooneyJ@sec.gov';
‘Joyce. Hansengny.frb.org’; ‘Michael .Nelson@ny.frb.org';

‘Tom. McGivernedo. treas.gov’

Subject; Briefing on Technical Changes

Please inform other attendees in your agencies that the meeting will be at
1730 Pennsylvania Avenue in the 6th floor conference room. We will have
someone there to meet you when you arrive around 10 a.m.

Thanks,

Mike Krimminger

01000000001195


H.R, 333, the “Bankruptcy Abuse Prevention and Consumer Protection Act 2001" was reported out of
the House Judiciary Committee on Wednesday, February 14, 2001. During the mark-up hearing,
eighteen amendments were offered with all but one amendment failing to pass. Voting occurred largely
along party lines. The only amendment that passed was a technical amendment offered by Chairman
Sensenbrenner. Only one Republican crossed party lines to vote for one of the seventeen other
amendments that failed.

Representative Bachus (R-AL) assured the committee that he was committed to working with
Representative Oxley from the Financial Services Committee on commercial bankruptcy provisions and
netting requirements.

01100000000087


{(b)(5)]

01000000001131


Page 2 of 2

— Formatded by Lor Santamorena/ BPO on PU2R01 12:03 PM mmm
“PUBLIC DEBT, US DEPT OF TREASURYTM

<GSRSqbioombery net» bi
LSANTAMORENAQEPD. TREAS. GOV
11WaH08 12:07 PM af
bec:

Suto 1DJC } D4 CSFB: Th
Banks Have $1.58 Loan Exposure To

2 CEFR) Three Big Ranks Have $1.58 Loan Exposure To Enrce
2O0A-2E-25 32148 (New York)

MEW YORK (Dow Jonew)--Mank Of America (BAC), Citigroup inc. [C) and J.P.
Morgan Chase (JPM) each have an estimated $500 million im direct loan exposure
to beleaguered energy trading fire maron Corp, (EWE), according to Credit
Suisse First Bosten on Thuraday,

Wile noting that ‘details on bank exposures to Enron Corp. are not
completely transparent,* CSFB analysts also said that hack Coe Corp (Cx) has &
Likely $300 million bank loan exposure, and Wachovia Corp, (MB) haw « $50
Million exposure.

‘The analysts said that the tallion represent direct loan exposures. They
aren't reflective of balance sheet counter-party ziek cbligations, which could
be *significant.*

“This remaine a Righly fluid situation, and may require sany of the long list
of banks which are likely Enron creditors to take incremental reserve sdditioas
in the fourth quarter, the sepost said.

‘The CSFS release oaid that other securities fires de sot appear to have
major exposure to Enron, and that it astivates that firms such as Bear Stearne,
Goldman Sache, teleas Brothers and Merrill Lynch likely have less than $190
million in total loan exposure.

On Wednesday, Enron saw itu credit ratiaga downgraded to junk statue by the
three major credit ratings agencies, and ite proposed acquiuition by Dynegy
Ine, (OYW) wan as a result scuttled,

-By Michael §. Derby, Dow Jones Newewires; 201-928-4292)
michael derbysdowjcnes.com

(END) Dow Jones Newewires = 11-29-01
DIAGESTIAP-DJ} «21-29-02 1148RST

mace}

01/18/2002

01100000000007


David, Lebrykedo
+treas.gov

11/29/02 01:20
ad

{(b)(5)]

Dave
-----Original Message
From: Lori.Santamorena@bpd.treas.gov

[mailto:Lori .Santamorenasbpd.treas.gov)
Sent: Thursday, November 29,

To: david. lebrykédo.treas.gov
Subject: 1pIC

-+++~ Forwarded by Lori Santamorena/BFD on 11/29/01 12:13 PM

To: Lori. Santamorena¢@bpd.treas.gov,
Barbara .Wissedo.treas.gov,
Glen.M.Qwens@etls.frb.org,

Sheryl .Morrow#fms .treas.gov

ce:

Subject: RE: 1D0C ) DJ CSFB: Three Big
Banks Have $1.58 Loan Exposure To

2001 12:14 PM

) DU CSFB; Three Sig Banks Have $1.5B Loan Exposure To

“PUBLIC DEBT, US DEPT

OF TREASURY" To:
<GSRS@bloomberg.net> LSANTAMORENAGBPD.TREAS
.GoV
12/29/01 12:07 PM ee:
bee:
Subject:

1DJC ) DJ CSFB: Three
Big Banke Have $1.5B
Loan Exposure To

DJ CSFB: Three Big Banks Have $1.5B Loan Exposure To Enron

2001-11-29 11:48 [New York)

NEW YORK (Dow Jones)--Bank Of America (BAC), Citigroup Inc. (C) and

J.P.

Morgan Chase (JPM) each have an estimated $500 million in direct loan

exposure

to beleaguered energy trading firm Enron Corp. (ENE), according to Credit

Suisse First Boston on Thursday.
While noting that "details on bank

completely transparent,”
has a

to Enron Corp. are not

exposur’
CSFB analysts also said that Bank One Corp (ONE)

01100000000030


Sampliner, Gary

From: Rao, Geetha

Sent: Thursday, July 12, 2001 5:39 PM

To: poe Gay, Berg, Katie; Grewe, Maureen; Resnick, Bonnie; Christopulos, Greg; Sampiiner,
ary

Ce: Donovan, Meg; Mills, Marshall; McDonald, Lerry, Radelet, Steve

Subject: RE: Dabhol meeting on Enron/OPIC project at NSC

Importance: High

We have a final set of talking points tor both Treasury and State to send over to NSC by COB today ..... please comment
by 6 pm today if you have any concerns... itis line with what we had suggested. We've also posed some questions to
OPIC. Thanks! and sorry for the short deadline!

Original Messaqge-----

From: Speck, Janet G (mailto:SpeckJGestate gov)

Sent: Thursday, July 12, 2001 5:20 PN

To; ‘Rac, Geetha’; Usrey, Gary S; Gadzinski. Peter S; Shub, Adam M(E);
Walker, M Karen; ‘brooks, jo’

Ce: Scholz, Wesley S; Delare, Thomas 1; Bay, Janice F

Subject: TALKING POINTS FOR US EMBASSY- INDIA

Attached are talking points for the Embassy to deliver to the GOI re Dabhol
They have been revised as per Treasury's suggestions. Please let me know
asap if you have further comments so that we can forward them to the NSC
tonight. Thanks.

‘Grewia! Oeone
verte
Qing nal Message——
From: ‘Sms, Gay
Sent: ‘Tharsday, July £2, 2001 3:18 PM
To: Rao, Geetha; Berg, Katie; Grewe, Maureen; Resnick, Bore; Cvistopulos, Greg: Sampiner, Gary
Ce: Donowan, Meg; Mills, Marshall; McDonald, Larry, Radelet, Steve
‘Subject: RE: Dabhol meeting on EnroryOPIC project at NSC
{(b)(5))
-=-Ongeal Message

Berg,
Co Somavan, Meg: Métis, Marshall; McDonald, Larry;
Subject: RE: Oabhol meeting on EnroryOPEC project a NSC
Importance: High

Attached are the talking points that State sent over this morning. Please review and send back any comments by
1:30 pm TODAY. We need to submit a joint set of TPs today. [(b)(5)]

any other
suggestions?

<< File: EmbtalkY¥1 State.doc >>

Rao, Geetha

01000000001133


Thanks.

ose-- Original Message-----

From: Kosmides, Ivy

Sent: Wednesday, July 25, 2001 1:36 PM

Te: Christopulos, Greg

Ce; Todd Crawford

Subject: FW: MIGA/R2001-0047, Dominican Republic, guarantee to
investments in Edenorte and Edesur

Greg... for you.

socee Original Message-----

From: terawford@worldbank.org (mailto; tcrawfordaworldbank.org]

Sent: Wednesday, July 25, 2001 1:37 PM

To: ivy. kosmides@do.treas.qov

Subject: MIGA/R2001-0047, Dominican Republic, guarantee to investments
in Edenorte and Edesur

Ivy - Would you forward this to Greg, ple
won't

communicate w/ him today. Oen‘t understand why, as I believe I have his
correct

e-mail address. Thanks. T

. For some reason, my machine

wrett Forwarded by Todd W. Crawford/Person/World Bank EDs on 07/25/2002

01:36 DM
Todd Ww.
Crawford Tor

Greg.Christopulos@Do. Treas.Gov,
Katerina.Sloniewsky@Do. Treas .Gov,
Stephen.Altheimedo.Treas.Gov,

07/25/2001 Dirk. Joldersma@Do.Treas.Gov,
Recinoshe@State.Gov

12:00 PM cc:
Barbara.HollowayeDe.Treas.Gov, Barbara Geiser

80112 EDSO1 Subject: MIGA/R2001-0047,

Dominican Republic, guarantee to
investments in Edenorte and Edesur

Greg et al,

{((b)(5)]

1000000001117


From: Michael Kaplan

To: DUPUYM, LoevingerD, DOM3.DOPOS. SAMPLINERG
Date: G/2W00 4:08pm

Subject: MIGA - Enron-indonesia -Reply

{((o)(5)]

>>> Gary Sampliner 06/20/00 03:49pen >>>

{((b)(5))

cc: BurandD, SILLSG, DOM3.00PO8.BARBERF, DOM3.00PO6.MU...

01000000001162


Lay joined the Union of Concemed Scientists and environmental groups in calling for curbs on
carbon in the atmosphere, The Clinton administration was supportive, but this year the Bush
administration reneged on a campaign pledge to impose limits on greenhouse gas emissions from
coal-burning power plants.

A multimillion-dollar lobbying campaign in Congress to secure legislation requiring states to
institute retail electricity deregulation fared even worse.

Enron hired former New York representative Bill Paxon, a leading conservative, to run
Americans for Affordable Electricity, which commissioned studies and recruited business
support for deregulation. But the legislation never made it out of a congressional subcommittee.
At the same time, Enron was growing restive over the slow pace of deregulation in the wholesale
electricity market, the core of its business. Large parts of the country, especially the Southeast,
were still monopolized by regulated utilities that limited the opportunity for trading gas,
electricity and energy derivatives.

Political Pragmatism

Enron's political pragmatism was demonstrated in the 1998 New York Senate election, when it
dropped its support of the Republican incumbent, Alfonse M. D'Amato, after Democrat Schumer
endorsed Enron's goal of wholesale deregulation, sources said. Lay reciprocated by hosting
several fundraisers for Schumer, and Enron's political action committee contributed $7,500 to the
Schumer campaign.

The company's lobbying team expanded along with its political spending. It outgrew the two-
person operation that existed in 1989 and began to reflect Enron's interest in everything from
pipeline safety and derivatives trading to Overseas Private Investment Corp. loan guarantees. By
last year, its lobbying expenses exceeded $2 million a year and covered a raft of big-name
consultants, such as former Montana governor Mare F, Racicot, the new Republican National
Committee chairman, and former top aides to House Majority Leader Richard K. Armey (R-
Tex.) and House Majority Whip Tom DeLay (R-Tex.)

‘The hazards of Enron's efforts to connect with both parties were evident last year, when shortly
before the November election, the company picked a Clinton administration Treasury official,
Linda Robertson, to run its Washington office,

A perturbed DeLay, whose campaign and related funds had received more than $100,000 from
Enron and Lay, briefly "excommunicated" Enron, a House source said. Robertson was not
invited to a series of meetings of electricity lobbyists held in DeLay’s office last July, though an
Enron official did finally attend the sessions.

Enron had more success when Congress overwhelmingly approved legislation last year
containing a provision precluding the Commodity Futures Trading Commission (CFTC) from
regulating Enron's trading in energy derivatives. These instruments are traded largely between
electricity dealers and big wholesale consumers, which use them to hedge against price swings
that could adversely affect their businesses.

01532

01200000000186


((b)(5)]

01000000001142


Sampliner, Gary

From: Kosmides, lvy

Sent: Wednesday, July 25, 2001 433 PM

To: "Recinos, Helen G" Christopulos, Greg; Sloniewsky, Katerina; Sampliner, Gary,
"TCrawtord@WorldSank.org’: Joldersma, Dirk

Subject: RE: MIGA/R2001-0047, Dominican Republic, guarantee to investments in Edenorte and
Edesur

M
(DAT Day News ~
Wedrestay. 2 Notable quote from Guillermo Perry on DR power sector. See attached #1-3,

{(b)(6)]

=---- Original Me:
From: Recinos, Helen G [mailto:RecinosHGastate.gov]

Sent: Wednesday, July 25, 2001 3:56 ®M

To; ‘Greg.Christopulosédo.treas.gov';
‘Katerina.Sloniewsky@do.treas.gov': 'Gary.SamplinerSdo.treas. gov";
‘Ivy-Kosmidesédo.treas.gov'; ' Tcrawford@WorldBank.org’

Subject: RE: MIGA/R2001-0047, Dominican Republic, guarantee to
investments in Edenorte and Edesur

((b)(5)]

o---- Original Message----~

From: Greg.Christopulos@do.treas.gov

{mailto :Greg.Christopulos@do.treas.gov]

Sent: Wednesday, July 25, 2002 2:05 PM

To: Recinoshg@State.Gov; Katerina.Sloniewsky@do.treas.gov;
Gary .Satplinergdo.treas.gov; Ivy. Kosmides@do.treas.gov;
‘Terawford@Worldbank.org

ct: RE: MIGA/R2001-0047, Dominican Republic, guarantee to
investments in Edenorte and Edesur

{(b)(5)}

Helen -- please check with the State inv office. IT sent Todd e-mail to
Landberg and Tracton. [(b)(6)]

1000000001116


McGivern, Tom

From: McGivern, Tom

Sent: Tuesday, February 13, 2001 5:35 PM

To: Dorsey, Karen

Subject: FW: Proposed Changes to Netting Bill - Comments
wenn Original Message-~--~-

From: Krimminger, Michael H. {mailto:MKrimminger@FDIC.gov)
Sent; Tuesday, February 13, 2001 4:47 PM

To: 'norman.carleton@do.treas.gov'; ‘stephaniec.martin@frb.gov';
‘Tom. McGivern@do.treas.gov'; ‘MooneyJSsec.gov"

Cc: DeLoose, Michael; Ivie, Stanley R.; Tishuk, Barbara Starke
Subject: Proposed Changes to Netting Bill -- Comments

{(b)(5)]

01000000001200


Sampliner. Gary

From: Rao, Geetha

Sent: Tuesday, January 23, 2001 1:24 PM

To: Sampliner, Gary. Grewe, Maureen; Mls, Marshall; Christopulos, Greg; Clapp, Gene; Stewart,
Elabeth K.

Ce: Radelet, Steve

‘Subject: RE; India/Dabhol Meeting

As of mid-January, a case has not been fied against Enron. Since the GoM stepped in and agreed to pay half of
MSEB's outstanding bill, perhaps the possibility of a court case has been dropped. Hopefully, ihe Enron folks can
further elucidate tomorrow,

Can i
(e (5) 1? We can also bring this point up tomorrow. —

-~--Onignal Message-=-

From: Sampliner, Gary

Sent: Tuesday, January 23, 2001 1:10 PM

To: Rao, Geetha; Grewe, Maureen; Mis, Marshal; Crvistapuins, Greg: Capp, Gene
cc Radelet, Steve

Subject: RE: India/Cabhet Meeting

[(b)(5)]

Original Message--~

From: — a0, Geetha

Sent: Tuesday, Jarwary 23, 2001 9:37 AM

To: reas, rau; Ye, Meal: Semple, Cur Cwimarten, Sam: HER Ce

Ce: Racelet,
‘Subject: RE: Incia/Dapnol Meeting

{(b)(5)}

01000000001154


year, according to sources, While noting that the committee's agenda had not yet been
formulated, his spokesman did not rule out the prospect. “It's definitely a possibility,” he said.

Moreover, members of the House Financial Services Committee are trying to move a provision
of the bankruptcy legislation pertaining to financial netting-perhaps as part of the economic
stimulus package-in the event the underlying bill remains stalled.

That provision is designed to strengthen and update current statutory protections for netting
financial market contracts if a party defaults. The netting language of the bill was one of the
few consensus items included in the bankruptcy legislation. The economic downturn and the
widening number of commercial bankruptcies could help create even stronger impetus for the
provision to move separately, sources said.

House Financial Services Committee ranking member John LaFalce (D-N.Y.) urged shortly
after the Sept. 11 terrorist attacks that the netting language be moved “expeditiously.” In
response, Treasury Secretary Paul O'Neill and Federal Reserve Chairman Alan Greenspan
agreed “whether as part of comprehensive bankruptcy reform legislation or as a stand-alone
bill, Congress should not fail to enact netting legislation this year.” The Financial Services
Committee had considered placing netting legislation on the schedule for markup this
Wednesday, when it takes up a host of other bills. Committee leaders decided against such
action, however. A spokeswoman for House Financial Services Committee Chairman
Michael Oxley (R-Ohio) said he remained hopeful that the underlying bankruptcy bill could
move intact.

1000000001191


Sampliner, Gary

From: Méts, Marshall

Sent: Monday, May 21, 2001 5:06 PM

To: Grewe, Maureen; Rao, Geetha; Christopulos, Greg: Sampliner, Gary
Subject: Enron to withdraw from India

The fulll article:

Enron to withdraw from India
By Khozem Merchant in Bombay
Published: May 20 2001 11:25GMT | Last Updated: May 21 2001 09:06GMT

Enron, the US power company, is set to withdraw from India after a dispute over unpaid bills that has
overshadowed the country's biggest single foreign direct investment.

The Houston-based company has issued a “preliminary termination notice” to its Bombay client, ending an
acrimonious eight-year relationship.

Enron's $2.9bn power project near Bombay was a symbol of India’s ecoriomic reforms. But critics, including the
World Bank, said its tariffs were excessive and the company was portrayed as a profiteering multinational.

Enron's announcement concludes a disappointing chapter for India's power sector, which lies at the heart of
attempts to increase growth and ease poverty.

PowerGen of the UK and Cogentrix of the US have also quit recently, frustrated by red tape or because of
higher retums elsewhere.

‘A six-month cooling off period - as mandated in the power purchase agreement - now follows, but is unlikely to
yield progress. Enron will then issue a final termination notice and present a claim for compensation,

“This is the end game for Enron. It is a great day for us,” said Pradyumna Kaul, a management consultant and
leader of Enron Virodhi Andolan (Anti-Enron Movement),

"India produces electricity from coal at a unit cost of about Rs! Enron is using liquefied natural gas as a fuel
and charging a unit cost of RsS. Neither Indians nor Indian manufacturers can afford Enron's expensive
energy,” he said.

Dabho! Power Company, which operates the Bombay plant and in which Enron has a 65 per cent share, said
“after months of working to finding a solution, it is apparent that MSEB and the government of Maharashtra are
unwilling to honour their commitments.”

Ina statement, DPC criticised the Indian government for its "unwillingness to assist MSEB and the Maharashtra
government in either buying power, or providing credit support behind other buyers.”

MSEB owes the US company $45m for power consumed in Decentber and January. But the utility is refusing to
pay until its own claim for Rs4.2bn for "Enron's technical failures” is settled.

Enron, which has come under increasing pressure from its international lenders to get tough with MSEB, has
twice invoked the Indian government's guarantee on unpaid bills. But in the most recent instance, New Dethi
refused to pay until MSEB's own claims were settled.

1000000001149


From: ‘Siis, Gay
Sent: Thursday, July 12,2001 5:41 PM

: Rao, Geetha; Berg, Katie; Grewe, Maureen; Resnick, Bonnie; Christopulos, Greg; Sampliner.

Cc
Sul

Gary
. Donovan, Meg; Mills, Marshall; McDonald, Larry, Radelet, Steve
ject: RE: Dabhol meeting on Enron/OPIC project at NSC *

OK WITH ME

‘Thursday, July 12, 2001 5:39 7M

Silis, Gay; Berg, Katie; Grewe, Maureen; Resnick, Boorve; Chvistopuios, Greg; Samptiner, Gary
Domovan, Meg; Milis, Marshat; McDonald, Larry; Radelet, Steve

Subject: RE: Dabhol meeting on Enron/OPIC project at NSC
Importance: Hegh

We have a final set of talking points for both Treasury and State to send over to NSC by COB today ..... please
comment by 6 pm today # you have any concerns... it is tine with what we had suggested We've also posed some
questions to OPIC. Thanks! and sorry for the short deadline!

o---- Original Message-----

From: Speck, Janet G [mailto:SpeckJGastate.govi

Sent: Thuraday, July 12, 2002 $:20 PM

To: "Rao, Geetha'; Usrey, Gary S; Gadzinski, Peter 5; Shub, Adam MIE);
Walker, M Karen; ‘brooks, jo’

Cc: Scholz, Wesley S; Delare, Thomas L; Bay, Janice F

Subject: TALKING POINTS FOR US EMBASSY- INDIA

Attached are talking points for the Embassy to deliver to the Gor re Dabhol.
They have been revised as per T: ry's suggestions. Pl let me know
asap if you have further comments so that we can forward them to the NSC
tonight. Thanks.

<< File: EmbtaikY 1 Dabhol rev.doc >>

—-—Ongnal Message

From: Sits, Gay

Sent: Thursday, Duty 12, 2001 3:18 PM

To: Rao, Geetha; Berg, Kade; Geewe, Maureen; Resnick, Bonnie; Christopulos, Greg; Sampliner, Gary
Ce: Donovan, Meg; Mils, Marshall; McOonaid, Larry; Radelet, Steve

Subject: RE: Opdno! meeting on Enror/OPIC project at NSC

{(b)(5)]
_ Message----
From: Rac, Geetha
‘Sent: ‘Thursday, July 22, 2005 11:01 AM
Teo: Rao, Berg, Katie; Sits, Gay; Grewe, Mauceen; Resnick, Bonnie; Christopuins, Greg; Sampliner, Gary

‘Ce: Donovan, Meg; Méls, Marshal; McDonald, Larry; Radek’, Steve
Subject: RE: Dabhet meeting on Enran/OPIC project at NSC
Importance: High

Attached are the talking points that State sent over this morning. Please review and sand back any comments
by 1:30 pm TODAY. We need to submit a joint set of TPs today. {(b)(5)}

any other
suggestions?

01000000001129


Hammond, Donald

From: Hammond, Donald

Sent: Thursday, February 15, 2001 10:25 AM

To: Carleton, Norman; DeMarco, Edward; Ellis, Dina; Huffman, Lucy; Mcinerney, Roberta;
Constantine, Eleni; Hughes, Gerry; Stewart, Lawranne

Cc: Tishuk, Brian; Robbins, Eric; Paulus, Michael; Sutton, Gary; Huffman, Lucy; McGivem, Tom:
Nickoloff, Peter; Schultheiss, Heidilynne; Gross, Jared

Subject: RE: Bankruptcy Reform Mark-up Hearing

Norman,

Thanks, | believe that the netting provisions will be a major agenda item at next week's Working Group meeting, | think it
is very useful to have that discussion before meeting with the Hill staff.

Don

nan

Trad Fay 15,200 10:07am
ee Biis, Dina; Hinman, Lucy; McInerney, Roberta; Constantine, Blent; Hughes, Gerry; Stewart,

Tan re ats, Ps, Mei Story; tn, Lucy; MoGivern, Tom; Nickoloff, Peter; Schulthelss, Heidlynne;
RE: Dankriptey Reform Markup Headng

a

{(b)(5)]

01100000000082


The exemption, tucked into broader legislation that established the legality of unregulated
derivatives trading by banks, was not supported by a Clinton administration working group,
largely because of opposition from the CFTC. Since the departure of Wendy Gramm, some in
the agency had lobbied for tighter control over the exploding energy derivatives market. The
legislation passed through the Senate Banking Committee, then chaired by Phil Gramm, who has
received $97,350 from Enron employees and its political action committee since 1989. A Gramm
spokesman said the scnator does not recall talking to his wife, an Enron director, about the
energy provision and played “no role” in negotiating tt. Wendy Gramm did not retum phone calls
seeking comment.

Enron was a primary player, with Koch Industries Inc,, a large, privately held oil and gas
company based in Wichita, in pushing for the exemption, a source said. But the company’s main
effort was focused on the House Agriculture Committee, where the legislation originated. Its
chairman and ranking Democrat, Texas Reps. Larry Combest (R) and Charles W, Stenholm (D),
respectively, were among the top recipients of Enron campaign donations in the House since
1989,

The CFTC objected strenuously to the initial draft marked up by the committee, but the Texas
congressmen helped work out a compromise between Enron and the agency. The compromise
was then offered by Rep. Jerry Moran (R-Kan.), the home-state congressman of Koch Industries
and a recipient of campaign donations from Enron and Koch in the last election cycle. Moran did
not return a phone call seeking a comment.

Early this year, Lay seemed to be at the height of his political power, getting a private meeting
with Vice President Cheney to discuss the administration's energy policy proposals and weighing
in on key nominations to FERC.

Curtis Hebert Jr., FERC's chairman at the time, has reported that Lay called him and implied that
Enron would urge the newly installed Bush administration to keep him in the job -- if he changed
his views to support Enron's position for faster electricity deregulation. Lay contended that
Hebert called him to ask for support.

Hebert was not reappointed. He was replaced by Texas lawyer Pat Wood III, a strong advocate
of deregulation who had the backing of Lay and Enron,

Ironically, since Enron's fall, both FERC and Congress seem to be moving in the direction of the
deregulated markets Lay and Enron lobbyists had pushed for,

© 2001 The Washington Post Company

01533

01200000000187


{(b)(5)]

Please review and let me know your thoughts.
Thanks,
Mike

01000000001201


Please keep in touch.
Your friend,

Tom

1000000001205


{(b)(5)]

Thanks.

01000000001132