Mumbai, Sept 22: Bechtel Enterprises and GE, the two US companies that hold stakes in Dabhol Power Company, have filed an arbitration action against the Government of India, seeking about US $ 600 million each as against their investment of USD 120 million each in DPC. "We have attempted to resolve our legal and contractual claims but have been blocked at every turn," Bechtel enterprises executive vice president and managing director Rick Smith said in a statement here today.

"Regrettably, this international arbitration demand must be made," he said.

The arbitration action was filed by Bechtel Enterprises holdings (Bechtel) and GE Structured Finance (GESF), the affiliates that hold 10 per cent ownership interests in the USD three billion Dabhol power plant.
The claim was made under the arbitration rules of the UN Commission on International Trade law and Indo-Mauritian investment trade treaty, the statement said.

"We will continue to pursue a full recovery of these investments through all available means," GE India president Scott Bayman said.
"At the same time, we remain committed to helping to restart this much needed power generation facility. It is incumbent upon all responsible parties to make sure this happens in a fair and reasonable way," he added.
Bureau Report