|
|
Enron Mail |
It is because we are required to due certain corporate due diligence prior to
trading, which we don't do unless they really want to trade financial. Most of these counterparties are really interested in trading physical products, so we don't bother to do the necessary due diligence. If they really want to trade financial, we could transact w/o a master, we'd just have to check their corporate documents, file Consents to Service of Process, etc. If we're doing all that we tend to say let's just get the master in place while we're at it. Justin Boyd 01/25/2001 03:07 AM To: Tana Jones/HOU/ECT@ECT cc: Subject: Re: Femsa Empaques, S.A. de C.V. Hi Tana Many thanks for this, and in due course I'll let you have updates for Europe. I have a question for Mexico, Argentina and Chile: Why is their a necessity to have Master Agreements in place for commodity derivatives? I would imagine this is driven by the Credit Dept and their preference for netting? I can't think why there could be any legal objections - and I have read advice obtained by Brent H. for Chile and Mexico and no such restrictions are mentioned. And also in relation to Mexico, could you find out what corporate due diligence is required of Mexican companies, in particular of the entity mentioned below, Femas Empaques SA de CV. Many thanks J From: Tana Jones on 24/01/2001 15:35 CST To: Francisco Pinto Leite/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT cc: Justin Boyd/LON/ECT@ECT Subject: Re: Femsa Empaques, S.A. de C.V. FYI-attached is my list of notes on online approvals, which includes the South American countries we currently trade with. Justy-if you have any updates to the European countries, they would be most appreciated. I have had no updates since Edmund fell ill. Francisco Pinto Leite@ENRON_DEVELOPMENT 01/24/2001 03:18 PM To: Justin Boyd@ECT cc: Lara Fields@ECT, Tana Jones@ECT Subject: Femsa Empaques, S.A. de C.V. Justin: I am the "new" lawyer in charge of our financial trading operations in Mexico. I am told that we do not trade financial with any Mexican counterparty without going through our normal due diligence process. At the end of the day we need a Master in place with any Mexican counterparty with whom we trade (financial) online or otherwise. I checked and we do not have a Master in place with this counterparty. FPL
|