Richard,

Scarlet sent me a fax asking about the audit and significant issues 
correspondence we had not sent to Intrust.  This is Shelly Butler's, our 
comptroller, notes on the issue.  As you can see, she has been in contact 
with Intrust and informed them of the issues relating to the the documents 
required under the LP agreement.

Thanks,
Mark
---------------------- Forwarded by Mark Lay/HOU/ECT on 06/20/2000 11:46 AM 
---------------------------
   
	Enron Investment Partners
	From:  Shelly Butler                           06/20/2000 11:23 AM
	

To: Mark Lay/HOU/ECT@ECT
cc:  
Subject: HEOF Audit & Intrust Communications

January 5 Sent correspondence reminding the investments that K-1's were due 
March 31.

March 24 Contacted by Jennifer at Intrust  regarding the K-1 for HEOF and 
CCC.  I informed her the CCC K-1 would come from CCC and to contact Steven 
Hamaker.  I sent an email to Lanette Earnest regarding the HEOF K-1 status.  
However, at that time we did not have all of the investment K-1's.

April 13  Spoke to Jennifer at Intrust.  Advised her we were still working on 
getting the investment K-1's so that our tax return could be prepared.  The 
audit would follow as well.

April 18 thru June 13  Worked with Enron tax department to facilitate 
preparation of the HEOF return.  Advised Amy Jon in tax that Jennifer was the 
Intrust contact.

April 19  Met with Angeles Beltri in ENA to discuss their audit procedures 
and get Arthur Andersen contact information.

Last week of Aprilor first week of May? Contacted Andy Schuleman at AA 
regarding audit

May 10   Submitted 1999 HEOF financial statements, investment schedule, and 
partnership agreement copies to AA for review.

May 16  Andy left message that since this roles to Corp that Corp should 
contact me regarding an audit.

May 16  Contacted by Chris Herbold with AA to set up meeting.  

May 24  Spoke with Chris and agreed to meet when we had the information ready 
for footnotes, etc.

Mark, there were numerous emails between myself and the tax department 
regarding the preparation of the return but I don't think they would have any 
relevance for Intrust.  I will contact Corp today regarding the footnotes.

Thanks,
Shelly