Enron to Refund California $633,788

The state of California said that Enron Corp., accused of manipulating power markets before filing for bankruptcy protection in 2001, will refund $633,788 that it received from the state to boost production at 10 wind-energy plants.

Enron misrepresented that the facilities were eligible for funds meant to encourage the development of renewable energy, Gov. Gray Davis said. U.S. Bankruptcy Judge Arthur Gonzalez, who is overseeing Enron’s reorganization, approved the payment in New York.

California is seeking $9 billion in refunds from energy companies it accuses of manipulating power prices during the state’s energy crisis. Federal regulators are investigating allegations that Enron charged excessive rates by hiding its ownership of those wind-power plants.