On June 23, 2006 the CAO Ombudsman function closed the mediation of the Krtsanisi complaint received December 2, 2005, and transferred it to the CAO Compliance function for appraisal.

The CAO Ombudsman received a complaint from residents of Krtsanisi that raises issues about pipeline safety, water supply, and compensation for trees and dust annoyance. The CAO Ombudsman worked with the parties to assess opportunities for a negotiated settlement. The Project decided it was unwilling to negotiate further with the complainants, and on June 23, 2006 the case was transferred to the CAO Compliance for appraisal. The final clarifications necessary for the appraisal report were provided on October 29, 2006.

The CAO Compliance determined that the issues do not meet the criteria for an audit. Please see the full appraisal report below.