Dubai, Aug 30: The Indian embassy in Bahrain has asked the US Navy not to do business with a Bahraini engineering firm blacklisted for cheating its workers.

The Indian ambassador to Bahrain said necessary steps would be taken to caution US Ambassador William Monroe about the company since it was doing projects for the US Navy, according to a report.

The company was not named in the report.

"We will be speaking to the US ambassador soon and warn him about the company, which is in no way eligible to do any business because it is working completely against Bahraini law," Ambassador Balkrishna Shetty was quoted as saying.

"It is understood that the company is doing projects for the US Navy here and obviously they (Americans) are not aware of how the company treats its staff or its dishonest manner of internal operation," Shetty added.

The company was blacklisted by the Indian embassy because it has not been maintaining any written agreements with any of its Indian employees.

The blacklisting came after a former employee of the company presented evidence on this count to the Indian embassy.

A 33-year-old Indian marine geologist had alleged that the company does not have written or signed employment agreements with any of its 15 to 18 employees.

The geologist was arrested soon after and the company filed a case against him, alleging he had stolen vital information about its business.

The geologist, who was also not identified, denied the allegation and has since been released for want of evidence.

Later, another Indian worker of the same company wrote to the Indian embassy, saying his boss has threatened to frame him when he resigned to protest against an order asking him to falsify a statement against the marine geologist.

Meanwhile, the marine geologist has filed a case in a Bahraini labour court against the blacklisted company seeking unpaid salary for 15 days, leave salary for two years, sponsorship cancellation and an air ticket to India.

The first hearing in the case is scheduled Oct 1.