Monday, October 3, 2022
HomeInternationalWorld Bank Slams 3 and Half Years Ban On Spanish Engineering Firm...

World Bank Slams 3 and Half Years Ban On Spanish Engineering Firm Over Vietnam Project Fraud

The World Bank on Wednesday, officially bans Spanish engineering services company for three-and-a-half-years for collusive corrupt, and fraudulent practices related to two projects in Vietnam.

According to the World Bank, some of the company’s former management colluded with two designing consultants to gain unfair competitive advantages in two tendering processes. They also agreed to pay a commission to the consultant’s agent to influence the tender process and win a contract.

The company additionally failed to disclose its involvement in drafting the tendering documents for the two projects.

Those actions were collusive, corrupt, and fraudulent practices, respectively, as defined by the World Bank’s Sanctions Procedures.

FCPA Blog reported, that he two Vietnam projects funded by the World Bank were the $272 million Danang Sustainable City Development Project and the $295 million Hanoi Urban Transport Development Project.

By this prohibition, the Madrid-based Grupo Mecánica del Vuelo Sistemas S.A.U., a subsidiary of Spanish international technology group GMV, will be ineligible to participate in projects and operations financed by the World Bank Group for the 42-month debarment.

Although, the company did not contest culpability and responsibility for the underlying sanctionable practices, which occurred under a former management team. It also agreed to meet specified compliance requirements as a condition for release from debarment, the World Bank said.

The debarment qualifies for cross-debarment by the Asian Development Bank, the European Bank for Reconstruction and Development, the Inter-American Development Bank, and the African Development Bank.


Please enter your comment!
Please enter your name here

Most Popular

Recent Comments

%d bloggers like this: