WASHINGTON, July 1, 2015- The World Bank Group today announced the debarment of Artelia Ville et Transport SAS for one year, and Guangzhou Artelia Environmental Protection Ltd. (“Artelia China”) for three years in relation to fraudulent practices in some of its projects in China. Also, Artelia Eau et Environment SAS (“AEE”) was conditionally non-debarred for two years for conducting a study in the name of another company which created a conflict of interest with its duties as a supervision contractor under the Regional Felou Hydroelectric project in West Africa. As a conditionally non-debarred entity, AEE may be allowed to bid for Bank-financed projects unless the entity fails to comply with terms of the settlement in which case it will be immediately debarred.
The settlement was agreed following acknowledgment of misconduct by Artelia Group and their demonstrated proactivity in enhancing their corporate governance and internal control systems. In addition to the listed debarments, the Negotiated Resolution Agreement signed between the World Bank Group and Artelia SAS also includes two restitution payments of USD 380,000 and EUR 65,000 by Artelia SAS to China and West Africa respectively.
“Decisions to push integrity standards forward make good business sense and strengthen the impact of development projects,” said Leonard McCarthy World Bank Integrity Vice President. “As in this case, we are open to working with companies that are willing to acknowledge control gaps and implement correction action.”
In addition, Artelia SAS and its affiliates are required to adopt a corporate compliance program consistent with the World Bank Group (WBG) Integrity Compliance Guidelines as well as cooperate with the World Bank Integrity Vice Presidency.