WASHINGTON, November 21, 2016- The World Bank Group announced the debarment of Zarcus Construction Nig. Ltd. for 2 years, following the company’s acknowledgment and cooperation with the World Bank’s Integrity Vice Presidency’s (INT) investigation of misconduct relating to two World Bank-financed projects in Nigeria. The company acknowledged its submission of false audited financial statements in its bids for contracts under the Erosion and Watershed Management Project, and Second Rural Access and Mobility Project.
The World Bank also announced the debarment of Geoambiente Sensoramiento Remoto Ltd for a period of 13 months following the company’s involvement in sanctionable practices while bidding for and negotiating a contract under the World Bank-financed State of Rio Grande do Sul – Project RS Biodiversity in Brazil. An investigation by the World Bank Integrity Vice Presidency revealed that Geoambiente forged the signature of one of its proposed team members in a CV submitted in its proposal, and did not notify the government of the team member’s non-involvement in the project, despite having an express contractual obligation to do so.
Both sanctions are part of two Negotiated Resolution Agreements under which the debarred companies will cooperate with the World Bank Integrity Vice Presidency in its efforts to prevent misconduct in World Bank-financed projects.
“In these two cases, we experienced companies willing to acknowledge misconduct and cooperate in a way that would enhance their commitment to clean procurement standards and their future eligibility for doing business with the World Bank Group. This shift in corporate behavior is a major contribution to ensuring development projects are delivered with quality and integrity,” said Leonard Frank McCarthy, World Bank Integrity Vice Presidency.
The debarment of Geoambiente Sensoramiento Remoto Ltd and Zarcus Construction Nig. Ltd qualifies for cross-debarment by other MDBs under the Agreement of Mutual Recognition of Debarments that was signed on April 9, 2010.