World Bank debars Chinese electric power company
The World Bank
debarred a Chinese electric power technology company Tuesday for fifteen months for “fraudulent practices” involving a project in West Africa.
Shanghai-based Sieyuan Electric Co., Ltd, (Sieyuan) is ineligible to participate in World Bank-financed projects during the fifteen-month debarment.
The Inter-Zonal Transmission Hub Project, which was part of the Western Africa Power Pool Program, closed in 2018.
The $111 million project was partly funded by a financing agreement with Ghana.
The project was designed to improve the security and reduce the cost of the electricity supply to Burkina Faso while also increasing Ghana’s capacity to export electricity.
Seiyuan
falsified its past contract experience to meet the requirements of a contract under the project, which is a fraudulent practice.
Seiyuan is listed on the Shenzhen stock exchange.
More than two dozen of Seiyuan’s affiliates in various countries were also named in the World Bank debarment action.
The settlement provides for a reduced period of sanction in light of the company’s cooperation and voluntary remedial actions, the World Bank said.
Tuesday’s debarment qualify for cross-debarment by
the Asian Development Bank,
the European Bank for ReDevelopment,
the Inter-American Development Bank,
the African Development Bank.
The FCPA Blog
http://www.fcpablog.com/blog/2019/5/14/world-bank-debars-chinese-electric-power-company.html