The World Bank has sanctioned a Chinese state electric engineering group and its subsidiary over fraudulent practices in a power project in Zambia.
The action bars China Electric Design and Research Institute Co Ltd (CEDRI) from participating in World Bank projects for up to 18 months, with the ability to meet new compliance conditions and end the ban.
The firm’s parent company, China National Electric Engineering Co Ltd (CNEEC), was allowed to continue to participate in projects under a settlement agreement, but could be banned if it fails to meet agreed conditions, the bank said.
The sanctioned firms are contractors on the $210 million Lusaka Transmission and Distribution Rehabilitation Project which aims to reinforce and upgrade the power transmission and distribution network in Zambia’s capital.
“CEDRI engaged in fraudulent practices by failing to disclose a conflict of interest and by presenting false documents with CNEEC’s company name in order to meet the requirements of a contract under the project,” the World Bank said in a statement.
“CNEEC, as a controlling affiliate of CEDRI, failed to oversee CEDRI’s misconduct.”
The debarment of CEDRI also disqualifies the firm from participating in projects of other multilateral development banks, the World Bank said.
The settlement agreements allow for the sanctions period to be reduced from 18 months if both companies cooperate and adhere to the World Bank’s integrity compliance guidelines.
What a surprise. Zambia. China. Corruption. These days those three words seem to always go together… and we are selling our country to them.
What a disgrace.
Why don’t we just adopt the World Bank Integrity Compliance Guidelines as one of the ways of showing seriousness in combatting corruption?
Will the Zambian government punish this corruption?
How? Same watsapp group
If the host leader is corrupt does anyone expect these chinese not to engage in corruption?
PF must go!
Why should world bank start involving China who is helping so much in a rich country called Zambia and world calls us poor what’s their interest in Zambia colonialism ended long time ago Zambia is a sovereign state and can make independent decisions let’s stand firm its one way of to start colonising us again and we know that the so called developed countries come to take our natural resources for a song Africans Wake up
I thought this an OLD story. Why do you keep bringing old staff.
I thought this is an OLD story. Why do you keep bringing old staff.
If Zambia is a sovereign nation, it will punish this corruption by Chinese companies. If it won’t, then everyone knows where the sovereignty has gone.
Try that corruption in China, you be executed in no time, so why Zambia?
A company has been found wanting and yet some monkey here will say pf is corrupt. Since when was pf government a Chinese company
There is no evidence available as far as the Zambian side is concerned. If so, we will drag the culprits to court and have them acquitted. We have no time for nonsense here! There are 48 houses that are busy building themselves and if you stop disturbing there will soon be 96… no vundu bakaamba
Iwe Zulu now I can confirm that you are a diasporan. Everyone who lives in Chambia knows PF can’t be separated from the Chinese Companies
@KZ, I have a civil question and I hope you will give me a civil answer.
*Name 2 areas where the PF government has failed and 2 areas where they have succeeded?*
Pf has not failed any area. The successes are too many to list on this page
@KZ you could have named 2. There’s no system, government, religious, industrial, political, environmental etc that has never failed. Name 2 areas the PF has failed?
Kaizer for president
To refresh your corrupt memory?
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