World Bank Bars Two Nigerian Firms and CEO for Corruption
The World Bank Group has imposed a 30-month debarment on two Nigerian companies, Viva Atlantic Limited and Technology House Limited, along with their Managing Director and CEO, Mr. Norman Bwuruk Didam, for engaging in fraudulent, collusive, and corrupt practices linked to the National Social Safety Nets Project (NSSNP) in Nigeria.
The NSSNP, designed to deliver targeted financial aid to Nigeria’s poor and vulnerable households, was compromised during a 2018 procurement process due to unethical practices by the implicated parties, according to a statement issued by the World Bank on Monday.
Misrepresentation and Corruption Uncovered
The World Bank’s investigation revealed that Viva Atlantic Limited, Technology House Limited, and Mr. Didam had engaged in multiple violations, including misrepresenting a conflict of interest in their bids and accessing confidential tender information from public officials.
The statement outlined additional violations, stating:
- Viva Atlantic Limited and Mr. Didam falsified the company’s experience records.
- Fake manufacturer’s authorization letters were submitted to support their bids.
- Inducements and improper benefits were offered to project officials, actions deemed as corrupt practices under the World Bank’s Anti-Corruption Framework.
“These actions undermined the integrity of a project specifically designed to improve the welfare of Nigeria’s most vulnerable populations,” the statement noted.
Sanctions and Settlement Agreements
The debarment prevents Viva Atlantic Limited, Technology House Limited, and Mr. Didam from participating in World Bank-funded projects for 30 months.
As part of their settlement agreements, the parties acknowledged their culpability and agreed to adhere to specific conditions to regain eligibility for future World Bank projects. These conditions include:
- Individual Ethics Training: Mr. Didam must complete a World Bank-approved ethics training program.
- Corporate Integrity Measures: The companies must enhance their internal compliance systems and implement ethics training programs aligned with the World Bank’s Integrity Compliance Guidelines.
The World Bank emphasized that the cooperation of the implicated parties during the investigation, their voluntary corrective actions, and their self-imposed suspension from bidding contributed to a reduction in the debarment period.
Broader Implications and Cross-Debarment
The sanctions are subject to cross-debarment by other multilateral development banks under the Agreement for Mutual Enforcement of Debarment Decisions, signed in April 2010. This agreement allows similar institutions to enforce the sanctions, further restricting the entities from participating in development projects.
The World Bank stated:
“The companies and Mr. Didam have committed to continued cooperation with the Bank Group Integrity Vice Presidency. Reduced debarment periods were granted due to their cooperation during investigations, voluntary corrective actions, and the time elapsed since the infractions.”
Reinforcing Zero-Tolerance for Corruption
The World Bank reiterated its dedication to promoting transparency and accountability in development initiatives. It stressed that these sanctions underscore its zero-tolerance approach to corruption in projects financed by the Bank.
The statement concluded with a reminder that the implicated parties must fully comply with all stipulated conditions during the debarment period to regain eligibility for participation in future World Bank-funded projects.
This action serves as a strong signal of the World Bank’s unwavering commitment to ensuring the integrity of development efforts worldwide.