PwC Mauritius Among 3 Subsidiaries Blacklisted by World Bank over Fraud

The World Bank Group has announced a 21-month suspension of three PricewaterhouseCoopers (PwC) entities following an investigation into anti-competitive and fraudulent practices.

The debarment affects Mauritius-based PwC Associates Africa Ltd, along with PricewaterhouseCoopers Limited in Kenya and PricewaterhouseCoopers Rwanda Limited.

Under the terms of the sanctions, the firms are prohibited from participating in any projects financed by the World Bank Group for the duration of the nearly two-year penalty.

Collusion and confidential data

The investigation centred on the Eastern Electricity Highway Project, a key component of the first phase of the Eastern Africa Power Integration Programme.

The initiative was designed to bolster the national electricity supply in Kenya.

According to a statement released by the World Bank, the subsidiaries gained an unfair advantage in 2019 by obtaining confidential information from project officials.

This sensitive data was used to influence the awarding of a consultancy contract.

Ethiopian power contract

The specific contract in question involved the implementation of International Financial Reporting Standards (IFRS) within the Ethiopian Electric Power Corporation.

Investigators determined that the firms’ actions constituted fraudulent and anti-competitive behaviour, leading to the strict disciplinary measures announced this week.

Source: Defi Media