IDB debars Belgian engineering company for 46 months

On November 29, 2021, the Inter-American Development Bank (IDB) announced the debarment of Tractebel Engineering SA (TE Belgium) for a period of 46 months as part of a settlement resolving allegations that the company engaged in “fraudulent and corrupt practices” in connection with a contract awarded as part of the IDB-financed Program for the Rehabilitation of the Péligre Transmission Line in Haiti.  According to the IDB’s Office of Institutional Integrity (OII), TE Belgium failed to disclose certain fees that were paid to agents, and “misrepresented the availability of a ‘key personnel member.’”  The OII also accused TE Belgium of offering, through a subcontractor, paid positions to former colleagues of employees of the Haiti Ministry of Public Works, Transport and Communications.

Without admitting or denying the OII’s findings, TE Belgium entered into a Negotiated Resolution Agreement with the IDB and consented to the 46-month debarment, during which the company is ineligible to participate in projects funded by the IDB and other multilateral development banks.  TE Belgium also agreed to retain an independent third-party consultant to review its compliance program and address any program deficiencies.  If TE Belgium fails to comply with the terms of settlement, the debarment may be extended to nine years.  

IDB Press Release

 
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