The World Bank Group has announced the seven-year debarment of Vietnam-based Sao Bac Dau Technologies Corporation (SBD) in connection with collusive and fraudulent practices under the Danang Sustainable City Development Project
and the Hanoi Urban Transport Development Project in Vietnam, rendering SBD ineligible to participate in projects and operations financed by institutions of the World Bank Group.
It is part of a settlement agreement under which SBD acknowledges responsibility for the underlying sanctionable practices and agrees to meet specified compliance requirements as a condition for release from debarment.
The Danang Sustainable City Development Project is designed to increase the city residents’ access to improved drainage, wastewater collection and treatment services, the arterial road network and public transport in selected areas of Danang City.
Meanwhile, the Hanoi Urban Transport Development Project was designed to improve urban mobility in targeted areas in Hanoi by increasing the use of public transport in selected traffic corridors and reducing travel time between the city center and the west and northwest sections of the city as well as to promote more environmentally sustainable transport modes and urban development plans for Hanoi.
According to the facts of the case, SBD’s staff improperly influenced the tendering processes under the two project, including a falsified document in its bid and failure to disclose its involvement in the up-stream work of the two projects, which are both collusive and fraudulent practices, respectively.
The settlement agreement provides for a reduced period of debarment with conditional release in light of SBD’s cooperation and voluntary remedial actions. As a condition for release from sanction under the terms of the settlement agreement, the corporation commits to participating in integrity compliance programs consistent with the principles set out in the World Bank Group Integrity Compliance Guidelines. SBD also vows to fully cooperate with the World Bank Group Integrity Vice Presidency.
The debarment of SBD qualifies for cross-debarment by other multilateral development banks under the Agreement for Mutual Enforcement of Debarment Decisions that was signed on April 9, 2010.SGT