World Bank bars three PwC Africa units from deals for graft

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The World Bank has barred PricewaterhouseCoopers LLP network affiliates in Mauritius, Kenya and Rwanda from providing professional services for projects it finances for 21 months.

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The units engaged in "collusive and fraudulent practices" as part of their work on the construction of a high-voltage electricity transmission line linking Kenya and Ethiopia, the Washington-based lender said in a statement on Wednesday.

The three units — including Mauritius-based PwC Africa Associates Ltd. —  "obtained confidential procurement information from project officials to improperly influence the award of consultancy services" in 2019, it added.

That contract was for the implementation of global accounting standards at the Ethiopia Electric Power Corp. They also attempted to influence the awarding of another contract at EEPC, in which they misrepresented the availability, qualifications and employment status of key experts, while not disclosing all subconsultants.

The three PwC subsidiaries "admit culpability for sanctionable practices," the bank said. As part of the settlement, they will receive a shorter debarment period, and are required to strengthen their internal integrity and compliance programs.

Calls to all three for comment went unanswered.

The Eastern Electricity Highway Project included the construction of 1,045 kilometers (650 miles) of high-voltage lines between Wolayta in Ethiopia and Suswa in Kenya.

The link helped Ethiopia supply over 10% of its neighbor's power needs in January, according to the Kenya National Bureau of Statistics.


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