THE World Bank Group has announced a 30- month blacklisting of two Nigerian companies, Viva Atlantic Limited, and Technology House Limited, over fraud.
The global bank equally sanctioned their Managing Director and Chief Executive Officer, Norman Bwuruk Didam, for fraudulent, collusive, and corrupt practices linked to the National Social Safety Nets Project in Nigeria.
In a statement issued on Monday, January 20, the Washington-based institution disclosed that the project aimed to provide targeted financial assistance to poor and vulnerable households was compromised due to several unethical practices during a 2018 procurement and subsequent contract process.
The statement reads, “The World Bank Group today announced the 30-month debarment of two Nigeria-based companies, Viva Atlantic Limited and Technology House Limited, and their Managing Director and Chief Executive Officer, Norman Bwuruk Didam.
“The debarment is in connection with fraudulent, collusive, and corrupt practices as part of the National Social Safety Nets Project (NSSNP) in Nigeria.”
The NSSNP, a flagship initiative aimed at strengthening Nigeria’s social safety net systems through targeted financial assistance to vulnerable households, was marred by unethical activities involving the implicated parties, The ICIR authoritatively reports.
Accordingly, the bank said that Viva Atlantic Limited, Technology House Limited, and Didam, misrepresented a conflict of interest in their bids and accessed confidential tender information from public officials.
It added that these actions constituted fraudulent and collusive practices under its anti-corruption framework.
According to the World Bank, Viva Atlantic Limited and Didam falsified the company’s experience records, submitted fake manufacturers’ authorisation letters, and provided inducements to project officials, which it classified as corrupt practices.
These violations, according to the bank, undermined the integrity of the social safety net initiative designed to benefit Nigeria’s most vulnerable populations.
“According to the facts of the case and the general principles of the World Bank’s anti-corruption framework, in connection with a 2018 procurement and subsequent contract, Viva Atlantic Limited, Technology House Limited, and Didam misrepresented a conflict of interest in the companies’ Letter of Bids and received confidential tender information from public officials, which constituted fraudulent and collusive practices, respectively.
“Further, Viva Atlantic Limited and Didam misrepresented Viva Atlantic Limited’s experience and submitted falsified manufacturer’s authorisation letters, as well as offered and provided things of value to project public officials.
“These actions were fraudulent and corrupt practices, respectively,” the statement said.
The debarment precludes the two companies and Didam from participating in World Bank-financed projects and operations for the specified period.
As part of their settlement agreements, the parties acknowledged their culpability and committed to meeting specified conditions, including enhanced compliance measures.
The conditions require Didam to complete individual ethics training, while the companies are mandated to improve their internal integrity compliance policies and implement corporate ethics training programmes in line with the bank’s Integrity compliance guidelines.
The bank highlighted that reduced debarment periods were granted due to the parties’ cooperation during investigations, voluntary corrective actions, self-imposed restraints from bidding for contracts, and the elapsed time since the infractions.
The World Bank reiterated its commitment to ensuring transparency and accountability in development projects, stressing that the sanctions demonstrate its zero-tolerance approach to corruption.
It said the implicated parties must fulfil the stipulated conditions during the debarment period to regain eligibility for participation in future bank-funded initiatives.
The ICIR, in 2022, reported how the World Bank blacklisted at least, 11 Nigerian firms and contractors.
The affected organisations, as reported then, include Gitto Costruzioni Generali Nigeria Limited, Chez Aviv Nigeria Limited, Lutoyilex Construct Limited, Softech IT Solutions and Services Limited, ALG Global Concept Limited, and AIM Consultants Limited.
Others contractors were Bamidele Obiniyi, Frank John Friday Nnaji, Isaiah Salihu Kantigi, Abuharaira Labaran, and Amin Moussalli.
The ICIR reports that sanctioning contractors that breach the procurement guidelines of the World Bank is a usual occurrence the global bank does to promote transparency in contract awards and prevent procurement fraud among corporate entities it transacts business with.
The financial institution sanctions individuals or entities that go against its procurement policies by debarring them, sometimes, they are ‘cross debarred’.
Harrison Edeh is a journalist with the International Centre for Investigative Reporting, always determined to drive advocacy for good governance through holding public officials and businesses accountable.