134-01

The respondent firm (the “Respondent”) participated in a national competitive bidding process within the framework of the Program for the Reconstruction of Electricity Infrastructure in Areas Affected by the Earthquake in Ecuador (3906/OC-EC) (the “Program”). The Office of Institutional Integrity (“OII”) submitted a Statement of Charges and Evidence against the Respondent for allegedly engaging in a fraudulent practice related to the Program. OII accused the Respondent of submitting false information and documents about equipment availability in order to meet the requirements in the bidding documents and obtain a financial benefit derived from the award of the contracts. Consequently, and in accordance with the Sanctions Procedures, the Sanctions Officer (“SO”) issued a notice of administrative action (“Notice”) to the Respondent. In its response to the Notice, the Respondent denied the allegations presented by OII.
The SO determined that it was more likely than not that the Respondent engaged in a fraudulent practice. As a result, the SO imposed a sanction of conditional non-debarment for a period of one (1) year. During that time, the Respondent may continue to participate in operations and be awarded contracts in projects or activities financed by the Bank Group if it demonstrates that its employees have received adequate, sufficient, and continuous training in corporate integrity and business ethics. In determining the sanction, the SO took into account, as mitigating circumstances, that the Respondent's actions did not compromise the execution of the contracts or the implementation of the Program and that no damages were caused to any party involved in or benefitted by the Program's implementation.