134-02

The individual Respondent (the “Respondent”), acting as the legal representative of a company, 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 to simulate compliance with the bidding documents and obtain a financial benefit from the contract award. Consequently, and per 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 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 he demonstrates that he and all employees have received adequate, sufficient, and continuous training in corporate integrity and business ethics. In determining the sanction, the SO considered, 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.