The World Bank has debarred Chinese tech firm Jiangsu Zhongtian Technology (ZTT), manufacturers and distributers of fibre optic cables, for a period of 20 months.
This course of action is in connection with fraudulent practices under the Lusaka Transmission and Distribution Rehabilitation Project in Zambia.
According to the facts of the case, ZTT misrepresented its past contract experience by submitting falsified documents in its bid for the contract, which is a fraudulent practice.
The project was designed to improve the electricity transmission and distribution system in the Lusaka area. Read more: Zambia: 34MW Ngonye solar PV plant comes online
The debarment makes the Chinese tech firm ineligible to participate in World Bank-financed projects.
It is part of a settlement agreement under which the company acknowledges responsibility for the underlying sanctionable practices and agrees to meet specified corporate compliance conditions as a condition for release from debarment.
Integrity compliance programme
As a condition for release from sanction under the terms of the settlement agreement, the company commits to developing an integrity compliance programme consistent with the principles set out in the World Bank Group Integrity Compliance Guidelines.
The company also commits to continue to fully cooperate with the World Bank Group Integrity Vice Presidency.
The debarment of ZTT qualifies for cross-debarment by other multilateral development banks, the Agreement for Mutual Enforcement of Debarment Decisions that was signed on April 9, 2010.