The World Bank Group
Integrity Vice Presidency




                            Republic of India

Integrated Coastal Zone Management Project

                            REDACTED REPORT



                                      December 2014
                            Statement of Use and Limitations

This Report was prepared by the World Bank Group’s (WBG’s) Integrity Vice
Presidency (INT). It provides the findings of an INT administrative inquiry (the
investigation) into allegations of corrupt, fraudulent, collusive, and/or coercive practices,
as defined by the WBG, regarding one or more WBG-supported activities.

The purpose of the investigation underlying this Report is to allow the WBG to determine
if its own rules have been violated. This Report is being shared to ensure that its
recipients are aware of the results of the INT investigation. However, in view of the
specific and limited purpose of the investigation underlying this Report, this Report
should not be used as the sole basis for initiating any administrative, criminal, or civil
proceedings. Moreover, this Report should not be cited to in the course of any
investigation, in any investigation reports, or in any administrative, civil, or criminal
proceedings.

This Report is provided without prejudice to the privileges and immunities conferred on
the WBG and its officers and employees by its Articles of Agreement and any other
applicable sources of law. The WBG reserves the right to invoke its privileges and
immunities, including at any time during the course of an investigation or a subsequent
judicial or other proceeding pursued in connection with this matter.




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                                  Executive Summary

This report provides the findings of an administrative inquiry (the investigation) by the
World Bank Group’s Integrity Vice Presidency (INT) into allegations that Contractor A
may have engaged in fraudulent practices in connection with the bidding process under
the Integrated Coastal Zone Management Project (the Project) in the Republic of India.

INT’s investigation found evidence indicating that Contractor A submitted false
experience certificates with its bid for a contract under the Project. Specifically, in an
attempt to satisfy the requirements of the bidding documents, Contractor A submitted two
prior experience certificates, purportedly issued by Company B. However, during its
interview with INT, Company B informed INT that Company B had not issued the
certificates.

The World Bank imposed a sanction of debarment with conditional release on Contractor
A in relation to the alleged misconduct. This sanction extends to any legal entity
Contractor A directly or indirectly controls.




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Background

The Integrated Coastal Zone Management Project (the Project) in the Republic of India
aims to assist the Government of India in building national capacity for implementation
of a comprehensive coastal management approach in the country, and piloting the
integrated coastal zone management approach in several states throughout the country.
Contractor A submitted a bid for a contract under the Project (the Contract).

Allegations

INT received a complaint alleging that Contractor A included false experience
certificates in its bid for the Contract.

Methodology

INT’s investigation consisted of a review of Project documents as well as documents and
statements obtained from Company B, the purported issuer of Contractor A’s certificates.

Findings

INT found evidence indicating that Contractor A submitted false experience
certificates with its bid for the Contract.

The bidding documents for the Contract required that bidders demonstrate satisfactory
completion of at least one similar work as a prime contractor or a subcontractor in the
previous five years.

In response to the requirement, Contractor A submitted two certificates. The first
certificate, purportedly issued by Company B, represented that Contractor C had
satisfactorily executed a contract involving a bridge construction (the Bridge Contract).
The second certificate, purportedly issued by Contractor C represented that Contractor A
had successfully executed the Bridge Contract as a subcontractor for Contractor C.

During the bid evaluation process, Project officials contacted Company B to verify the
authenticity of the certificates submitted by Contractor A. Company B informed Project
officials that Company B had not executed the Bridge Contract and Contractor C had not
executed any other contract in connection with Company B in the previous five years.
During its interview with INT, Company B confirmed this statement to INT.

Follow Up Action by the World Bank

The World Bank imposed a sanction of debarment with conditional release on Contractor
A in relation to the alleged misconduct. This sanction extends to any legal entity
Contractor A directly or indirectly controls.




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