The World Bank blacklisted at least, 11 Nigerian firms and contractors in 2022, The ICIR can confidently report.

The affected organisations 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.

Other contractors banned by the Bank are Bamidele Obiniyi, Frank John Friday Nnaji, Isaiah Salihu Kantigi, Abuharaira Labaran, and Amin Moussalli.

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’.

An organisation or contractor is considered ‘crossly debarred‘ in this context when a member of the group of Development Financial Institutions (DFI) finds a contractor guilty of procurement fraud or related offences, and other members of the DFI decide to effect the same sanction on the firm.

It is called mutual enforcement. And this exists among the African Development Bank (AfDB), European Bank for Reconstruction and Development, the Inter-American Development Bank Group, and the World Bank Group.

Gitto’s case was of ‘cross debarment’ from the AfDB, and the sanction took effect on December 28, 2022.

The AfDB accused Gitto Costruzioni of ‘fraudulent and obstructive practices’ during the bid tendering for the contract award of the Bank’s Transport Sector Support Programme (Phase II).

The World Bank, due to the agreement among the DFIs, decided to enforce the same sanction on the firm.

It is worth noting that Gitto Costruzioni has executed notable projects in Nigeria, which included the National Ecumenical Centre, Abuja; Akwa Ibom International Airport, Akwa Ibom state, and the Central Bank of Nigeria, Yenagoa in Bayelsa state.

The apex bank has delisted it for the next four years for procurement-related offences.

The decision took effect following an investigation conducted by the Bank’s Integrity and Anti-corruption Office. The unit is responsible for preventing, deterring and investigating allegations of corruption, fraud and other sanctionable practices in the AfDB’s financed projects.

The firm’s ineligibility period is expected to end on September 9, 2026. Gitto is located at Plot 737, Mabushi District, in Abuja.

The contracts for which it was sanctioned included the rehabilitation of the Yaounde-Bafoussam-Babadjou road, the improvement of the Great Zambi-Kribi Road, and the improvement of the Maroua-Bogo-Pouss road.

The World Bank stated, “The rehabilitation of the Yaounde-Bafoussam-Babadjou Road, Improvement of the Great Zambi-Kribi Road is aimed to respond to the urgent need for further economic development in the poorest regions of Cameroon and the Far North and East regions.”

Contractors barred for nine years

By the sanction, the affected firms and individuals have been prohibited from participating in World Bank-financed contracts until October 3, 2031.

READ MORE HERE: https://www.icirnigeria.org/here-are-11-nigerian-firms-contractors-blacklisted-by-world-bank-in-2022/

If Nigerian contractors can try shady practices with the World Bank and afdb, I wonder what worse things they've done with the government of Nigeria and gotten away with it.